ON Semiconductor Corporation, together with its subsidiaries, manufactures and sells semiconductor components for various electronic devices worldwide.
ON Semiconductor Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$48.89|
|52 Week High||US$19.75|
|52 Week Low||US$49.71|
|1 Month Change||19.30%|
|3 Month Change||36.64%|
|1 Year Change||128.25%|
|3 Year Change||155.30%|
|5 Year Change||317.51%|
|Change since IPO||122.86%|
Recent News & Updates
Should You Investigate ON Semiconductor Corporation (NASDAQ:ON) At US$44.36?
Let's talk about the popular ON Semiconductor Corporation ( NASDAQ:ON ). The company's shares saw a significant share...
ON Semiconductor (NASDAQ:ON) Has A Pretty Healthy Balance Sheet
Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...
ON Semiconductor Offering An Exciting Growth And Margin Leverage Story
ON Semiconductor reported better than expected second quarter earnings, helped by white-hot demand and internal margin improvement efforts. The recent Analyst Day outlined a credible long-term success story built around above-market growth (focusing on EVs, ADAS, and industrial power and imaging) and improved operating efficiency. ON's internal targets are credible and could still offer upside; in a still-pricey sector, ON offers appealing upside.
|ON||US Semiconductor||US Market|
Return vs Industry: ON exceeded the US Semiconductor industry which returned 55% over the past year.
Return vs Market: ON exceeded the US Market which returned 33.8% over the past year.
Stable Share Price: ON is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: ON's weekly volatility (6%) has been stable over the past year.
About the Company
ON Semiconductor Corporation, together with its subsidiaries, manufactures and sells semiconductor components for various electronic devices worldwide. The company operates in three segments: Power Solutions Group (PSG), Advanced Solutions Group (ASG), and Intelligent Sensing Group (ISG). The PSG segment offers analog, discrete, module, and integrated semiconductor products for various applications, such as power switching, power conversion, signal conditioning, circuit protection, signal amplification, and voltage regulation functions.
Is ON Semiconductor undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ON ($48.89) is trading below our estimate of fair value ($54.06)
Significantly Below Fair Value: ON is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: ON is poor value based on its PE Ratio (40.2x) compared to the US Semiconductor industry average (29.6x).
PE vs Market: ON is poor value based on its PE Ratio (40.2x) compared to the US market (17.8x).
Price to Earnings Growth Ratio
PEG Ratio: ON is poor value based on its PEG Ratio (2.7x)
Price to Book Ratio
PB vs Industry: ON is overvalued based on its PB Ratio (5.6x) compared to the US Semiconductor industry average (4.4x).
How is ON Semiconductor forecast to perform in the next 1 to 3 years based on estimates from 26 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ON's forecast earnings growth (14.8% per year) is above the savings rate (2%).
Earnings vs Market: ON's earnings (14.8% per year) are forecast to grow slower than the US market (14.9% per year).
High Growth Earnings: ON's earnings are forecast to grow, but not significantly.
Revenue vs Market: ON's revenue (5.7% per year) is forecast to grow slower than the US market (9.8% per year).
High Growth Revenue: ON's revenue (5.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ON's Return on Equity is forecast to be low in 3 years time (18.2%).
How has ON Semiconductor performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ON has high quality earnings.
Growing Profit Margin: ON became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: ON's earnings have declined by 3.6% per year over the past 5 years.
Accelerating Growth: ON has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: ON has become profitable in the last year, making it difficult to compare its past year earnings growth to the Semiconductor industry (70.6%).
Return on Equity
High ROE: ON's Return on Equity (13.8%) is considered low.
How is ON Semiconductor's financial position?
Financial Position Analysis
Short Term Liabilities: ON's short term assets ($3.2B) exceed its short term liabilities ($1.5B).
Long Term Liabilities: ON's short term assets ($3.2B) do not cover its long term liabilities ($3.3B).
Debt to Equity History and Analysis
Debt Level: ON's debt to equity ratio (81.7%) is considered high.
Reducing Debt: ON's debt to equity ratio has reduced from 201.3% to 81.7% over the past 5 years.
Debt Coverage: ON's debt is well covered by operating cash flow (40.9%).
Interest Coverage: ON's interest payments on its debt are well covered by EBIT (5x coverage).
What is ON Semiconductor current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate ON's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate ON's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if ON's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if ON's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of ON's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Hassane El-Khoury (41 yo)
Mr. Hassane S. El-Khoury has been Chief Executive Officer, President and Director at ON Semiconductor Corporation since December 07, 2020. He served as Chief Executive Officer, President and Director at Cy...
CEO Compensation Analysis
Compensation vs Market: Hassane's total compensation ($USD8.37M) is about average for companies of similar size in the US market ($USD11.36M).
Compensation vs Earnings: Insufficient data to compare Hassane's compensation with company performance.
Experienced Management: ON's management team is considered experienced (2 years average tenure).
Experienced Board: ON's board of directors are not considered experienced ( 1.9 years average tenure), which suggests a new board.
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: ON insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4.8%.
ON Semiconductor Corporation's employee growth, exchange listings and data sources
- Name: ON Semiconductor Corporation
- Ticker: ON
- Exchange: NasdaqGS
- Founded: 1992
- Industry: Semiconductors
- Sector: Semiconductors
- Market Cap: US$21.049b
- Shares outstanding: 430.53m
- Website: https://www.onsemi.com
Number of Employees
- ON Semiconductor Corporation
- 5005 East McDowell Road
- United States
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/09/18 22:11|
|End of Day Share Price||2021/09/17 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.