This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

STMicroelectronics At Citi Technology Conference (Transcript)

Stocks in this article: STM

STMicroelectronics (STM)

Citi Technology Conference

September 04, 2012 01:30 PM ET


Philippe Lambinet - Chief Corporate Strategy Officer and General Manager


Amit Harchandani - Citi


Question-and-Answer Session

Amit Harchandani - Citi

Okay I guess we will get started, first of all thanks to all of you for joining us today. I am Amit Harchandani, I head the European Technology coverage for Citi based out of London and I am also the covering analyst for STM. I am delighted to have STM join us again this year and from STM today we have Philippe Lambinet and Tait Sorensen, Tait is Director of IR and Philippe I guess, those of you who are new to the STM is the firm's Chief Corporate Strategy Officer and the General Manager of the Digital Sector. In fact he is a chip veteran having spent probably 30 years, best part of 30 years of his life looking at chips of all shapes and sizes. So, without further delay I think Philippe said let’s quickly jump into Q&A straight-off so that’s what we are going to do. So, as a start maybe just to get the discussion going Philippe if you could just tell us what are you seeing in the market today. I mean STM is probably the best candidate given your diversified positioning to talk about the broader market trend, how would you characterize current demand versus the first half and is it better, worse, same, is it the same across different product segment?

Philippe Lambinet

When we published our results that the end of July for Q2, we already communicated that the following trend which we saw starting mid-last year an inventory correction and we saw the end of that inventory correction in Q1 this year and the only part of Q2 was actually quite positive. We had a good rebound, April and May bookings were quite good, so we were quite optimistic for the rest of the year. Now when we again when we published our result in July we said let’s not be too bullish, the June bookings and the July bookings have not been very good. The market is softening. What I can say is that softening is continuing. The August bookings have continued to be not very strong. So, it's too early to say whether it will rebound now and in Q4 or whether it's going to be a double dip and it will further weaken. Right now it's flattish so we had taken a flattish booking situation into account in our guidance for Q3 so we have no reason to change our guidance but it's a bit early to say how we will guide for Q4 and of course we will have another month and half before we have to do this but definitely the weakness is there, continues to be there. It's across all applications and it's across all regions, so there isn’t particularly dark spot and there isn’t a particularly bright spot I think all of the market is pretty weak.

1 of 3

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs