onsemi (NASDAQ:ON) Shares Gap Up on Analyst Upgrade

onsemi (NASDAQ:ON) gapped up prior to trading on Friday after Wells Fargo & Company raised their price target on the stock from $85.00 to $100.00. The stock had previously closed at $80.08, but opened at $84.75. Wells Fargo & Company currently has an overweight rating on the stock. onsemi shares last traded at $84.1730, with a volume of 4,670,871 shares changing hands.

A number of other research analysts have also issued reports on ON. Sanford C. Bernstein reissued an “outperform” rating and set a $62.00 target price on shares of onsemi in a research note on Wednesday, August 12th. Robert W. Baird boosted their price objective on onsemi from $100.00 to $108.00 and gave the stock a “neutral” rating in a research report on Tuesday, August 4th. B. Riley Financial decreased their price objective on onsemi from $135.00 to $127.00 and set a “buy” rating for the company in a report on Tuesday, August 4th. Needham & Company LLC restated a “buy” rating and issued a $116.00 target price on shares of onsemi in a research report on Friday. Finally, UBS Group reiterated a “neutral” rating on shares of onsemi in a research report on Thursday, September 17th. Fifteen equities research analysts have rated the stock with a Buy rating and fifteen have given a Hold rating to the stock. According to data from MarketBeat.com, onsemi has an average rating of “Moderate Buy” and a consensus target price of $95.36.

Key Headlines Impacting onsemi

Here are the key news stories impacting onsemi this week:

• Positive Sentiment: Revised Synaptics deal is viewed as more shareholder-friendly. onsemi will acquire Synaptics for $123 per share in cash, valuing the transaction at approximately $5.7 billion. The revised structure replaces the previous all-stock agreement, reduces dilution risk and is expected to provide immediate EPS accretion for onsemi shareholders. The amendment followed an unsolicited competing proposal for Synaptics. onsemi and Synaptics revised merger agreement
• Positive Sentiment: Analysts raised their valuation expectations. Wells Fargo lifted its onsemi price target from $85 to $100 and assigned an “overweight” rating. Needham also reaffirmed a “buy” rating with a $116 target. The upgrades indicate that analysts believe the revised transaction could improve onsemi’s earnings profile and strategic position. Analyst ratings and price targets
• Positive Sentiment: Broader market conditions provided additional support. U.S. stocks and technology shares were broadly higher, helping semiconductor names attract buying interest. The positive sector backdrop likely amplified the favorable reaction to onsemi’s deal announcement. Technology stocks moving higher
• Neutral Sentiment: Investors will still monitor execution risk. Although the all-cash structure removes stock dilution, the acquisition will require substantial cash funding and remains subject to customary closing conditions and regulatory approval. The transaction’s longer-term benefit depends on successful integration and realization of expected synergies.

Institutional Investors Weigh In On onsemi

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Janus Henderson Group PLC raised its stake in shares of onsemi by 10.9% in the 1st quarter. Janus Henderson Group PLC now owns 13,700,884 shares of the semiconductor company’s stock worth $848,392,000 after buying an additional 1,345,894 shares in the last quarter. Assenagon Asset Management S.A. boosted its stake in onsemi by 74.8% during the second quarter. Assenagon Asset Management S.A. now owns 2,807,808 shares of the semiconductor company’s stock valued at $265,450,000 after buying an additional 1,201,534 shares in the last quarter. Boston Trust Walden Corp grew its holdings in onsemi by 524.0% during the first quarter. Boston Trust Walden Corp now owns 1,038,146 shares of the semiconductor company’s stock worth $64,282,000 after acquiring an additional 871,786 shares during the period. Van ECK Associates Corp raised its position in onsemi by 16.6% in the second quarter. Van ECK Associates Corp now owns 5,143,343 shares of the semiconductor company’s stock worth $486,252,000 after acquiring an additional 731,540 shares in the last quarter. Finally, Pictet Asset Management Holding SA lifted its holdings in onsemi by 15.5% in the 1st quarter. Pictet Asset Management Holding SA now owns 4,597,886 shares of the semiconductor company’s stock valued at $284,495,000 after acquiring an additional 615,905 shares during the last quarter. Institutional investors own 97.70% of the company’s stock.

onsemi Stock Up 4.9%

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 stock’s fifty day simple moving average is $76.44 and its two-hundred day simple moving average is $88.44. The company has a market capitalization of $32.72 billion, a price-to-earnings ratio of 53.82, a P/E/G ratio of 0.64 and a beta of 2.05.

onsemi (NASDAQ:ON) last posted its quarterly earnings results on Monday, August 3rd. The semiconductor company reported $0.74 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.72 by $0.02. The company had revenue of $1.60 billion for the quarter, compared to analysts’ expectations of $1.59 billion. onsemi had a return on equity of 14.06% and a net margin of 10.17%.The firm’s revenue was up 9.2% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.53 earnings per share. onsemi has set its Q3 2026 guidance at 0.810-0.930 EPS. On average, sell-side analysts anticipate that onsemi will post 3.2 EPS for the current year.

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.