On Semiconductor Stock Buy Hold or Sell Recommendation

ON Stock  USD 75.61  2.72  3.73%   
Allowing for the 90-day total investment horizon and your above-average risk tolerance, our recommendation regarding ON Semiconductor is 'Strong Hold'. Macroaxis provides ON Semiconductor buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding ON positions. The advice algorithm takes into account all of ON Semiconductor's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting ON Semiconductor's buy or sell advice are summarized below:
Real Value
97.85
Target Price
119.5
Hype Value
75.45
Market Value
75.61
Naive Value
74.25
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell ON Semiconductor given historical horizon and risk tolerance towards ON Semiconductor. When Macroaxis issues a 'buy' or 'sell' recommendation for ON Semiconductor, the advice is generated through an automated system that utilizes algorithms and statistical models.
  
Check out ON Semiconductor Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
To learn how to invest in ON Semiconductor Stock, please use our How to Invest in ON Semiconductor guide.
In addition, we conduct extensive research on individual companies such as ON Semiconductor and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards ON Semiconductor. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in board of governors.

Execute ON Semiconductor Buy or Sell Advice

The ON Semiconductor recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on ON Semiconductor. Macroaxis does not own or have any residual interests in ON Semiconductor or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute ON Semiconductor's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell ON SemiconductorBuy ON Semiconductor
Strong Hold

Market Performance

Very WeakDetails

Volatility

Very steadyDetails

Hype Condition

Low keyDetails

Current Valuation

UndervaluedDetails

Odds Of Distress

Very LowDetails

Economic Sensitivity

Responds to the marketDetails

Investor Sentiment

ImpartialDetails

Analyst Consensus

BuyDetails

Financial Strenth (F Score)

HealthyDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon ON Semiconductor has a Risk Adjusted Performance of (0.02), Jensen Alpha of (0.33), Total Risk Alpha of (0.71) and Treynor Ratio of (0.08)
Macroaxis provides unbiased advice on ON Semiconductor that should be used to complement current analysts and expert consensus on ON Semiconductor. Our trade recommendation engine determines the firm's potential to grow exclusively from the perspective of an investors' current risk tolerance and investing horizon. To make sure ON Semiconductor is not overpriced, please check all ON Semiconductor fundamentals, including its shares owned by insiders, cash and equivalents, target price, as well as the relationship between the price to sales and book value per share . Given that ON Semiconductor has a price to earning of 18.40 X, we recommend you to check out ON Semiconductor market performance and probability of bankruptcy to ensure the company can sustain itself this quarter and beyond given your latest risk tolerance and investing horizon.

ON Semiconductor Trading Alerts and Improvement Suggestions

ON Semiconductor generated a negative expected return over the last 90 days
Over 100.0% of the company shares are owned by institutional investors
Latest headline from benzinga.com: Heres How Much You Would Have Made Owning ON Semiconductor Stock In The Last 10 Years

ON Semiconductor Returns Distribution Density

The distribution of ON Semiconductor's historical returns is an attempt to chart the uncertainty of ON Semiconductor's future price movements. The chart of the probability distribution of ON Semiconductor daily returns describes the distribution of returns around its average expected value. We use ON Semiconductor price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of ON Semiconductor returns is essential to provide solid investment advice for ON Semiconductor.
Mean Return
-0.12
Value At Risk
-3.4
Potential Upside
3.92
Standard Deviation
2.58
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of ON Semiconductor historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

ON Semiconductor Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument such as ON Semiconductor is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading ON Semiconductor backward and forwards among themselves. ON Semiconductor's institutional investor refers to the entity that pools money to purchase ON Semiconductor's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Shares
Ing Investment Management Llc2023-09-30
5.4 M
Morgan Stanley - Brokerage Accounts2023-09-30
5.3 M
Bank Of America Corp2023-09-30
5.2 M
Norges Bank2023-12-31
M
Ameriprise Financial Inc2023-09-30
4.3 M
Northern Trust Corp2023-09-30
4.1 M
Capital Research & Mgmt Co - Division 32023-12-31
4.1 M
Ubs Asset Mgmt Americas Inc2023-12-31
3.9 M
Barclays Plc2023-09-30
3.9 M
Fmr Inc2023-09-30
56.5 M
Vanguard Group Inc2023-09-30
50 M
Note, although ON Semiconductor's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

ON Semiconductor Cash Flow Accounts

201920202021202220232024 (projected)
Change To Inventory34.6M(26.3M)(122.8M)(235.2M)(495.2M)(470.4M)
Change In Cash(192.9M)187.3M296.2M1.6B(448M)(425.6M)
Free Cash Flow60.1M400.7M1.3B1.6B401.9M348.5M
Depreciation593.1M625.1M596.7M551.8M609.5M325.7M
Other Non Cash Items63.8M136.2M69.3M324M51.7M49.1M
Dividends Paid21M26.2M23.6M(38.9M)(2.1B)(2.0B)
Capital Expenditures634.6M483.6M492M1.0B1.6B1.7B
Net Income213.9M236.4M1.0B1.9B2.2B2.3B
End Period Cash Flow894.2M1.1B1.4B2.9B2.5B2.6B
Change To Netincome89M76.3M223.9M8.4M9.7M9.2M
Investments(1.5B)(453.6M)(915.1M)10.8M(1.7B)(1.7B)
Change Receivables4.7M31.4M(136.3M)(47.8M)(43.0M)(40.9M)
Net Borrowings785.6M(168.3M)(483.2M)(30M)(27M)(25.7M)

ON Semiconductor Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to ON Semiconductor or Semiconductors & Semiconductor Equipment sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that ON Semiconductor's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a ON Semiconductor stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over NYSE Composite
-0.33
β
Beta against NYSE Composite1.57
σ
Overall volatility
2.67
Ir
Information ratio -0.1

ON Semiconductor Volatility Alert

ON Semiconductor exhibits very low volatility with skewness of 1.13 and kurtosis of 2.3. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure ON Semiconductor's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact ON Semiconductor's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.

ON Semiconductor Implied Volatility

ON Semiconductor's implied volatility exposes the market's sentiment of ON Semiconductor stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if ON Semiconductor's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that ON Semiconductor stock will not fluctuate a lot when ON Semiconductor's options are near their expiration.

ON Semiconductor Fundamentals Vs Peers

Comparing ON Semiconductor's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze ON Semiconductor's direct or indirect competition across all of the common fundamentals between ON Semiconductor and the related equities. This way, we can detect undervalued stocks with similar characteristics as ON Semiconductor or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of ON Semiconductor's fundamental indicators could also be used in its relative valuation, which is a method of valuing ON Semiconductor by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare ON Semiconductor to competition
FundamentalsON SemiconductorPeer Average
Return On Equity0.31-0.31
Return On Asset0.13-0.14
Profit Margin0.26 %(1.27) %
Operating Margin0.31 %(5.51) %
Current Valuation32.02 B16.62 B
Shares Outstanding427.33 M571.82 M
Shares Owned By Insiders0.40 %10.09 %
Shares Owned By Institutions99.60 %39.21 %
Number Of Shares Shorted20.65 M4.71 M
Price To Earning18.40 X28.72 X
Price To Book4.00 X9.51 X
Price To Sales3.90 X11.42 X
Revenue8.25 B9.43 B
Gross Profit4.08 B27.38 B
EBITDA2.54 B3.9 B
Net Income2.19 B570.98 M
Cash And Equivalents2.48 B2.7 B
Cash Per Share5.74 X5.01 X
Total Debt3.36 B5.32 B
Debt To Equity0.61 %48.70 %
Current Ratio3.02 X2.16 X
Book Value Per Share18.25 X1.93 K
Cash Flow From Operations1.98 B971.22 M
Short Ratio2.77 X4.00 X
Earnings Per Share4.89 X3.12 X
Price To Earnings To Growth1.41 X4.89 X
Target Price88.6
Number Of Employees30 K18.84 K
Beta1.81-0.15
Market Capitalization32.2 B19.03 B
Total Asset13.22 B29.47 B
Retained Earnings6.55 B9.33 B
Working Capital3.73 B1.48 B

ON Semiconductor Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as ON Semiconductor . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About ON Semiconductor Buy or Sell Advice

When is the right time to buy or sell ON Semiconductor? Buying financial instruments such as ON Semiconductor Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2021 2022 2023 2024 (projected)
Short and Long Term Debt Total3.1B3.2B3.4B2.0B
Total Assets9.6B12.0B13.2B13.9B

Use Investing Ideas to Build Portfolios

In addition to having ON Semiconductor in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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IT
IT Theme
Information Technology (IT) companies and IT service providers across different domains. The IT theme has 46 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize IT Theme or any other thematic opportunities.
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When determining whether ON Semiconductor offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of ON Semiconductor's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of On Semiconductor Stock. Outlined below are crucial reports that will aid in making a well-informed decision on On Semiconductor Stock:
Check out ON Semiconductor Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
To learn how to invest in ON Semiconductor Stock, please use our How to Invest in ON Semiconductor guide.
You can also try the FinTech Suite module to use AI to screen and filter profitable investment opportunities.

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Is ON Semiconductor's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of ON Semiconductor. If investors know ON Semiconductor will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about ON Semiconductor listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.05)
Earnings Share
4.89
Revenue Per Share
19.162
Quarterly Revenue Growth
(0.04)
Return On Assets
0.1294
The market value of ON Semiconductor is measured differently than its book value, which is the value of ON Semiconductor that is recorded on the company's balance sheet. Investors also form their own opinion of ON Semiconductor's value that differs from its market value or its book value, called intrinsic value, which is ON Semiconductor's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because ON Semiconductor's market value can be influenced by many factors that don't directly affect ON Semiconductor's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between ON Semiconductor's value and its price as these two are different measures arrived at by different means. Investors typically determine if ON Semiconductor is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, ON Semiconductor's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.