onsemi (NASDAQ:ON) Issues Quarterly Earnings Results, Beats Estimates By $0.02 EPS

onsemi (NASDAQ:ON) announced its quarterly earnings results on Monday. The semiconductor company reported $0.90 EPS for the quarter, topping analysts’ consensus estimates of $0.88 by $0.02, FiscalAI reports. The firm had revenue of $1.72 billion during the quarter, compared to analysts’ expectations of $1.71 billion. onsemi had a net margin of 10.17% and a return on equity of 14.06%.

onsemi Price Performance

onsemi stock traded down $1.56 on Monday, reaching $70.11. The company’s stock had a trading volume of 12,253,313 shares, compared to its average volume of 10,520,491. The company has a debt-to-equity ratio of 0.51, a quick ratio of 2.49 and a current ratio of 3.46. The company has a market cap of $27.29 billion, a price-to-earnings ratio of 44.94, a PEG ratio of 0.59 and a beta of 2.11. The business’s fifty day moving average price is $74.75 and its 200 day moving average price is $81.96. onsemi has a twelve month low of $44.56 and a twelve month high of $134.92.

Analyst Ratings Changes

Several research firms have recently weighed in on ON. Zacks Research lowered onsemi from a “strong-buy” rating to a “hold” rating in a research note on Monday, July 6th. Rosenblatt Securities restated a “neutral” rating and set a $85.00 target price on shares of onsemi in a research report on Thursday, September 17th. Weiss Ratings raised onsemi from a “sell (d+)” rating to a “hold (c)” rating in a research note on Friday, August 7th. TD Cowen dropped their price objective on onsemi from $95.00 to $75.00 and set a “hold” rating for the company in a research note on Monday, October 19th. Finally, B. Riley Financial cut their price objective on onsemi from $127.00 to $105.00 and set a “buy” rating for the company in a report on Thursday, October 22nd. One analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating and sixteen have assigned a Hold rating to the stock. According to MarketBeat, onsemi currently has a consensus rating of “Moderate Buy” and a consensus target price of $92.68.

Insider Buying and Selling at onsemi

In related news, insider Sudhir Gopalswamy sold 15,578 shares of the company’s stock in a transaction dated 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 transaction, the insider owned 158,177 shares in the company, valued at $12,654,160. This represents a 8.97% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 0.35% of the company’s stock.

Key onsemi News

Here are the key news stories impacting onsemi this week:

• Positive Sentiment: Analysts expect third-quarter revenue of approximately $1.7 billion and EPS of about $0.88. A result above those expectations, particularly if supported by improving automotive and industrial semiconductor demand, could provide a near-term catalyst. ON Semiconductor Earnings Are Imminent; These Most Accurate Analysts Revise Forecasts Ahead Of Earnings Call
• Neutral Sentiment: onsemi is scheduled to report quarterly results imminently, making earnings guidance, order trends and comments on inventory normalization the primary near-term drivers for ON. Investors are likely focused more on the forward outlook than on the quarter’s headline results. Earnings to watch: onsemi (ON) reports Q3 results tomorrow
• Negative Sentiment: Analysts have recently reduced their price targets for onsemi despite generally constructive ratings. The revisions signal concern about near-term growth and margins and may be contributing to selling pressure ahead of the report. ON Semiconductor Earnings Are Imminent; These Most Accurate Analysts Revise Forecasts Ahead Of Earnings Call
• Negative Sentiment: With the stock trading at roughly 45 times earnings and materially below its 52-week high, investors appear to be demanding evidence of a sustained recovery. Any earnings miss, cautious guidance or continued weakness in automotive and industrial markets could intensify the decline.

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.