ON Semiconductor (ON) Stock

ON Semiconductor Corporation (NASDAQ:ON) will hold an investor webinar on the launch of the Treo Platform on November 18, 2024, at 9:00 PM ET. The event will feature company representatives, including Parag Agarwal, Thad Trent, and Sudhir Gopalswamy, along with participants from various financial institutions. The operator will welcome attendees to the onsemi Treo Platform webcast and conference call.

ON has introduced the AI-Integrated EyeSight System, which enhances image clarity and boosts vehicle safety.

ON's Treo Platform provides advanced power and sensing solutions that enhance efficiency, accuracy, and performance in sectors like automotive, healthcare, and data centers.

SCOTTSDALE, Ariz.--(BUSINESS WIRE)--What's New: onsemi has launched the Treo Platform, which is an analog and mixed-signal platform created using Bipolar-CMOS-DMOS (BCD) process technology at a cutting-edge 65nm node. This platform supports various power and sensing solutions from onsemi, such as efficient power management and specialized communication devices. By utilizing this versatile solution, customers can streamline their processes.

Look into how ON Semiconductor Corp.'s (ON) international revenue has changed over time and how this impacts Wall Street's predictions and the future of the stock.

ON Semiconductor's strong performance in FQ3'24 and positive guidance for FQ4'24 show that demand is stabilizing, which is also reflected in their steady gross margins. The management has suggested that FY2025 could be particularly strong, thanks to successful designs with three major North American companies. Additionally, they are seeing growth in electric vehicle designs in China and with VWAGY, as well as an increase in industrial silicon carbide customers in solar and energy storage markets.

OnSemi is still considered undervalued because of declines in the automotive and industrial sectors, which are leading to lower revenue and weak profits. Their silicon carbide technology makes electric vehicles more affordable by cutting down on battery size and weight, while also speeding up charging and improving efficiency, which helps more people adopt EVs. The company is increasing its market presence in China, Europe, and North America, setting itself up for growth as the electric vehicle market starts to bounce back.

The price of Onsemi (NASDAQ: ON) has dropped 40% from its peak, but this situation is expected to change soon due to a return to normal market conditions and increasing demand for its high-power semiconductors in 2025. Although the results for 2024 are not impressive, the Q3 results suggest that growth is likely to start again in the first quarter of fiscal 2025 and will speed up throughout the year.

In the third quarter, ON Semi reported a 1.5% increase in revenue compared to the previous quarter and exceeded expectations with a normalized earnings per share (EPS) of $0.02. The company's management predicts that the total addressable market for its combined segments will reach $44 billion by 2027, growing at an annual rate of 18% from 2022. Considering the cyclical risks in the industry and a modest outlook for the next 12 months, I recommend holding ON Semi shares, expecting more significant gains in late 2025 and 2026.