Onsemi is a supplier of power semiconductors and sensors focused on the automotive and industrial markets. Onsemi is the second-largest power chipmaker in the world and the largest supplier of image sensors to the automotive market. While the firm used to be highly vertically integrated, it now pursues a hybrid manufacturing strategy for flexible capacity. Onsemi is pivoting to focus on emerging applications like electric vehicles, autonomous vehicles, industrial automation, and renewable energy.
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The chart shows the growth of an initial investment of $10,000 in ON Semiconductor Corp, comparing it to the performance of the S&P 500 index.
All prices have been adjusted for splits and dividends.
ON Semiconductor Corp (ON) has returned 12.56% so far this year and 86.31% over the past 12 months. Looking at the last ten years, ON has achieved an annualized return of 20.46%, outperforming the Benchmark (SPY), which averaged 12.23% per year.
The table below presents the monthly returns of ON Semiconductor Corp (ON) with color gradation from worst to best to easily spot seasonal factors.
| Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2026 | 8.40% | 11.24% | -4.91% | -0.94% | ||||||||
| 2025 | -17.98% | -7.11% | -14.50% | -1.99% | 4.46% | 25.32% | 8.78% | -10.94% | 2.41% | 1.48% | 1.43% | 9.43% |
| 2024 | -14.06% | 10.22% | -7.09% | -5.05% | 5.87% | -7.38% | 13.47% | 2.08% | -4.97% | -2.73% | 0.88% | -11.20% |
| 2023 | 14.86% | 4.72% | 5.38% | -11.94% | 11.64% | 11.35% | 12.87% | -8.60% | -6.40% | -33.33% | 14.13% | 17.24% |
| 2022 | -13.91% | 5.53% | 0.16% | -17.51% | 12.64% | -17.83% | 35.48% | 7.02% | -6.57% | -2.51% | 19.88% | -17.39% |
| 2021 | 4.36% | 10.63% | -0.93% | -7.69% | 4.76% | -5.43% | 1.72% | 3.32% | 2.58% | 4.77% | 14.29% | 7.72% |
| 2020 | -6.46% | -13.01% | -33.79% | 34.38% | 7.01% | 20.27% | 2.13% | 3.19% | 0.88% | 12.01% | 18.26% | 12.67% |
| 2019 | 24.16% | 7.13% | -5.56% | 8.82% | -23.78% | 10.44% | 0.56% | -16.94% | 9.77% | 5.86% | 4.43% | 12.66% |
| 2018 | 17.64% | -3.24% | 1.79% | -9.25% | 14.23% | -12.74% | 0.14% | -3.00% | -13.07% | -7.81% | 12.43% | -17.16% |
| 2017 | 4.47% | 11.33% | 0.91% | -8.81% | 8.86% | -10.00% | 5.58% | 13.87% | 7.89% | 14.99% | -7.42% | 4.86% |
| 2016 | -0.32% | 2.95% | -9.91% | 14.76% | 7.57% | 14.18% | -6.49% | 0.43% | 8.14% |
The charts below present risk-adjusted performance metrics for ON Semiconductor Corp (ON) and compare them to a Benchmark (SPY). These indicators evaluate an investment's returns against its associated risks.
The Sharpe ratio helps investors understand how much return they're getting for the level of risk taken. A higher Sharpe ratio indicates better risk-adjusted performance, meaning more reward for each unit of risk.
These values reflect how efficiently the investment has delivered returns relative to its volatility over different time periods. All figures are annualized and based on daily total returns.
The chart below shows the rolling Sharpe ratio of ON compared to the benchmark. This view highlights how the investment's risk-adjusted performance has changed over time.
The current ON Semiconductor Corp volatility is 3.70%, representing the standart deviation of percentage change in the investments's value, either up or down over the past month. The chart below shows the rolling one-month volatility.
The Drawdowns chart displays portfolio losses from any high point along the way. It shows the maximum percentage drop from a peak to a trough over a specified period, indicating the risk of significant losses.
Although chart shows positive values, it represents the percentage drop from the peak, so a value of 10% means the portfolio has dropped 10% from its highest point.
The income statement provides a summary of a company's revenues, expenses, and profits over a specific period. It shows how much money the company earned (revenues) and how much it spent (expenses), leading to the net income or profit. This statement is crucial for understanding a company's financial performance and profitability.
| 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Liabilities And Equity (USD) | 12.52B | 14.09B | 13.22B | 11.98B | 9.63B | 8.67B | 8.43B | 7.59B | 7.20B | 6.92B | 3.87B |
| Temporary Equity Attributable To Parent (USD) | - | - | - | - | - | - | - | - | - | 32.90M | - |
| Temporary Equity (USD) | - | - | - | - | - | - | - | - | - | 32.90M | - |
| Equity Attributable To Parent (USD) | 7.67B | 8.80B | 7.78B | 6.19B | 4.59B | 3.54B | 3.30B | 3.17B | 2.78B | 1.82B | 1.61B |
| Equity Attributable To Noncontrolling Interest (USD) | 18.60M | 18.10M | 18.00M | 18.50M | 19.00M | 19.60M | 22.40M | 22.50M | 22.20M | 21.80M | 23.70M |
| Equity (USD) | 7.69B | 8.81B | 7.80B | 6.21B | 4.60B | 3.56B | 3.32B | 3.19B | 2.80B | 1.85B | 1.63B |
| Other Non-current Liabilities (USD) | 564.00M | 560.60M | - | 481.80M | 219.90M | - | - | - | - | - | - |
| Long-term Debt (USD) | 2.98B | 3.38B | 3.38B | 3.23B | 3.26B | 3.59B | 3.75B | 2.94B | 3.18B | 3.81B | 1.52B |
| Noncurrent Liabilities (USD) | 3.54B | 3.94B | 3.23B | 3.71B | 3.48B | 3.44B | 3.28B | 2.92B | 2.99B | 3.54B | 998.40M |
| Other Current Liabilities (USD) | 715.40M | 760.30M | 1.46B | 1.21B | 908.30M | 1.10B | 1.27B | 797.60M | 860.90M | 1.07B | 901.60M |
| Accounts Payable (USD) | 572.30M | 574.50M | 725.60M | 852.10M | 635.10M | 572.90M | 543.60M | 671.70M | 548.00M | 434.00M | 337.70M |
| Current Liabilities (USD) | 1.29B | 1.33B | 2.18B | 2.06B | 1.54B | 1.67B | 1.82B | 1.47B | 1.41B | 1.50B | 1.24B |
| Liabilities (USD) | 4.83B | 5.28B | 5.41B | 5.77B | 5.02B | 5.11B | 5.10B | 4.39B | 4.39B | 5.05B | 2.24B |
| Other Non-current Assets (USD) | 2.99B | 2.72B | 2.60B | 2.44B | 2.82B | 2.50B | 2.22B | 1.30B | 1.35B | 1.13B | 378.20M |
| Intangible Assets (USD) | 343.90M | 257.90M | 299.30M | 359.70M | 495.70M | 469.00M | 590.50M | 566.40M | 628.30M | 762.10M | 325.80M |
| Fixed Assets (USD) | 3.37B | 4.36B | 4.40B | 3.45B | 2.52B | 2.51B | 2.59B | 2.55B | 2.28B | 2.16B | 1.27B |
| Noncurrent Assets (USD) | 6.70B | 7.34B | 7.30B | 6.25B | 5.84B | 5.48B | 5.41B | 4.42B | 4.26B | 4.06B | 1.98B |
| Other Current Assets (USD) | 2.93B | 3.35B | 2.87B | 3.27B | 1.59B | 1.26B | 1.08B | 1.26B | 1.14B | 1.21B | 702.10M |
| Prepaid Expenses (USD) | - | - | - | - | - | - | - | - | - | - | 12.60M |
| Inventory (USD) | 1.99B | 2.24B | 2.11B | 1.62B | 1.38B | 1.25B | 1.23B | 1.23B | 1.09B | 1.03B | 750.40M |
| Accounts Receivable (USD) | 908.00M | 1.16B | 935.40M | 842.30M | 809.40M | 676.00M | 705.00M | 686.00M | 701.50M | 629.80M | 426.40M |
| Current Assets (USD) | 5.82B | 6.75B | 5.91B | 5.73B | 3.78B | 3.18B | 3.02B | 3.17B | 2.93B | 2.87B | 1.89B |
| Assets (USD) | 12.52B | 14.09B | 13.22B | 11.98B | 9.63B | 8.67B | 8.43B | 7.59B | 7.20B | 6.92B | 3.87B |
U.S. equities staged their strongest rally in weeks on Tuesday following Trump's signals of willingness to end military hostilities with Iran. The S&P 500 advanced 1.8% to 6,456, though it remains down 6.2% for the month. Tech stocks led the recovery with the Nasdaq 100 rising 2%. Despite the rally, the S&P 500 is on track for its worst monthly performance since September 2022.
ON Semiconductor's stock has surged 53% since being selected as a top pick for 2026, but the author argues it remains a compelling value. The company is experiencing an inflection point with growth returning across automotive, industrial, and AI infrastructure segments. With a forward price-to-FCF multiple of 18.1, strong free cash flow generation ($1.4B in 2025), and a $6B share buyback program, the stock offers substantial upside despite its recent gains.
The global power transistor market is valued at $16.26 billion in 2025 and is expected to grow to $42.02 billion by 2035 at a CAGR of 9.96%. Growth is driven by rising EV adoption, renewable energy integration, and demand for energy-efficient power electronics. Asia Pacific leads with 39.4% market share, while the automotive segment is the fastest-growing end-use sector. Manufacturing complexity with wide-bandgap materials like SiC and GaN remains a key constraint.
ON Semiconductor (Onsemi) is positioned for a potential breakout following Q4 2025 earnings that showed margin improvements and signs of business stabilization. With record free cash flow margins, aggressive $6 billion buyback authorization, and expected revenue growth acceleration throughout 2026, the stock appears fairly valued near $67 with bullish technical indicators, though institutional selling in 2025 poses a risk.
ON Semiconductor reported Q4 earnings of 64 cents per share, beating the 62 cent estimate, but quarterly revenue of $1.53 billion missed the $1.536 billion consensus and declined year-over-year from $1.72 billion. The company's Q1 guidance came in below analyst expectations, with EPS guidance of 56-66 cents versus 61 cent estimate and revenue guidance of $1.44-1.54 billion versus $1.51 billion estimate. The stock dropped 5.42% in extended trading.
U.S. stock futures declined on Monday following Friday's record close, with the Dow Jones, S&P 500, and Nasdaq 100 all trading lower in premarket. Key movers include STMicroelectronics jumping on an AWS deal, Kroger gaining on CEO speculation, and FedEx rising after announcing the InPost acquisition. Markets are awaiting economic data this week including employment reports and CPI data, with analysts noting cooling inflation and strong corporate earnings as drivers of recent gains.
The global Gallium Nitride (GaN) transistor market is projected to grow from USD 237.74 million in 2026 to USD 387.63 million by 2032, with an 8.75% CAGR. Growth is driven by innovations in device physics, packaging improvements, and increased adoption across power conversion, RF amplification, and high-efficiency switching applications. The market is transitioning from niche to mainstream, with regional variations influenced by policy, manufacturing capabilities, and end-use requirements.
The U.S. Time-of-Flight (ToF) laser distance sensors market is estimated at $106.41 million in 2025 and is projected to grow at a CAGR of 8.13% through 2033, reaching $198.79 million. Growth is driven by rising adoption of automation, robotics, and smart manufacturing, with increasing demand for precise 3D sensing. However, high production costs and integration complexity pose challenges to market expansion.
The U.S. low-light imaging market is estimated at $3.46 billion in 2025 and is projected to reach $8.44 billion by 2033, growing at a CAGR of 11.78%. Growth is driven by increased adoption in defense, surveillance, automotive night vision, and medical imaging, supported by advances in CMOS sensors and AI-driven image enhancement. However, high sensor costs and complex integration challenges may impede market expansion.
The VanEck Semiconductor ETF (SMH) offers a diversified way to profit from AI by investing in 26 semiconductor companies rather than individual chip stocks. With a low 0.35% expense ratio and average annual returns of 31% over 10 years, it significantly outperforms the Nasdaq-100. However, investors should expect volatility and maintain a long-term perspective.