onsemi's (ON) "Neutral" Rating Reaffirmed at Rosenblatt Securities

Key Points

• Rosenblatt Securities reaffirmed its “Neutral” rating on onsemi and set an $85 price target, implying 5.72% upside from the prior close.
• Analyst sentiment remains cautious: onsemi has a consensus “Hold” rating and an average target price of $102, with 14 Buy, 14 Hold and one Sell rating.
• Recent quarterly results slightly exceeded expectations, with EPS of $0.74 versus $0.72 expected and revenue of $1.60 billion, up 9.2% year over year; the company guided for third-quarter EPS of $0.81–$0.93.

onsemi (NASDAQ:ON - Get Free Report)'s stock had its "neutral" rating reiterated by stock analysts at Rosenblatt Securities in a research note issued to investors on Tuesday,Benzinga reports. They presently have a $85.00 target price on the semiconductor company's stock. Rosenblatt Securities' price target indicates a potential upside of 5.72% from the company's previous close.

ON has been the subject of a number of other research reports. Stifel Nicolaus upped their target price on shares of onsemi from $90.00 to $107.00 and gave the stock a "hold" rating in a report on Wednesday, June 24th. Wall Street Zen upgraded shares of onsemi from a "hold" rating to a "buy" rating in a research report on Monday, April 13th. Cantor Fitzgerald reaffirmed a "neutral" rating and set a $110.00 price objective on shares of onsemi in a research note on Friday. Barclays increased their price objective on shares of onsemi from $75.00 to $100.00 and gave the company an "equal weight" rating in a report on Wednesday, May 6th. Finally, Truist Financial reissued a "hold" rating and issued a $101.00 target price (up from $66.00) on shares of onsemi in a research note on Tuesday, May 5th. Fourteen investment analysts have rated the stock with a Buy rating, fourteen have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat, the company has a consensus rating of "Hold" and a consensus target price of $102.00.

onsemi Stock Performance

NASDAQ ON opened at $80.40 on Tuesday. The company has a market cap of $31.51 billion, a PE ratio of 57.02, a price-to-earnings-growth ratio of 0.90 and a beta of 2.03. The stock's 50 day simple moving average is $104.28 and its 200-day simple moving average is $85.07. onsemi has a 1-year low of $44.56 and a 1-year high of $134.92. The company has a debt-to-equity ratio of 0.41, a current ratio of 4.87 and a quick ratio of 3.14.

onsemi (NASDAQ:ON - Get Free Report) last issued its quarterly earnings results on Monday, August 3rd. The semiconductor company reported $0.74 EPS for the quarter, topping the consensus estimate of $0.72 by $0.02. onsemi had a return on equity of 12.79% and a net margin of 9.46%.The firm had revenue of $1.60 billion during the quarter, compared to analysts' expectations of $1.59 billion. During the same period in the previous year, the business earned $0.53 earnings per share. The firm's revenue for the quarter was up 9.2% on a year-over-year basis. onsemi has set its Q3 2026 guidance at 0.810-0.930 EPS. As a group, equities research analysts anticipate that onsemi will post 3.09 EPS for the current fiscal year.

Institutional Trading of onsemi

A number of hedge funds and other institutional investors have recently made changes to their positions in ON. Root Financial Partners LLC increased its stake in onsemi by 42.1% during the fourth quarter. Root Financial Partners LLC now owns 503 shares of the semiconductor company's stock worth $27,000 after acquiring an additional 149 shares during the last quarter. DV Equities LLC purchased a new position in shares of onsemi during the 4th quarter worth $30,000. SHP Wealth Management purchased a new position in shares of onsemi during the 4th quarter worth $32,000. Summit Securities Group LLC increased its position in shares of onsemi by 346.3% during the 4th quarter. Summit Securities Group LLC now owns 598 shares of the semiconductor company's stock worth $32,000 after purchasing an additional 464 shares during the last quarter. Finally, Darwin Wealth Management LLC acquired a new stake in shares of onsemi during the 2nd quarter worth about $32,000. Institutional investors and hedge funds own 97.70% of the company's stock.

onsemi News Summary

Here are the key news stories impacting onsemi this week:

• Positive Sentiment: Q2 earnings and revenue exceeded expectations. onsemi reported adjusted EPS of $0.74 versus the $0.72 consensus estimate and revenue of approximately $1.604 billion versus expectations of $1.59 billion. Revenue increased 9% year over year, while adjusted gross margin reached 39.3%. onsemi Reports Second Quarter 2026 Results
• Positive Sentiment: AI data-center demand is becoming a meaningful growth driver. Management said it is prioritizing AI infrastructure customers and expects data-center revenue to more than double in 2026. The company highlighted rising demand for high-voltage power solutions and other products used in AI applications. ON Semiconductor Shifts Capacity to AI Data Centers
• Positive Sentiment: Cash generation and shareholder returns improved sharply. Operating cash flow rose 150% year over year, free cash flow reached $425.4 million and onsemi repurchased $332 million of stock during the quarter. Stocks to Watch: ON Semiconductor
• Neutral Sentiment: Third-quarter guidance was broadly encouraging but not a major upside surprise. onsemi projected adjusted EPS of $0.81–$0.93 and revenue near $1.7 billion, roughly in line with analyst expectations. The midpoint implies continued sequential growth, but investors may have wanted a larger forecast increase given the AI enthusiasm.
• Negative Sentiment: AI growth requires reallocating capacity away from automotive and industrial customers. Automotive remains a major part of onsemi’s business, so prioritizing data centers could raise concerns about near-term automotive sales, customer relationships and the pace of the broader cyclical recovery.
• Negative Sentiment: Analysts remain cautious on the risk-reward profile. Baird raised its price target to $108 from $100 but maintained a Hold rating, citing margin tailwinds that are partly offset by competitive pressures. With the stock trading well above its 200-day average and at a relatively high earnings multiple, the results may have been largely anticipated. ON Semi Price Target Raised to $108

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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