onsemi (NASDAQ:ON) Stock Gets Price Target Trim from Evercore

Key Points

• Evercore cut its onsemi price target from $137 to $90, though the new target implies about 24% upside from the prior close.
• Analyst opinions are mixed: MarketBeat reports a consensus “Moderate Buy” rating and $90 target, with 15 Buy and 15 Hold ratings among analysts surveyed.
• onsemi beat quarterly estimates, reporting EPS of $0.90 and revenue of $1.72 billion, up 11% year over year; AI data-center revenue surged 175%.

onsemi (NASDAQ:ON - Get Free Report) had its price objective dropped by stock analysts at Evercore from $137.00 to $90.00 in a report issued on Monday. Evercore's price target suggests a potential upside of 23.97% from the company's previous close.

Several other analysts also recently weighed in on the stock. Cantor Fitzgerald reaffirmed a "neutral" rating and issued a $90.00 target price on shares of onsemi in a report on Tuesday. Needham & Company LLC reissued a "buy" rating and set a $116.00 price target on shares of onsemi in a report on Tuesday. UBS Group restated a "neutral" rating on shares of onsemi in a research report on Thursday, September 17th. Mizuho lowered their price objective on onsemi from $95.00 to $87.00 in a report on Tuesday. Finally, Zacks Research cut onsemi from a "strong-buy" rating to a "hold" rating in a research report on Monday, July 6th. One research analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating and fifteen have issued a Hold rating to the company. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $90.00.

onsemi Stock Performance

NASDAQ:ON traded up $2.49 during midday trading on Monday, reaching $72.60. The stock had a trading volume of 15,526,353 shares, compared to its average volume of 10,547,412. The company has a quick ratio of 2.49, a current ratio of 3.46 and a debt-to-equity ratio of 0.51. The stock has a market cap of $28.26 billion, a P/E ratio of 46.54, a P/E/G ratio of 0.62 and a beta of 2.05. The firm has a fifty day simple moving average of $74.67 and a two-hundred day simple moving average of $82.02. onsemi has a 12-month low of $44.56 and a 12-month high of $134.92.

onsemi (NASDAQ:ON - Get Free Report) last announced 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 net margin of 10.17% and a return on equity of 14.06%. The company had revenue of $1.72 billion during the quarter, compared to the consensus estimate of $1.71 billion. During the same quarter in the prior year, the firm earned $0.63 EPS. onsemi's quarterly revenue was up 11.1% on a year-over-year basis. On average, equities analysts expect that onsemi will post 3.21 EPS for the current year.

Insider Activity at onsemi

In other onsemi news, insider Sudhir Gopalswamy sold 15,578 shares of the business's stock in a transaction on Thursday, October 1st. The shares were sold at an average price of $80.00, for a total transaction of $1,246,240.00. Following the sale, the insider directly 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 document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 0.35% of the company's stock.

Institutional Trading of onsemi

Institutional investors have recently added to or reduced their stakes in the stock. Engineers Gate Manager LP grew its position in onsemi by 570.3% during the second quarter. Engineers Gate Manager LP now owns 304,377 shares of the semiconductor company's stock worth $28,776,000 after buying an additional 258,968 shares during the period. Iridian Asset Management LLC CT lifted its position in shares of onsemi by 20.8% during the 3rd quarter. Iridian Asset Management LLC CT now owns 88,134 shares of the semiconductor company's stock valued at $6,775,000 after acquiring an additional 15,155 shares during the period. Baird Financial Group Inc. acquired a new stake in shares of onsemi during the 2nd quarter valued at approximately $680,000. Counterpoint Mutual Funds LLC acquired a new stake in shares of onsemi during the 3rd quarter valued at approximately $10,637,000. Finally, Kornitzer Capital Management Inc. KS boosted its stake in shares of onsemi by 103.0% during the 1st quarter. Kornitzer Capital Management Inc. KS now owns 89,080 shares of the semiconductor company's stock worth $5,516,000 after acquiring an additional 45,200 shares in the last quarter. Hedge funds and other institutional investors own 97.70% of the company's stock.

Key Stories Impacting onsemi

Here are the key news stories impacting onsemi this week:

• Positive Sentiment: Q3 beat estimates: onsemi reported adjusted EPS of $0.90 versus $0.88 expected and revenue of about $1.72 billion versus roughly $1.71 billion expected. Revenue rose 11% year over year, while free cash flow increased 31% to $489 million. Zacks Q3 results article
• Positive Sentiment: AI demand and Ferric acquisition: AI data-center revenue surged 175% year over year. The planned $600 million cash acquisition of Ferric, with up to $175 million in contingent payments, adds integrated voltage-regulator technology for next-generation AI processors. onsemi raised its 2030 AI data-center revenue target by $500 million to more than $3 billion. Ferric acquisition announcement
• Positive Sentiment: Q4 outlook modestly topped expectations: the company forecast EPS of $0.95–$1.07 and revenue of $1.7–$1.8 billion, with the revenue midpoint above consensus. Management also cited stronger industrial demand and manufacturing efficiencies supporting margins. Zacks earnings call highlights
• Neutral Sentiment: Analyst views remain mixed: Craig Hallum upgraded ON to Buy with an $85 target, while several firms maintained Hold or Neutral ratings. Truist raised its target slightly to $76, while B. Riley cut its target to $97 but kept a Buy rating. This reflects optimism about growth potential alongside caution about near-term execution and industry risks. Goldman Sachs rating report
• Negative Sentiment: Expectations and deal spending could limit upside: ON initially faced selling after its results despite the beats, suggesting investors may have wanted a stronger near-term outlook. The Ferric purchase also requires a substantial cash outlay, while automotive-market risks remain a concern for analysts.

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.

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