Onsemi (NASDAQ:ON) Shares Gap Down – Should You Sell?

Shares of Onsemi (NASDAQ:ON) gapped down before the market opened on Monday . The stock had previously closed at $41.91, but opened at $40.52. Onsemi shares last traded at $38.30, with a volume of 7,016,243 shares traded.

Wall Street Analyst Weigh In

A number of research firms have recently issued reports on ON. Craig Hallum reduced their price target on shares of Onsemi from $78.00 to $50.00 and set a “hold” rating on the stock in a research note on Tuesday, February 11th. Citigroup dropped their price objective on Onsemi from $52.00 to $40.00 and set a “neutral” rating for the company in a research note on Friday, April 11th. JPMorgan Chase & Co. dropped their target price on Onsemi from $88.00 to $60.00 and set a “neutral” rating for the company in a research report on Tuesday, February 11th. Needham & Company LLC restated a “buy” rating and issued a $57.00 price objective on shares of Onsemi in a report on Monday, March 3rd. Finally, Benchmark decreased their price target on shares of Onsemi from $90.00 to $60.00 and set a “buy” rating for the company in a research report on Wednesday, February 12th. One investment analyst has rated the stock with a sell rating, ten have assigned a hold rating and thirteen have given a buy rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $61.24.

Onsemi Stock Performance

The company has a debt-to-equity ratio of 0.38, a current ratio of 5.06 and a quick ratio of 3.38. The stock has a 50-day simple moving average of $40.48 and a 200-day simple moving average of $54.80. The stock has a market cap of $16.25 billion, a PE ratio of 10.58, a P/E/G ratio of 16.74 and a beta of 1.39.

Onsemi (NASDAQ:ON) last posted its quarterly earnings data on Monday, May 5th. The semiconductor company reported $0.55 earnings per share for the quarter, beating analysts’ consensus estimates of $0.51 by $0.04. The company had revenue of $1.45 billion during the quarter, compared to analysts’ expectations of $1.40 billion. Onsemi had a net margin of 22.21% and a return on equity of 20.10%. The firm’s revenue for the quarter was down 22.4% on a year-over-year basis. During the same period in the prior year, the company posted $1.08 EPS. Equities analysts predict that Onsemi will post 2.6 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the company. Nordea Investment Management AB increased its position in Onsemi by 25.9% in the fourth quarter. Nordea Investment Management AB now owns 402,124 shares of the semiconductor company’s stock worth $25,724,000 after buying an additional 82,614 shares during the period. Blue Trust Inc. lifted its position in Onsemi by 16.1% in the 4th quarter. Blue Trust Inc. now owns 8,076 shares of the semiconductor company’s stock valued at $509,000 after purchasing an additional 1,119 shares during the last quarter. Oak Thistle LLC bought a new position in Onsemi in the 4th quarter worth about $515,000. Deltec Asset Management LLC bought a new position in Onsemi in the 4th quarter worth approximately $6,343,000. Finally, World Investment Advisors LLC acquired a new position in Onsemi during the 3rd quarter worth $1,087,000. Institutional investors and hedge funds own 97.70% of the company’s stock.

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.