Needham & Company LLC Reaffirms Buy Rating for onsemi (NASDAQ:ON)

onsemi (NASDAQ:ON)‘s stock had its “buy” rating reiterated by analysts at Needham & Company LLC in a note issued to investors on Friday, Benzinga reports. They presently have a $116.00 price target on the semiconductor company’s stock. Needham & Company LLC’s price objective would suggest a potential upside of 38.08% from the company’s current price.

A number of other equities analysts also recently issued reports on ON. Weiss Ratings raised shares of onsemi from a “sell (d+)” rating to a “hold (c)” rating in a research note on Friday, August 7th. Rosenblatt Securities reaffirmed a “neutral” rating and set a $85.00 target price on shares of onsemi in a research note on Thursday, September 17th. TD Cowen lowered their price objective on onsemi from $110.00 to $95.00 and set a “buy” rating on the stock in a research report on Monday, July 13th. Robert W. Baird raised their target price on shares of onsemi from $100.00 to $108.00 and gave the stock a “neutral” rating in a report on Tuesday, August 4th. Finally, Mizuho dropped their price target on shares of onsemi from $110.00 to $95.00 and set an “outperform” rating on the stock in a research note on Thursday, September 17th. Fifteen investment analysts have rated the stock with a Buy rating and fifteen have given a Hold rating to the company’s stock. According to MarketBeat.com, onsemi has a consensus rating of “Moderate Buy” and an average target price of $95.36.

onsemi Stock Performance

ON stock traded up $3.93 during midday trading on Friday, reaching $84.01. 16,453,316 shares of the company’s stock traded hands, compared to its average volume of 10,517,520. The company has a 50-day moving average price of $76.44 and a two-hundred day moving average price of $88.44. The firm has a market capitalization of $32.71 billion, a PE ratio of 53.75, a price-to-earnings-growth ratio of 0.64 and a beta of 2.05. The company has a debt-to-equity ratio of 0.51, a quick ratio of 2.49 and a current ratio of 3.46. onsemi has a 52 week low of $44.56 and a 52 week high of $134.92.

onsemi (NASDAQ:ON) last announced its earnings results on Monday, August 3rd. The semiconductor company reported $0.74 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.72 by $0.02. onsemi had a net margin of 10.17% and a return on equity of 14.06%. The company had revenue of $1.60 billion during the quarter, compared to analyst estimates of $1.59 billion. During the same period in the previous year, the business earned $0.53 earnings per share. The firm’s quarterly revenue was up 9.2% compared to the same quarter last year. onsemi has set its Q3 2026 guidance at 0.810-0.930 EPS. As a group, equities analysts anticipate that onsemi will post 3.2 EPS for the current year.

Hedge Funds Weigh In On onsemi

A number of institutional investors have recently bought and sold shares of ON. Engineers Gate Manager LP raised its stake in shares of onsemi by 570.3% during the second quarter. Engineers Gate Manager LP now owns 304,377 shares of the semiconductor company’s stock valued at $28,776,000 after purchasing an additional 258,968 shares during the period. Kornitzer Capital Management Inc. KS raised its stake in shares of onsemi by 103.0% during the first 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 during the period. Swiss National Bank increased its stake in shares of onsemi by 5.4% in the first quarter. Swiss National Bank now owns 1,180,800 shares of the semiconductor company’s stock worth $73,115,000 after buying an additional 60,200 shares during the last quarter. ExodusPoint Capital Management LP increased its stake in shares of onsemi by 49.7% in the fourth quarter. ExodusPoint Capital Management LP now owns 667,844 shares of the semiconductor company’s stock worth $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. 97.70% of the stock is owned by hedge funds and other institutional investors.

More onsemi News

Here are the key news stories impacting onsemi this week:

• Positive Sentiment: More favorable Synaptics deal terms: onsemi will acquire Synaptics for $123 per share in cash, valuing the transaction at approximately $5.7 billion versus roughly $7 billion under the original all-stock agreement. The revised structure avoids issuing new onsemi shares and is expected to be immediately accretive to non-GAAP earnings per share. ON Semiconductor’s revised Synaptics deal improves earnings outlook, says BofA
• Positive Sentiment: Analyst support strengthened: Bank of America and UBS said the amended transaction could deliver a larger earnings benefit than previously anticipated. Wells Fargo also raised its onsemi price target to $100 from $85 with an overweight rating, while Needham reaffirmed a buy rating and a $116 target. Onsemi’s Revised Synaptics Deal Expected to Be Immediately Accretive, UBS Says
• Positive Sentiment: Potential operational upside: Management cited previously disclosed synergies, additional revenue opportunities and the possibility of bringing some Synaptics production in-house after closing. Unusually high call-option activity also indicated increased bullish trading interest. ON Semiconductor Analyst’s 5 Key Takeaways from Synaptics Acquisition
• Neutral Sentiment: Key risks remain: The transaction followed an unsolicited competing proposal for Synaptics, so closing and integration remain subject to deal conditions. Although the lower purchase price improves economics, funding a $5.7 billion cash acquisition could increase financial obligations and execution risk.

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.