Needham & Company LLC Forecasts Strong Price Appreciation for ON Semiconductor (NASDAQ:ON) Stock

ON Semiconductor (NASDAQ:ON) had its price target boosted by investment analysts at Needham & Company LLC from $68.00 to $72.00 in a note issued to investors on Tuesday,Benzinga reports. The brokerage currently has a “buy” rating on the semiconductor company’s stock. Needham & Company LLC’s price objective would indicate a potential upside of 10.60% from the stock’s previous close.

Other equities research analysts have also recently issued reports about the company. Piper Sandler reiterated an “overweight” rating on shares of ON Semiconductor in a research report on Tuesday. Evercore reaffirmed an “outperform” rating on shares of ON Semiconductor in a report on Wednesday, January 7th. Wells Fargo & Company reissued an “overweight” rating on shares of ON Semiconductor in a report on Tuesday. TD Cowen reaffirmed a “buy” rating on shares of ON Semiconductor in a report on Tuesday, November 4th. Finally, Rosenblatt Securities lifted their price objective on ON Semiconductor from $50.00 to $60.00 and gave the company a “neutral” rating in a research note on Tuesday. Eleven analysts have rated the stock with a Buy rating, sixteen have given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Hold” and a consensus target price of $61.65.

ON Semiconductor Stock Performance

NASDAQ ON opened at $65.10 on Tuesday. The firm has a market cap of $26.19 billion, a P/E ratio of 84.55, a price-to-earnings-growth ratio of 2.83 and a beta of 1.56. The company has a quick ratio of 3.54, a current ratio of 5.23 and a debt-to-equity ratio of 0.43. The company’s 50 day moving average is $58.39 and its 200-day moving average is $53.00. ON Semiconductor has a 12-month low of $31.04 and a 12-month high of $66.86.

ON Semiconductor (NASDAQ:ON) last released its quarterly earnings data on Monday, February 9th. The semiconductor company reported $0.64 EPS for the quarter, topping the consensus estimate of $0.62 by $0.02. ON Semiconductor had a net margin of 5.16% and a return on equity of 13.60%. The company had revenue of $1.53 billion during the quarter, compared to the consensus estimate of $1.54 billion. During the same period last year, the firm earned $0.95 EPS. ON Semiconductor’s revenue for the quarter was down 11.2% on a year-over-year basis. ON Semiconductor has set its Q1 2026 guidance at 0.560-0.660 EPS. Sell-side analysts predict that ON Semiconductor will post 2.6 earnings per share for the current year.

ON Semiconductor declared that its Board of Directors has authorized a share buyback plan on Tuesday, November 18th that permits the company to buyback $6.00 billion in outstanding shares. This buyback authorization permits the semiconductor company to repurchase up to 32.7% of its shares through open market purchases. Shares buyback plans are often an indication that the company’s management believes its stock is undervalued.

Insider Transactions at ON Semiconductor

In other ON Semiconductor news, CFO Trent Thad sold 20,000 shares of the stock in a transaction that occurred on Wednesday, December 3rd. The shares were sold at an average price of $55.05, for a total transaction of $1,101,000.00. Following the transaction, the chief financial officer directly owned 379,448 shares in the company, valued at $20,888,612.40. This trade represents a 5.01% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. 0.31% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On ON Semiconductor

A number of institutional investors have recently made changes to their positions in the business. National Pension Service raised its position in ON Semiconductor by 1,862.0% in the 4th quarter. National Pension Service now owns 791,127 shares of the semiconductor company’s stock worth $42,840,000 after purchasing an additional 750,804 shares during the period. SBI Okasan Asset Management Co.Ltd. bought a new position in shares of ON Semiconductor during the fourth quarter valued at about $2,777,000. United Super Pty Ltd in its capacity as Trustee for the Construction & Building Unions Superannuation Fund purchased a new position in shares of ON Semiconductor in the fourth quarter worth about $7,770,000. Savant Capital LLC lifted its stake in shares of ON Semiconductor by 17.2% in the 4th quarter. Savant Capital LLC now owns 5,152 shares of the semiconductor company’s stock valued at $279,000 after acquiring an additional 757 shares during the last quarter. Finally, Baker Avenue Asset Management LP purchased a new stake in ON Semiconductor during the 4th quarter valued at about $264,000. Hedge funds and other institutional investors own 97.70% of the company’s stock.

Key Stories Impacting ON Semiconductor

Here are the key news stories impacting ON Semiconductor this week:

• Positive Sentiment: Strong cash generation and shareholder return — onsemi reported record free cash flow (~$1.4B for 2025) and authorized a new share repurchase program up to $6 billion over three years, supporting buyback-driven EPS upside and capital returns. onsemi Reports Fourth Quarter and Full Year 2025 Results
• Positive Sentiment: Product/market positioning — company introduced vertical GaN (vGaN) power semiconductors and announced partnerships (Innoscience MoU, GlobalFoundries collaboration) that position onsemi for higher-value power and AI/automotive opportunities. onsemi Reports Fourth Quarter and Full Year 2025 Results
• Neutral Sentiment: Mixed quarter delivery — non-GAAP EPS (~$0.64) roughly beat consensus while GAAP EPS and several operating metrics fell year-over-year; the beat on EPS contrasts with top-line weakness, making the print ambiguous for valuation. ON Semiconductor Q4 Earnings: Top Estimates
• Neutral Sentiment: Analyst stance remains mixed/neutral — some brokers keep a hold/neutral view given gradual margin recovery potential from AI and power trends but uncertainty about the near-term rebound. Balanced Outlook on ON Semiconductor
• Negative Sentiment: Revenue and segment declines — Q4 revenue fell ~11% YoY and several business units declined (up to ~17%), driven by persistent inventory glut and weaker power/analog demand; that top-line softness pressured sentiment. Chipmaker Onsemi misses quarterly revenue estimates, shares fall
• Negative Sentiment: Cautious near-term guidance and market reaction — Q1 revenue/EPS ranges are conservative and the market sold off on the mixed print; Quiver/market writeups highlight the drop and note insider sales in recent months. ON Semiconductor Stock Falls on Q4 2025 Earnings

ON Semiconductor Company Profile

ON Semiconductor, which operates under the onsemi brand, is a global supplier of semiconductor components and related solutions. The company designs, manufactures and sells a broad portfolio that includes power and analog devices, discrete components, sensors and custom mixed-signal products. Its offerings are used to manage, convert and sense electrical power and signals across a wide range of electronic systems.

ON Semiconductor serves customers in key end markets such as automotive, industrial, cloud power and communications, as well as consumer and computing applications.