Is ON Semiconductor Stock a Good Investment?

ON Semiconductor Investment Advice

  ON
To provide specific investment advice or recommendations on ON Semiconductor stock, we recommend investors consider the following general factors when evaluating ON Semiconductor. This will help you to make an informed decision on whether to include ON Semiconductor in one of your diversified portfolios:
  • Examine ON Semiconductor's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
  • Research ON Semiconductor's leadership team and their track record. Good management can help ON Semiconductor navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
  • Consider the overall health of the Semiconductors & Semiconductor Equipment space and any emerging trends that could impact ON Semiconductor's business and its evolving consumer preferences.
  • Compare ON Semiconductor's performance and market position to its competitors. Analyze how ON Semiconductor is positioned in terms of product offerings, innovation, and market share.
  • Check if ON Semiconductor pays a dividend and its dividend yield and payout ratio.
  • Review what financial analysts are saying about ON Semiconductor's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in ON Semiconductor stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if ON Semiconductor is a good investment.
 
Sell
 
Buy
Cautious Hold
Our trade advice module provides unbiased advice that can be used to complement current average analyst sentiment on ON Semiconductor. Our trade advice engine provides an advice for the company potential to grow from the perspective of an investor's risk tolerance and investing horizon. To make sure ON Semiconductor is not overpriced, please check all ON Semiconductor fundamentals, including its cash and equivalents, target price, and the relationship between the price to sales and book value per share . Given that ON Semiconductor has a price to earning of 18.40 X, we recommend you to check out ON Semiconductor market performance and probability of bankruptcy to ensure the company can sustain itself this quarter and beyond given your latest risk tolerance and investing horizon.

Market Performance

Very WeakDetails

Volatility

Very steadyDetails

Hype Condition

Over hypedDetails

Current Valuation

UndervaluedDetails

Odds Of Distress

Very LowDetails

Economic Sensitivity

Slowly supersedes the marketDetails

Investor Sentiment

AlarmedDetails

Analyst Consensus

BuyDetails

Financial Strenth (F Score)

HealthyDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails

Examine ON Semiconductor Stock

Researching ON Semiconductor's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 100.0% of the company shares are owned by institutional investors. The book value of ON Semiconductor was now reported as 20.17. The company has Price/Earnings To Growth (PEG) ratio of 1.61. ON Semiconductor had not issued any dividends in recent years. The entity had 10:1 split on the 13th of March 2014.
To determine if ON Semiconductor is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding ON Semiconductor's research are outlined below:
ON Semiconductor generated a negative expected return over the last 90 days
Over 100.0% of the company shares are owned by institutional investors
Latest headline from thelincolnianonline.com: Onsemi Given New 70.00 Price Target at KeyCorp

ON Semiconductor Quarterly Gross Profit

799.4 Million

ON Semiconductor uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in ON Semiconductor. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to ON Semiconductor's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
5th of February 2024
Upcoming Quarterly Report
View
6th of May 2024
Next Financial Report
View
31st of December 2023
Next Fiscal Quarter End
View
5th of February 2024
Next Fiscal Year End
View
30th of September 2023
Last Quarter Report
View
31st of December 2022
Last Financial Announcement
View
Earnings surprises can significantly impact ON Semiconductor's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises ON Semiconductor's investors have experienced.
Reported
Fiscal Date
Estimated EPS
Reported EPS
Surprise
2013-02-07
2012-12-310.070.080.0114 
2005-07-25
2005-06-300.050.060.0120 
2005-02-02
2004-12-310.030.040.0133 
2004-10-27
2004-09-300.040.050.0125 
2004-02-02
2003-12-31-0.07-0.060.0114 
2009-05-06
2009-03-31-0.07-0.082-0.01217 
2016-08-06
2016-06-300.190.210.0210 
2016-05-08
2016-03-310.150.170.0213 

ON Semiconductor Target Price Consensus

ON Semiconductor target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. ON Semiconductor's target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.
   33  Buy
Most ON Semiconductor analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand ON Semiconductor stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of ON Semiconductor, talking to its executives and customers, or listening to those companies' conference calls.
Macroaxis Advice   Exposure   Valuation

ON Semiconductor Target Price Projection

ON Semiconductor's current and average target prices are 54.63 and 83.18, respectively. The current price of ON Semiconductor is the price at which ON Semiconductor is currently trading. On the other hand, ON Semiconductor's target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.

Current Price

ON Semiconductor Market Quote on 17th of January 2025

Low Price54.37Odds
High Price55.08Odds

54.63

Target Price

Analyst Consensus On ON Semiconductor Target Price

Low Estimate75.69Odds
High Estimate92.33Odds

83.1807

Historical Lowest Forecast  75.69 Target Price  83.18 Highest Forecast  92.33
Note that most analysts generally publish their price targets in research reports on specific companies, along with recommendations for the company's stock.Although price targets are often quoted in the financial news media, there could be a delay between the publication of the latest analyst outlook on ON Semiconductor and the information provided on this page.

ON Semiconductor Analyst Ratings

ON Semiconductor's analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about ON Semiconductor stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of ON Semiconductor's financials, market performance, and future outlook by experienced professionals. ON Semiconductor's historical ratings below, therefore, can serve as a valuable tool for investors.

Know ON Semiconductor's Top Institutional Investors

Have you ever been surprised when a price of an equity instrument such as ON Semiconductor is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading ON Semiconductor backward and forwards among themselves. ON Semiconductor's institutional investor refers to the entity that pools money to purchase ON Semiconductor's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Shares
Artisan Partners Limited Partnership2024-09-30
6.3 M
Pictet Asset Manangement Sa2024-09-30
5.8 M
Amvescap Plc.2024-09-30
5.5 M
Norges Bank2024-06-30
5.5 M
Barclays Plc2024-09-30
4.9 M
Goldman Sachs Group Inc2024-09-30
4.8 M
Dimensional Fund Advisors, Inc.2024-09-30
4.2 M
Victory Capital Management Inc.2024-09-30
4.2 M
Capital Research & Mgmt Co - Division 32024-09-30
4.2 M
Fmr Inc2024-09-30
64 M
Vanguard Group Inc2024-09-30
50.8 M
Note, although ON Semiconductor's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

ON Semiconductor's market capitalization trends

The company currently falls under 'Large-Cap' category with a market capitalization of 22.78 B.

Market Cap

12.7 Billion

ON Semiconductor's profitablity analysis

Last ReportedProjected for Next Year
Return On Tangible Assets 0.17  0.18 
Return On Capital Employed 0.21  0.22 
Return On Assets 0.15  0.16 
Return On Equity 0.32  0.31 
The company has Net Profit Margin (PM) of 0.24 %, which suggests that even a small decline in it sales will erase profits and may result in a net loss, or a negative profit margin. This is way below average. Likewise, it shows Net Operating Margin (NOM) of 0.27 %, which signifies that for every $100 of sales, it has a net operating income of $0.27.
Determining ON Semiconductor's profitability involves analyzing its financial statements and using various financial metrics to determine if ON Semiconductor is a good buy. For example, gross profit margin measures ON Semiconductor's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of ON Semiconductor's profitability and make more informed investment decisions.

Evaluate ON Semiconductor's management efficiency

ON Semiconductor has Return on Asset (ROA) of 0.0956 % which means that for every $100 of assets, it generated a profit of $0.0956. This is way below average. Likewise, it shows a return on total equity (ROE) of 0.2183 %, which means that it produced $0.2183 on every 100 dollars invested by current stockholders. ON Semiconductor's management efficiency ratios could be used to measure how well ON Semiconductor manages its routine affairs as well as how well it operates its assets and liabilities. At this time, ON Semiconductor's Return On Tangible Assets are very stable compared to the past year. As of the 17th of January 2025, Return On Capital Employed is likely to grow to 0.22, while Return On Equity is likely to drop 0.31. At this time, ON Semiconductor's Intangible Assets are very stable compared to the past year. As of the 17th of January 2025, Net Tangible Assets is likely to grow to about 7.5 B, while Intangibles To Total Assets are likely to drop 0.12.
Last ReportedProjected for Next Year
Book Value Per Share 16.30  17.12 
Tangible Book Value Per Share 12.38  13.00 
Enterprise Value Over EBITDA 10.30  6.78 
Price Book Value Ratio 5.32  8.98 
Enterprise Value Multiple 10.30  6.78 
Price Fair Value 5.32  8.98 
Enterprise Value14.3 B12.7 B
Leadership effectiveness at ON Semiconductor is a strong indicator of its financial stability. We analyze various metrics to provide insights into the stock's investment viability.
Beta
1.654

Basic technical analysis of ON Semiconductor Stock

As of the 17th of January 2025, ON Semiconductor owns the information ratio of (0.14), and Market Risk Adjusted Performance of (1.17). In connection with fundamental indicators, the technical analysis model allows you to check timely technical drivers of ON Semiconductor, as well as the relationship between them.

ON Semiconductor's insider trading activities

Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific ON Semiconductor insiders, such as employees or executives, is commonly permitted as long as it does not rely on ON Semiconductor's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases ON Semiconductor insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.

ON Semiconductor's Outstanding Corporate Bonds

ON Semiconductor issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. ON Semiconductor uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most ON Semiconductor bonds can be classified according to their maturity, which is the date when ON Semiconductor has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.

Understand ON Semiconductor's technical and predictive indicators

Using predictive indicators to make investment decisions involves analyzing ON Semiconductor's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.

Consider ON Semiconductor's intraday indicators

ON Semiconductor intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of ON Semiconductor stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.

ON Semiconductor Corporate Filings

F4
20th of December 2024
The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities
ViewVerify
8K
10th of December 2024
Report filed with the SEC to announce major events that shareholders should know about
ViewVerify
13A
12th of November 2024
An amended filing to the original Schedule 13G
ViewVerify
23rd of May 2024
Other Reports
ViewVerify
ON Semiconductor time-series forecasting models is one of many ON Semiconductor's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary ON Semiconductor's historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.

ON Semiconductor Stock media impact

Far too much social signal, news, headlines, and media speculation about ON Semiconductor that are available to investors today. That information is available publicly through ON Semiconductor media outlets and privately through word of mouth or via ON Semiconductor internal channels. However, regardless of the origin, that massive amount of ON Semiconductor data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of ON Semiconductor news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of ON Semiconductor relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to ON Semiconductor's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive ON Semiconductor alpha.

ON Semiconductor Sentiment by Major News Outlets

Investor sentiment, mood or attitude towards ON Semiconductor can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.

ON Semiconductor Historical Investor Sentiment

Investor biases related to ON Semiconductor's public news can be used to forecast risks associated with an investment in ON Semiconductor. The trend in average sentiment can be used to explain how an investor holding ON Semiconductor can time the market purely based on public headlines and social activities around ON Semiconductor. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
ON Semiconductor's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for ON Semiconductor and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average ON Semiconductor news discussions. The higher the estimate score, the more favorable the investor's outlook on ON Semiconductor.

ON Semiconductor Maximum Pain Price Across April 17th 2025 Option Contracts

ON Semiconductor's options can also be used to analyze investors' bias and current market sentiment in the context of behavioral finance. For example, Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of ON Semiconductor close to the expiration of its current option contract to expire worthlessly. According to most research, about 35% of options are not executed, with roughly 50% traded out before expiration. So, Max pain occurs when market makers reach a net favorable position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthlessly. Please continue to view the detailed analysis of ON Semiconductor's options.

ON Semiconductor Corporate Management

Paul DuttonChief VPProfile
Ross JatouSenior GroupProfile
Michael BalowExecutive SalesProfile
Pamela TondreauChief VPProfile
WeiChung WangExecutive OperationsProfile
Bert SomsinSenior OfficerProfile
Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in ON Semiconductor. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors.
To learn how to invest in ON Semiconductor Stock, please use our How to Invest in ON Semiconductor guide.
You can also try the USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.
Is Semiconductors & Semiconductor Equipment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of ON Semiconductor. If investors know ON Semiconductor will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about ON Semiconductor listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.28)
Earnings Share
4.03
Revenue Per Share
17.235
Quarterly Revenue Growth
(0.19)
Return On Assets
0.0956
The market value of ON Semiconductor is measured differently than its book value, which is the value of ON Semiconductor that is recorded on the company's balance sheet. Investors also form their own opinion of ON Semiconductor's value that differs from its market value or its book value, called intrinsic value, which is ON Semiconductor's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because ON Semiconductor's market value can be influenced by many factors that don't directly affect ON Semiconductor's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between ON Semiconductor's value and its price, as these two are different measures arrived at by various means. Investors typically determine if ON Semiconductor is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, ON Semiconductor's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.