Why STMicroelectronics N.V. (STM) Skyrocketed Today

We recently published a list of These 10 Stocks Are On Fire Right Now. In this article, we are going to take a look at where STMicroelectronics N.V. (NYSE:STM) stands against other Wednesday's best-performing stocks.

STMicroelectronics jumped by 10.67 percent on Wednesday to end at $28.41 apiece following optimism that it would hit its revenue guidance for the second quarter of the year amid the increasing demand for its semiconductors.

For the current quarter, STMicroelectronics N.V. (NYSE:STM) is forecasting to book $2.71 billion in revenues, or 7.7 percent higher than the first quarter of the year.

Additionally, STMicroelectronics N.V. (NYSE:STM) is continuing its workforce reduction initiative, with a total of 5,000 employees expected to be laid off over the next three years. Of the total, 2,800 have already been let go earlier this year.

In the first quarter of the year, STMicroelectronics N.V. (NYSE:STM) reported an 89.1 percent drop in net income to $56 million from $513 million in the same period last year.

Revenues also dropped by 27.3 percent to $2.5 billion from $3.46 billion year-on-year.

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Disclosure: None. This article is originally published at Insider Monkey.