European semi stocks fall after profit warnings from global peers

Elmos Semiconductor SE

09/01/2024 09:32

** Shares of European semiconductor firms fall after
international peers warned of lower profits amid weak economic
conditions
    ** Franco-Italian STMicroelectronics  STMMI.MI , Germany's
Infineon  IFXGn.DE , Dutch BE Semiconductor Industries  BESI.AS 
and France's Soitec  .SOIT.PA  fall 1.8%-2.3%, all among the
biggest losers of STOXX 600's technology sub-index  .SX8P 
    ** Samsung Electronics  005930.KS  on Tuesday reported a
likely 35% drop in Q4 operating profit, much worse than analysts
expected, hit by subdued consumer demand
    ** This came on top of American Microchip Tech  MCHP.O 
lowering its forecast for Q3 revenue on Monday, citing lower
shipment levels and a weak economy
    ** "Sentiment negative news. But keep in mind the
semiconductor space had a strong reversal day yesterday in the
US (SOX index) turning green after an especially weak start to
the year," a local trader says about German semi stocks
    ** Germany's Elmos Semiconductor  ELGG.DE  and Austria-based
AMS Osram  AMS.S  also slide some 2%, while Norwegian Nordic
Semiconductor falls 4.5%

 (Reporting by Tristan Veyet)
 ((Tristan.chabba@thomsonreuters.com))