STMicroelectronics ( STM) Company Profile: STMicroelectronics is a European-based global semiconductor manufacturer. AFAM's Target Price: $19.70 Potential Upside From Current Levels: 150% Clark's Take: STMicro shares are down nearly 25% this year as the company's wireless joint venture with Ericsson continues to drag on its strong momentum in its other core divisions. "Investors seem to be assigning STM's portion of the joint venture a negative value," Clark says. However, Clark expects that either positive traction with the joint venture or an outright divesture could provide upside to the stock. "With a strong roadmap in products for automotive, consumer and industrial applications, STM is targeting faster market growth in 2011, and the company has proven it is more than willing to shed low-margin businesses," Clark says. "The firm's balance sheet and free cash flow should support the dividend, currently a rich 3.4%."