STMicro Shares Drop on Surprise Loss, Disappointing Outlook

STMicroelectronics NV shares plunged the most in a year after the chipmaker posted a surprise loss from restructuring charges and gave a weaker-than-expected forecast for this quarter.

The Franco-Italian company posted an adjusted operating loss of $133 million in the second quarter, it said in a statement on Thursday. That compared to an average analyst estimate for operating income of $54 million according to data compiled by Bloomberg. The company’s outlook for gross margins in the third quarter also missed analysts’ estimates.