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STMicroelectronics (STM) was hit with another downgrade this morning, this time from Credit Suisse’s European semi analyst, Adrien Bommelaer. He cut his rating on the stock to Underperform from Neutral. He cut his 2009 EPS estimate to 65 cents, from 78 cents. He says the company has “the least attractive risk-reward profile” of any of the companies he covers. He notes that STM has significant exposure to PCs, wireless, industrial and auto markets, all of which could slow as the economy worsens.

STMicroelectronics (STM) shares are sagging this morning after Merrill Lynch’s Jonathan Crossfield cut his rating on the stock to Underperform from Buy. He asserted in a research note this morning that “consensus 2009 estimates do not reflect the company’s broad-based consumer exposure.” He also sees weakness in automotive segments sales, and a slower migration to large-screen televisions.

For 2008, he cuts his EPS estimate to 54 cents from 61 cents; for 2009, he now sees 38 cents, down from 83 cents.

STM today is down 81 cents, or 8.7%, to $8.49.

Filed under: Analyst reports, Analyst upgrades and downgrades, Analyst initiations

Analyst upgrades:

STMicroelectronics (STM) shares fell sharply today after J.P. Morgan analyst Sandeep Despande cut his rating on the stock to Neutral from Overweight. In a research note, he pointed out that the stock has outperformed the semi group this year, powered by market share gains and positive currency factors. But he says the strong top line growth “is unlikely to last in ‘09,” and advised investors to take profits, “especially as the currency shows signs of moving against STMicro.”