ON Semiconductor (ON – Research Report), the Technology sector company, was revisited by a Wall Street analyst yesterday. Analyst Christopher Rolland from Susquehanna reiterated a Buy rating on the stock and has a $50.00 price target.
Christopher Rolland has given his Buy rating due to a combination of factors including ON Semiconductor’s strong performance in the Industrial and AI/DC sectors, which have shown significant upside potential. Despite some challenges in the automotive sector, particularly in Europe and due to CNY seasonality, the company has managed to maintain a positive outlook with its SiC technology expected to be included in around 50% of new EV models launching in China by the second half of 2025.
Moreover, ON Semiconductor’s strategic moves in AI/DC power, including partnerships with major UPS suppliers and a large U.S. hyperscaler, demonstrate promising growth opportunities. The company also reported early signs of stabilization in the industrial sector, with favorable booking trends and recovery in traditional consumer parts. Despite near-term headwinds and a reduction in estimates for the second half, the long-term growth story driven by SiC, AI/DC power, and the Treo platform supports the positive rating, albeit with a slightly reduced price target from $55 to $50.
In another report released today, Roth MKM also maintained a Buy rating on the stock with a $50.00 price target.
Based on the recent corporate insider activity of 48 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of ON in relation to earlier this year.