ON Semiconductor Corporation’s stock price drops to $67.63, marking a significant 4.38% decline

ON Semiconductor Corporation (ON)

67.63 USD -3.10 (-4.38%) Volume: 8.42M

ON Semiconductor Corporation’s stock price is currently at 67.63 USD, experiencing a decrease of 4.38% this trading session with a trading volume of 8.42M, reflecting a YTD performance drop of 19.04%, highlighting the volatility of ON’s stock in the market.

Latest developments on ON Semiconductor Corporation

On Semiconductor (ON) has been making significant moves in the semiconductor industry, with plans to expand its SiC footprint in the Czech Republic by investing $2 billion in a semiconductor plant expansion. This decision comes at a time when Omdia research shows weak demand leading to a declining quarter for the semiconductor market. Despite this, Wall Street analysts still view ON Semiconductor Corp. as a good investment. Additionally, the company has selected the Czech Republic to establish end-to-end silicon carbide production for advanced power. With the semiconductor manufacturing industry forecasted to grow by 6% in 2024 and 7% in 2025, ON Semiconductor’s strategic investments and partnerships, such as the one with Taiwan at the Semi-Impact forum, position them for potential growth and leadership in the industry.

ON Semiconductor Corporation on Smartkarma

Analyst coverage of On Semiconductor on Smartkarma highlights the company’s strong performance in the market. According to Baptista Research, in Q1 2024, On Semiconductor reported revenue of $1.86 billion, with a non-GAAP gross margin of 45.9% and non-GAAP earnings per share of $1.08, exceeding guidance. The company’s innovative power and sensing technologies have led to a 30% increase in new design wins and growth in silicon and silicon carbide market share. Baptista Research aims to evaluate various factors influencing the company’s price and conduct an independent valuation using a Discounted Cash Flow (DCF) methodology.

In another report by Baptista Research, On Semiconductor‘s growth in the silicon carbide business is highlighted. The company ended the fourth quarter of 2023 with significant achievements, showcasing its ability to navigate challenging market conditions. Despite a decrease in utilization to 66%, On Semiconductor achieved a non-GAAP gross margin of 46.7%, surpassing expectations. The company’s structural adjustments over the past three years have contributed to its resilience in the market. Analysts are optimistic about On Semiconductor‘s future prospects based on its recent performance and strategic initiatives.

A look at ON Semiconductor Corporation Smart Scores

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

On Semiconductor, a company that supplies analog, standard logic, and discrete semiconductors, has a promising long-term outlook based on its Smartkarma Smart Scores. With a high growth score of 5, On Semiconductor is positioned for strong future expansion and development. Additionally, the company’s momentum score of 4 indicates positive market sentiment and potential for continued success in the industry.

Although On Semiconductor has a lower dividend score of 1, its value score of 3 suggests that the company is trading at a reasonable price relative to its intrinsic value. With a resilience score of 3, On Semiconductor demonstrates a certain level of stability and ability to withstand market fluctuations. Overall, On Semiconductor‘s Smartkarma Smart Scores point towards a bright future for the company in the semiconductor market.

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