Europe
Melexis Shares Drop as Q4 Results Miss Expectations
• Belgian semiconductor firm Melexis MELE’s Q4 results and guidance fell 13% to the bottom of Belgium’s blue-chip index BEL20.
• Q4 operating margin of 14.0% on sales of 197.4 mln euros ($205.28 mln) vs a company-compiled consensus of 18.6% and 205.4 mln euros.
• The shares hit their lowest price since mid-Mary 2020 and are on track for their worst day since end-Oct 2018.
• Degroof Petercam’s Michael Roeg reports the results and outlook are well below expectations.
• Melexis keeps 2024 sales target of 1 billion euros, while inventory corrections are continuing in 2025.
• Analysts expect the market to look beyond near-term weakness and start pricing in the next upcycle.
