On Semi price target lowered to $50 from $60 at Benchmark

Benchmark analyst David Williams lowered the firm’s price target on On Semi (ON) to $50 from $60 and keeps a Buy rating on the shares after On’s Q1 upside and slightly better than expected outlook. While “encouraged” by the flattish guide, indicating end markets have mostly stabilized following six consecutive quarters in decline, the firm notes that gross margin pressure persists with Q2 margin guided to be about 37.5% at the midpoint, reflecting a 250 basis point decline quarter-over-quarter.