🔴 Renesas Electronics is trading 4.09% down as fourth-quarter outlook points to margin pressure

Renesas Electronics is trading at €15.96, down 4.09%, as fourth-quarter guidance points to sequential margin pressure.

• Gross margin is forecast at 58%, versus 59.4% in the third quarter; operating margin is forecast at 32%, versus 34.6%. More than half of the expected decline is attributed to digital-power product mix.
• Broader semiconductor weakness also weighed on the sector on October 30 amid investor concerns about returns on AI spending.