Bullish on onsemi: Stabilizing End Markets, Accelerating AI Data Center Growth, and Margin Expansion Support Buy Rating and $75 Target

Susquehanna analyst Christopher Rolland reiterated a Buy rating on ON Semiconductor today and set a price target of $75.00.

Christopher Rolland has given his Buy rating due to a combination of factors, including stabilizing end markets and strengthening demand in key growth areas. Management has signaled that its Industrial segment has likely reached a trough, while excess Automotive inventory is largely normalized, supporting a more constructive multi‑year outlook despite near‑term guidance coming in a bit softer than expected.

He also highlights the company’s accelerating position in AI data centers and power solutions, where onsemi is already surpassing prior revenue targets and winning new UPS design slots. Improving utilization, ongoing cost efficiencies from the Fab Right program, and confidence in achieving long‑term margin and growth targets through 2026–2027 underpin his Positive view and $75 price target, making the risk‑reward attractive at current levels.

In another report released today, Wells Fargo also maintained a Buy rating on the stock with a $72.00 price target.