
ON Semiconductor (ON) Stock Forecast & Price Target
ON Semiconductor (ON) Analyst Ratings
Bulls say
ON Semiconductor is showing a positive financial outlook characterized by a projected gross margin increase to 38.5%, alongside a low-single-digit percentage revenue increase in Other revenue driven by strong performance in AI and data center applications. The company has reported a significant 70% year-over-year growth in its Aerospace, Defense, and Security subsegment, highlighting robust demand in both North America and Europe. Furthermore, ON Semiconductor has achieved approximately 70% growth in automotive revenue over the past five years, demonstrating its capability to outpace market growth through increased content and strategic advancements in emerging applications such as electric and autonomous vehicles.
Bears say
The outlook for ON Semiconductor's stock appears negative due to a combination of lower-than-expected revenue guidance and declining sales in critical business segments. Specifically, the company's forecasted revenue of $1.485 billion for the first quarter of 2026 is modestly below market expectations and reflects a quarter-on-quarter decline in key divisions, such as Power Solutions Group and Analog & Mixed-Signal Group. Additionally, while the firm reported a strong free cash flow margin of 24%, the underlying soft demand and a flat outlook for automotive revenue due to seasonal factors indicate significant challenges in sustaining growth in its primary markets.
This aggregate rating is based on analysts' research of ON Semiconductor and is not a guaranteed prediction by Public.com or investment advice.
ON Semiconductor (ON) Analyst Forecast & Price Prediction
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