ON SEMICONDUCTOR (ON) Fundamental Analysis & Valuation

NASDAQ:ON • US6821891057

Current stock price

63.49 USD
+1.3 (+2.09%)
At close:
63.7 USD
+0.21 (+0.33%)
Pre-Market:

This ON fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

6

1. ON Profitability Analysis

1.1 Basic Checks

  • In the past year ON was profitable.
  • In the past year ON had a positive cash flow from operations.
  • In the past 5 years ON has always been profitable.
  • Each year in the past 5 years ON had a positive operating cash flow.
ON Yearly Net Income VS EBIT VS OCF VS FCFON Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B 2.5B

1.2 Ratios

  • ON has a Return On Assets (0.97%) which is comparable to the rest of the industry.
  • The Return On Equity of ON (1.58%) is comparable to the rest of the industry.
  • ON has a Return On Invested Capital of 6.01%. This is in the better half of the industry: ON outperforms 66.96% of its industry peers.
  • ON had an Average Return On Invested Capital over the past 3 years of 13.57%. This is above the industry average of 10.70%.
  • The 3 year average ROIC (13.57%) for ON is well above the current ROIC(6.01%). The reason for the recent decline needs to be investigated.
Industry RankSector Rank
ROA 0.97%
ROE 1.58%
ROIC 6.01%
ROA(3y)9.55%
ROA(5y)11%
ROE(3y)15.84%
ROE(5y)20.05%
ROIC(3y)13.57%
ROIC(5y)16.19%
ON Yearly ROA, ROE, ROICON Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

1.3 Margins

  • With a Profit Margin value of 2.02%, ON perfoms like the industry average, outperforming 53.04% of the companies in the same industry.
  • ON's Profit Margin has declined in the last couple of years.
  • Looking at the Operating Margin, with a value of 12.53%, ON is in the better half of the industry, outperforming 70.43% of the companies in the same industry.
  • ON's Operating Margin has improved in the last couple of years.
  • ON's Gross Margin of 33.09% is on the low side compared to the rest of the industry. ON is outperformed by 65.22% of its industry peers.
  • ON's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 12.53%
PM (TTM) 2.02%
GM 33.09%
OM growth 3Y-27.74%
OM growth 5Y9.66%
PM growth 3Y-55.46%
PM growth 5Y-14.65%
GM growth 3Y-12.25%
GM growth 5Y0.27%
ON Yearly Profit, Operating, Gross MarginsON Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30 40

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7

2. ON Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ON is still creating some value.
  • Compared to 1 year ago, ON has less shares outstanding
  • The number of shares outstanding for ON has been reduced compared to 5 years ago.
  • The debt/assets ratio for ON is higher compared to a year ago.
ON Yearly Shares OutstandingON Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M 400M
ON Yearly Total Debt VS Total AssetsON Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B

2.2 Solvency

  • An Altman-Z score of 5.13 indicates that ON is not in any danger for bankruptcy at the moment.
  • ON has a Altman-Z score (5.13) which is in line with its industry peers.
  • The Debt to FCF ratio of ON is 2.12, which is a good value as it means it would take ON, 2.12 years of fcf income to pay off all of its debts.
  • ON's Debt to FCF ratio of 2.12 is fine compared to the rest of the industry. ON outperforms 66.09% of its industry peers.
  • ON has a Debt/Equity ratio of 0.39. This is a healthy value indicating a solid balance between debt and equity.
  • ON has a Debt to Equity ratio of 0.39. This is in the lower half of the industry: ON underperforms 66.09% of its industry peers.
  • Although ON's pure debt/equity ratio does not look good, it has limited outstanding debt compared to the Free Cash Flow. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
Industry RankSector Rank
Debt/Equity 0.39
Debt/FCF 2.12
Altman-Z 5.13
ROIC/WACC0.54
WACC11.23%
ON Yearly LT Debt VS Equity VS FCFON Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B

2.3 Liquidity

  • ON has a Current Ratio of 4.52. This indicates that ON is financially healthy and has no problem in meeting its short term obligations.
  • ON has a better Current ratio (4.52) than 66.09% of its industry peers.
  • ON has a Quick Ratio of 2.98. This indicates that ON is financially healthy and has no problem in meeting its short term obligations.
  • ON has a Quick ratio of 2.98. This is in the better half of the industry: ON outperforms 61.74% of its industry peers.
Industry RankSector Rank
Current Ratio 4.52
Quick Ratio 2.98
ON Yearly Current Assets VS Current LiabilitesON Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. ON Growth Analysis

3.1 Past

  • ON shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -40.95%.
  • Measured over the past years, ON shows a very strong growth in Earnings Per Share. The EPS has been growing by 22.85% on average per year.
  • The Revenue for ON has decreased by -15.35% in the past year. This is quite bad
  • ON shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.67% yearly.
EPS 1Y (TTM)-40.95%
EPS 3Y-23.89%
EPS 5Y22.85%
EPS Q2Q%-32.63%
Revenue 1Y (TTM)-15.35%
Revenue growth 3Y-10.37%
Revenue growth 5Y2.67%
Sales Q2Q%-11.17%

3.2 Future

  • The Earnings Per Share is expected to grow by 29.35% on average over the next years. This is a very strong growth
  • ON is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.71% yearly.
EPS Next Y27.73%
EPS Next 2Y32.97%
EPS Next 3Y32.84%
EPS Next 5Y29.35%
Revenue Next Year4.61%
Revenue Next 2Y6.68%
Revenue Next 3Y7.76%
Revenue Next 5Y9.71%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
ON Yearly Revenue VS EstimatesON Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2B 4B 6B 8B
ON Yearly EPS VS EstimatesON Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2 4 6 8

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Find the best growth stocksShow best growing peers

7

4. ON Valuation Analysis

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 27.02 indicates a quite expensive valuation of ON.
  • 84.35% of the companies in the same industry are more expensive than ON, based on the Price/Earnings ratio.
  • When comparing the Price/Earnings ratio of ON to the average of the S&P500 Index (26.21), we can say ON is valued inline with the index average.
  • A Price/Forward Earnings ratio of 21.15 indicates a rather expensive valuation of ON.
  • Based on the Price/Forward Earnings ratio, ON is valued cheaper than 80.87% of the companies in the same industry.
  • The average S&P500 Price/Forward Earnings ratio is at 23.13. ON is around the same levels.
Industry RankSector Rank
PE 27.02
Fwd PE 21.15
ON Price Earnings VS Forward Price EarningsON Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80 100

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, ON is valued cheaper than 83.48% of the companies in the same industry.
  • Based on the Price/Free Cash Flow ratio, ON is valued cheaply inside the industry as 93.91% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 17.63
EV/EBITDA 17.45
ON Per share dataON EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15

4.3 Compensation for Growth

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • ON has a very decent profitability rating, which may justify a higher PE ratio.
  • ON's earnings are expected to grow with 32.84% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.97
PEG (5Y)1.18
EPS Next 2Y32.97%
EPS Next 3Y32.84%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. ON Dividend Analysis

5.1 Amount

  • No dividends for ON!.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

ON Fundamentals: All Metrics, Ratios and Statistics

ON SEMICONDUCTOR

NASDAQ:ON (4/6/2026, 8:01:21 PM)

Premarket: 63.7 +0.21 (+0.33%)

63.49

+1.3 (+2.09%)

Chartmill FA Rating
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)02-09
Earnings (Next)05-04
Inst Owners110.42%
Inst Owner Change0%
Ins Owners0.33%
Ins Owner Change0.3%
Market Cap25.02B
Revenue(TTM)6.00B
Net Income(TTM)121.00M
Analysts70.91
Price Target68.61 (8.06%)
Short Float %7.16%
Short Ratio3.28
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.74%
Min EPS beat(2)-0.21%
Max EPS beat(2)3.69%
EPS beat(4)2
Avg EPS beat(4)1.38%
Min EPS beat(4)-3.5%
Max EPS beat(4)5.53%
EPS beat(8)4
Avg EPS beat(8)0.1%
EPS beat(12)8
Avg EPS beat(12)1.22%
EPS beat(16)12
Avg EPS beat(16)2.47%
Revenue beat(2)0
Avg Revenue beat(2)-1.96%
Min Revenue beat(2)-3.28%
Max Revenue beat(2)-0.65%
Revenue beat(4)1
Avg Revenue beat(4)-1.41%
Min Revenue beat(4)-3.28%
Max Revenue beat(4)0.12%
Revenue beat(8)1
Avg Revenue beat(8)-2.22%
Revenue beat(12)2
Avg Revenue beat(12)-1.87%
Revenue beat(16)4
Avg Revenue beat(16)-1.5%
PT rev (1m)-1.05%
PT rev (3m)13.47%
EPS NQ rev (1m)-2.12%
EPS NQ rev (3m)-1.32%
EPS NY rev (1m)-0.1%
EPS NY rev (3m)0.09%
Revenue NQ rev (1m)-0.07%
Revenue NQ rev (3m)-1.23%
Revenue NY rev (1m)-0.17%
Revenue NY rev (3m)-0.69%
Valuation
Industry RankSector Rank
PE 27.02
Fwd PE 21.15
P/S 4.17
P/FCF 17.63
P/OCF 14.22
P/B 3.26
P/tB 4.43
EV/EBITDA 17.45
EPS(TTM)2.35
EY3.7%
EPS(NY)3
Fwd EY4.73%
FCF(TTM)3.6
FCFY5.67%
OCF(TTM)4.47
OCFY7.03%
SpS15.22
BVpS19.47
TBVpS14.34
PEG (NY)0.97
PEG (5Y)1.18
Graham Number32.09
Profitability
Industry RankSector Rank
ROA 0.97%
ROE 1.58%
ROCE 6.68%
ROIC 6.01%
ROICexc 7.77%
ROICexgc 10.13%
OM 12.53%
PM (TTM) 2.02%
GM 33.09%
FCFM 23.66%
ROA(3y)9.55%
ROA(5y)11%
ROE(3y)15.84%
ROE(5y)20.05%
ROIC(3y)13.57%
ROIC(5y)16.19%
ROICexc(3y)17.59%
ROICexc(5y)21.3%
ROICexgc(3y)22.32%
ROICexgc(5y)28.91%
ROCE(3y)15.1%
ROCE(5y)18%
ROICexgc growth 3Y-40.91%
ROICexgc growth 5Y0.52%
ROICexc growth 3Y-39.74%
ROICexc growth 5Y4.24%
OM growth 3Y-27.74%
OM growth 5Y9.66%
PM growth 3Y-55.46%
PM growth 5Y-14.65%
GM growth 3Y-12.25%
GM growth 5Y0.27%
F-Score4
Asset Turnover0.48
Health
Industry RankSector Rank
Debt/Equity 0.39
Debt/FCF 2.12
Debt/EBITDA 2.09
Cap/Depr 49.74%
Cap/Sales 5.69%
Interest Coverage 12.88
Cash Conversion 122.46%
Profit Quality 1172.4%
Current Ratio 4.52
Quick Ratio 2.98
Altman-Z 5.13
F-Score4
WACC11.23%
ROIC/WACC0.54
Cap/Depr(3y)138.73%
Cap/Depr(5y)137.28%
Cap/Sales(3y)11.53%
Cap/Sales(5y)10.86%
Profit Quality(3y)422.63%
Profit Quality(5y)295.92%
High Growth Momentum
Growth
EPS 1Y (TTM)-40.95%
EPS 3Y-23.89%
EPS 5Y22.85%
EPS Q2Q%-32.63%
EPS Next Y27.73%
EPS Next 2Y32.97%
EPS Next 3Y32.84%
EPS Next 5Y29.35%
Revenue 1Y (TTM)-15.35%
Revenue growth 3Y-10.37%
Revenue growth 5Y2.67%
Sales Q2Q%-11.17%
Revenue Next Year4.61%
Revenue Next 2Y6.68%
Revenue Next 3Y7.76%
Revenue Next 5Y9.71%
EBIT growth 1Y-60.5%
EBIT growth 3Y-35.23%
EBIT growth 5Y12.59%
EBIT Next Year78.34%
EBIT Next 3Y37.25%
EBIT Next 5Y33.21%
FCF growth 1Y17.01%
FCF growth 3Y-3.87%
FCF growth 5Y28.77%
OCF growth 1Y-7.69%
OCF growth 3Y-12.57%
OCF growth 5Y14.76%

ON SEMICONDUCTOR / ON Fundamental Analysis FAQ

What is the ChartMill fundamental rating of ON SEMICONDUCTOR (ON) stock?

ChartMill assigns a fundamental rating of 6 / 10 to ON.


What is the valuation status of ON SEMICONDUCTOR (ON) stock?

ChartMill assigns a valuation rating of 7 / 10 to ON SEMICONDUCTOR (ON). This can be considered as Undervalued.


What is the profitability of ON stock?

ON SEMICONDUCTOR (ON) has a profitability rating of 6 / 10.


Can you provide the PE and PB ratios for ON stock?

The Price/Earnings (PE) ratio for ON SEMICONDUCTOR (ON) is 27.02 and the Price/Book (PB) ratio is 3.26.


What is the financial health of ON SEMICONDUCTOR (ON) stock?

The financial health rating of ON SEMICONDUCTOR (ON) is 7 / 10.