onsemi Sees Unusually High Options Volume (NASDAQ:ON)

Key Points

• Options activity surged: Traders bought 28,912 call options on onsemi, 36% above the average call volume of 21,328.
• Shares rose 4.7% to $83.88 in Friday trading, with volume exceeding its average. The stock remains below its 200-day moving average of $88.44.
• Analyst sentiment is broadly favorable, with a consensus rating of “Moderate Buy” and an average price target of $95.36; 15 analysts rate the stock Buy and 15 rate it Hold.

onsemi (NASDAQ:ON - Get Free Report) was the recipient of unusually large options trading on Friday. Traders bought 28,912 call options on the stock. This is an increase of 36% compared to the average volume of 21,328 call options.

Analyst Ratings Changes

ON has been the subject of a number of recent analyst reports. Rosenblatt Securities restated a "neutral" rating and issued a $85.00 price objective on shares of onsemi in a research report on Thursday, September 17th. Truist Financial reduced their price objective 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. Stifel Nicolaus decreased their price objective on shares of onsemi from $90.00 to $75.00 and set a "hold" rating on the stock in a report on Thursday, September 17th. Susquehanna boosted their target price on shares of onsemi from $140.00 to $150.00 and gave the stock a "positive" rating in a research note on Thursday, July 9th. Finally, Seaport Research Partners assumed coverage on onsemi in a report on Tuesday, September 22nd. They issued a "buy" rating and a $100.00 price objective on the stock. Fifteen equities research analysts have rated the stock with a Buy rating and fifteen have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average price target of $95.36.

onsemi Trading Up 4.7%

ON traded up $3.80 during mid-day trading on Friday, hitting $83.88. 13,421,648 shares of the stock were exchanged, compared to its average volume of 10,503,127. The firm's fifty day moving average is $76.44 and its two-hundred day moving average is $88.44. onsemi has a 1-year low of $44.56 and a 1-year high of $134.92. The company has a market cap of $32.66 billion, a PE ratio of 53.98, a PEG ratio of 0.64 and a beta of 2.05. The company has a current ratio of 3.46, a quick ratio of 2.49 and a debt-to-equity ratio of 0.51.

onsemi (NASDAQ:ON - Get Free Report) last released its earnings results on Monday, August 3rd. The semiconductor company reported $0.74 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.72 by $0.02. The firm had revenue of $1.60 billion during the quarter, compared to analyst estimates of $1.59 billion. onsemi had a return on equity of 14.06% and a net margin of 10.17%.onsemi's revenue was up 9.2% compared to the same quarter last year. During the same period last year, the business posted $0.53 earnings per share. onsemi has set its Q3 2026 guidance at 0.810-0.930 EPS. Equities analysts forecast that onsemi will post 3.2 earnings per share for the current fiscal year.

Institutional Trading of onsemi

Hedge funds and other institutional investors have recently made changes to their positions in the company. Engineers Gate Manager LP lifted its stake in shares of onsemi by 570.3% in the second quarter. Engineers Gate Manager LP now owns 304,377 shares of the semiconductor company's stock worth $28,776,000 after acquiring an additional 258,968 shares in the last quarter. Kornitzer Capital Management Inc. KS raised its position in shares of onsemi by 103.0% in the 1st quarter. Kornitzer Capital Management Inc. KS now owns 89,080 shares of the semiconductor company's stock valued at $5,516,000 after purchasing an additional 45,200 shares in the last quarter. Swiss National Bank boosted its stake in shares of onsemi by 5.4% during the 1st quarter. Swiss National Bank now owns 1,180,800 shares of the semiconductor company's stock valued at $73,115,000 after buying an additional 60,200 shares during the last quarter. ExodusPoint Capital Management LP boosted its stake in shares of onsemi by 49.7% during the 4th quarter. ExodusPoint Capital Management LP now owns 667,844 shares of the semiconductor company's stock valued at $36,164,000 after buying an additional 221,774 shares during the last quarter. Finally, Van ECK Associates Corp increased its stake in shares of onsemi by 19.7% in the fourth quarter. Van ECK Associates Corp now owns 4,100,943 shares of the semiconductor company's stock worth $222,066,000 after buying an additional 674,408 shares during the last quarter. Hedge funds and other institutional investors own 97.70% of the company's stock.

Trending Headlines about onsemi

Here are the key news stories impacting onsemi this week:

• Positive Sentiment: Revised Synaptics deal is viewed as more shareholder-friendly. onsemi will acquire Synaptics for $123 per share in cash, valuing the transaction at approximately $5.7 billion. The revised structure replaces the previous all-stock agreement, reduces dilution risk and is expected to provide immediate EPS accretion for onsemi shareholders. The amendment followed an unsolicited competing proposal for Synaptics. onsemi and Synaptics revised merger agreement
• Positive Sentiment: Analysts raised their valuation expectations. Wells Fargo lifted its onsemi price target from $85 to $100 and assigned an “overweight” rating. Needham also reaffirmed a “buy” rating with a $116 target. The upgrades indicate that analysts believe the revised transaction could improve onsemi’s earnings profile and strategic position. Analyst ratings and price targets
• Positive Sentiment: Broader market conditions provided additional support. U.S. stocks and technology shares were broadly higher, helping semiconductor names attract buying interest. The positive sector backdrop likely amplified the favorable reaction to onsemi’s deal announcement. Technology stocks moving higher
• Neutral Sentiment: Investors will still monitor execution risk. Although the all-cash structure removes stock dilution, the acquisition will require substantial cash funding and remains subject to customary closing conditions and regulatory approval. The transaction’s longer-term benefit depends on successful integration and realization of expected synergies.

onsemi Company Profile

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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