On Semiconductor Stock Market Value
| ON Stock | USD 68.47 1.16 1.72% |
| Symbol | ON Semiconductor |
ON Semiconductor Price To Book Ratio
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.
Please note, there is a significant difference between ON Semiconductor's value and its price as these two are different measures arrived at by different 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.
ON Semiconductor 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to ON Semiconductor's stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of ON Semiconductor.
| 02/25/2024 |
| 11/21/2024 |
If you would invest 0.00 in ON Semiconductor on February 25, 2024 and sell it all today you would earn a total of 0.00 from holding ON Semiconductor or generate 0.0% return on investment in ON Semiconductor over 270 days. ON Semiconductor is related to or competes with Texas Instruments, Microchip Technology, Analog Devices, Qorvo, Monolithic Power, NXP Semiconductors, and Navitas Semiconductor. ON Semiconductor Corporation provides intelligent sensing and power solutions worldwide More
ON Semiconductor Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure ON Semiconductor's stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess ON Semiconductor upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.09) | |||
| Maximum Drawdown | 13.21 | |||
| Value At Risk | (4.32) | |||
| Potential Upside | 3.5 |
ON Semiconductor Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for ON Semiconductor's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as ON Semiconductor's standard deviation. In reality, there are many statistical measures that can use ON Semiconductor historical prices to predict the future ON Semiconductor's volatility.| Risk Adjusted Performance | (0.04) | |||
| Jensen Alpha | (0.31) | |||
| Total Risk Alpha | (0.45) | |||
| Treynor Ratio | (0.09) |
ON Semiconductor Backtested Returns
ON Semiconductor retains Efficiency (Sharpe Ratio) of -0.0558, which implies the firm had a -0.0558% return per unit of price deviation over the last 3 months. ON Semiconductor exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please check ON Semiconductor's information ratio of (0.09), and Market Risk Adjusted Performance of (0.08) to confirm the risk estimate we provide. The company owns a Beta (Systematic Risk) of 1.79, which implies a somewhat significant risk relative to the market. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, ON Semiconductor will likely underperform. At this point, ON Semiconductor has a negative expected return of -0.14%. Please make sure to check ON Semiconductor's total risk alpha, as well as the relationship between the skewness and day median price , to decide if ON Semiconductor performance from the past will be repeated sooner or later.
Auto-correlation | -0.03 |
Very weak reverse predictability
ON Semiconductor has very weak reverse predictability. Overlapping area represents the amount of predictability between ON Semiconductor time series from 25th of February 2024 to 9th of July 2024 and 9th of July 2024 to 21st of November 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of ON Semiconductor price movement. The serial correlation of -0.03 indicates that only 3.0% of current ON Semiconductor price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.03 | |
| Spearman Rank Test | 0.3 | |
| Residual Average | 0.0 | |
| Price Variance | 9.57 |
ON Semiconductor lagged returns against current returns
Autocorrelation, which is ON Semiconductor stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting ON Semiconductor's stock expected returns. We can calculate the autocorrelation of ON Semiconductor returns to help us make a trade decision. For example, suppose you find that ON Semiconductor has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
ON Semiconductor regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If ON Semiconductor stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if ON Semiconductor stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in ON Semiconductor stock over time.
Current vs Lagged Prices |
| Timeline |
ON Semiconductor Lagged Returns
When evaluating ON Semiconductor's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of ON Semiconductor stock have on its future price. ON Semiconductor autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, ON Semiconductor autocorrelation shows the relationship between ON Semiconductor stock current value and its past values and can show if there is a momentum factor associated with investing in ON Semiconductor.
Regressed Prices |
| Timeline |
Pair Trading with ON Semiconductor
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if ON Semiconductor position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in ON Semiconductor will appreciate offsetting losses from the drop in the long position's value.Moving against ON Semiconductor Stock
| 0.37 | GB | Global Blue Group Earnings Call Tomorrow | PairCorr |
| 0.35 | ZM | Zoom Video Communications Earnings Call This Week | PairCorr |
| 0.33 | ZD | Ziff Davis | PairCorr |
The ability to find closely correlated positions to ON Semiconductor could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace ON Semiconductor when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back ON Semiconductor - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling ON Semiconductor to buy it.
The correlation of ON Semiconductor is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as ON Semiconductor moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if ON Semiconductor moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for ON Semiconductor can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out ON Semiconductor Correlation, ON Semiconductor Volatility and ON Semiconductor Alpha and Beta module to complement your research on ON Semiconductor. To learn how to invest in ON Semiconductor Stock, please use our How to Invest in ON Semiconductor guide.You can also try the Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..
ON Semiconductor technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.