STMicroelectronics holds a slight edge over NXP Semiconductors as the better automotive chip investment, according to Zacks Investment Research. STM is expected to deliver stronger revenue and earnings growth, with the Zacks Consensus Estimate for 2026 sales implying a 21.6% year-over-year increase and earnings per share of $1.17, up from 53 cents in 2025. The company has also seen upward revisions to earnings expectations and sports a Zacks Rank #1 (Strong Buy), while NXPI carries a Zacks Rank #2 (Buy). STM shares have surged 134.8% in the past year, compared with a 26.8% rise for NXPI and a 21.8% gain for the S&P 500. Although STM trades at a richer forward price-to-earnings ratio of 36.78 times, its superior growth profile and favorable earnings momentum justify the premium.
STMicroelectronics N.V.Zacks ranks STM #1 (Strong Buy) with higher expected revenue and earnings growth, and upward estimate revisions.
NXP Semiconductors NVMentioned as a comparison; Zacks ranks NXPI #2 (Buy) but expects slower growth than STM.