Cantor Fitzgerald Reaffirms Neutral Rating for onsemi (NASDAQ:ON)

Key Points

• Cantor Fitzgerald reaffirmed a “neutral” rating on onsemi and set a $90 price target, implying 28.37% potential upside from the prior close. Analysts overall rate the stock “Moderate Buy,” with an average target of $91.81.
• onsemi exceeded quarterly expectations, reporting $0.90 in EPS and $1.72 billion in revenue, up 11.1% year over year. Despite the results and strong AI-related demand, the stock traded down 2.2% as investors remained concerned about valuation and broader semiconductor recovery.
• The company agreed to acquire Ferric for up to $775 million, aiming to strengthen power-delivery solutions for AI processors and increase its 2030 AI data-center revenue target by $500 million to more than $3 billion.

onsemi (NASDAQ:ON - Get Free Report)'s stock had its "neutral" rating reissued by equities researchers at Cantor Fitzgerald in a research report issued to clients and investors on Tuesday, Benzinga reports. They currently have a $90.00 target price on the semiconductor company's stock. Cantor Fitzgerald's price target suggests a potential upside of 28.37% from the stock's previous close.

Other equities analysts also recently issued research reports about the stock. Stifel Nicolaus boosted their price target on shares of onsemi from $75.00 to $80.00 and gave the company a "hold" rating in a report on Monday, October 5th. Truist Financial lowered their price target on shares of onsemi from $91.00 to $75.00 and set a "hold" rating for the company in a research report on Friday, September 18th. B. Riley Financial dropped their price objective on shares of onsemi from $127.00 to $105.00 and set a "buy" rating on the stock in a report on Thursday, October 22nd. Wells Fargo & Company reiterated an "overweight" rating and issued a $90.00 price objective on shares of onsemi in a research report on Tuesday. Finally, Stonex Financia raised shares of onsemi to a "strong-buy" rating in a research note on Wednesday, October 14th. One investment analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and fifteen have issued a Hold rating to the company. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $91.81.

onsemi Trading Down 2.2%

onsemi stock opened at $70.11 on Tuesday. The firm's 50-day moving average is $74.67 and its 200-day moving average is $82.02. The company has a debt-to-equity ratio of 0.51, a quick ratio of 2.49 and a current ratio of 3.46. onsemi has a 1 year low of $44.56 and a 1 year high of $134.92. The company has a market cap of $27.29 billion, a P/E ratio of 44.94, a PEG ratio of 0.62 and a beta of 2.05.

onsemi (NASDAQ:ON - Get Free Report) last issued its quarterly earnings data on Monday, November 2nd. The semiconductor company reported $0.90 EPS for the quarter, topping analysts' consensus estimates of $0.88 by $0.02. onsemi had a return on equity of 14.06% and a net margin of 10.17%. The firm had revenue of $1.72 billion during the quarter, compared to the consensus estimate of $1.71 billion. During the same period in the prior year, the business earned $0.63 EPS. The firm's revenue was up 11.1% on a year-over-year basis. On average, equities analysts expect that onsemi will post 3.21 earnings per share for the current year.

Insiders Place Their Bets

In other onsemi news, insider Sudhir Gopalswamy sold 15,578 shares of the business's stock in a transaction on Thursday, October 1st. The stock was sold at an average price of $80.00, for a total transaction of $1,246,240.00. Following the completion of the transaction, the insider owned 158,177 shares in the company, valued at approximately $12,654,160. The trade was a 8.97% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.35% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the business. Provenance Wealth Advisors LLC raised its stake in shares of onsemi by 3,318.2% during the third quarter. Provenance Wealth Advisors LLC now owns 376 shares of the semiconductor company's stock valued at $29,000 after purchasing an additional 365 shares in the last quarter. Ninety One UK Ltd acquired a new position in onsemi during the 3rd quarter valued at about $36,000. Ascentis Independent Advisors bought a new stake in shares of onsemi during the 1st quarter worth about $36,000. Root Financial Partners LLC raised its position in shares of onsemi by 39.4% during the 1st quarter. Root Financial Partners LLC now owns 701 shares of the semiconductor company's stock worth $43,000 after buying an additional 198 shares in the last quarter. Finally, Compass Financial Management LLC acquired a new stake in shares of onsemi in the 2nd quarter worth approximately $67,000. 97.70% of the stock is owned by institutional investors and hedge funds.

Key onsemi News

Here are the key news stories impacting onsemi this week:

• Positive Sentiment: AI growth outlook raised: onsemi agreed to acquire Ferric, a developer of integrated voltage-regulator technology, for $600 million in cash plus up to $175 million in contingent consideration. The deal is expected to strengthen onsemi’s power-delivery position for next-generation AI processors and lift its 2030 AI data-center revenue target by $500 million to more than $3 billion. onsemi to Acquire Ferric
• Positive Sentiment: Quarterly results topped consensus: Third-quarter revenue rose 11.1% year over year to approximately $1.72 billion, while adjusted earnings were $0.90 per share versus estimates of $0.88. Cash flow also strengthened, with operating cash flow up 23% to $516 million and free cash flow up 31% to $489 million. onsemi Reports Third Quarter 2026 Results
• Positive Sentiment: AI demand is accelerating: Management said AI data-center revenue surged 175% year over year, helped by customer demand and supply constraints that redirected capacity toward the company’s differentiated products. Fourth-quarter revenue guidance of roughly $1.77 billion was reportedly above the analyst consensus. onsemi Q3 Earnings Call Highlights
• Neutral Sentiment: The Ferric acquisition could improve long-term revenue growth, gross margins and earnings per share, but it requires a substantial cash outlay and execution will be needed to integrate the technology and convert AI demand into sustained sales.
• Negative Sentiment: The positive results were not enough to satisfy elevated investor expectations. Reports indicate the stock weakened after the earnings release, suggesting the market may be focused on the pace of broader semiconductor recovery, valuation, and whether AI growth can offset softness in other end markets. Why onsemi Shares Fell Despite Earnings

About onsemi

onsemi is engaged in disruptive innovations and also a supplier of power and analog semiconductors. The firm offers vehicle electrification and safety, sustainable energy grids, industrial automation, and 5G and cloud infrastructure, with a focus on automotive and industrial end-markets. It operates through the following segments: Power Solutions Group, Advanced Solutions Group, and Intelligent Sensing Group. The Power Solutions Group segment offers discrete, module, and semiconductor products that perform multiple application functions, including power switching, power conversion, signal conditioning, circuit protection, signal amplification, and voltage reference functions.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.