CitiGroup Raises STMicroelectronics Rating To Buy, Sees 26% Upside Potential

CitiGroup analyst Amit Harchandani upgraded STMicroelectronics NV STM rating to Buy from Neutral.
He raised the price target to €39, up from €36.50. The new price target implies a 25.7% upside potential at the current level.
The stock's risk-reward was growingly unequal to the upside following the underperformance in the first half of the year, Harchandani stated.
STMicroelectronics' automotive and industrial exposure supported its relative cyclical appeal, Harchandani's research note added.
The stock has lost 1.2% year-to-date.
Price action: STM shares traded higher by 3.80% at $38.08 on the last check Friday.