Share Repurchase Program Authorized by ON Semiconductor (NASDAQ:ON) Board of Directors

ON Semiconductor (NASDAQ:ON) declared that its board has approved a share buyback program on Tuesday, November 18th, RTT News reports. The company plans to repurchase $6.00 billion in outstanding shares. This repurchase authorization authorizes the semiconductor company to purchase up to 32.7% of its stock through open market purchases. Stock repurchase programs are usually an indication that the company’s management believes its stock is undervalued.

ON Semiconductor Stock Down 1.0%

ON Semiconductor stock traded down $0.46 during trading hours on Tuesday, reaching $45.56. The stock had a trading volume of 7,119,263 shares, compared to its average volume of 9,533,933. The company has a market cap of $18.33 billion, a price-to-earnings ratio of 42.58, a PEG ratio of 2.58 and a beta of 1.56. The business’s 50 day moving average price is $49.88 and its 200-day moving average price is $50.40. ON Semiconductor has a 52 week low of $31.04 and a 52 week high of $74.52. The company has a debt-to-equity ratio of 0.42, a current ratio of 5.02 and a quick ratio of 3.37.

ON Semiconductor (NASDAQ:ON) last released its quarterly earnings results on Monday, November 3rd. The semiconductor company reported $0.63 earnings per share for the quarter, beating analysts’ consensus estimates of $0.59 by $0.04. The business had revenue of $1.55 billion for the quarter, compared to analysts’ expectations of $1.52 billion. ON Semiconductor had a net margin of 7.28% and a return on equity of 15.33%. The company’s revenue was down 12.0% compared to the same quarter last year. During the same period last year, the business earned $0.99 EPS. ON Semiconductor has set its Q4 2025 guidance at 0.570-0.670 EPS. Sell-side analysts anticipate that ON Semiconductor will post 2.6 EPS for the current year.

Analyst Upgrades and Downgrades

Several research analysts recently commented on the stock. Benchmark reaffirmed a “buy” rating on shares of ON Semiconductor in a research note on Tuesday, November 4th. Wells Fargo & Company reduced their target price on shares of ON Semiconductor from $65.00 to $62.00 and set an “overweight” rating on the stock in a research report on Tuesday, August 5th. Cowen reaffirmed a “buy” rating on shares of ON Semiconductor in a research note on Tuesday, November 4th. Needham & Company LLC boosted their price target on ON Semiconductor from $50.00 to $58.00 and gave the company a “buy” rating in a report on Monday, August 4th. Finally, Truist Financial raised their price objective on ON Semiconductor from $49.00 to $51.00 and gave the stock a “hold” rating in a report on Tuesday, November 4th. Fourteen equities research analysts have rated the stock with a Buy rating, fourteen have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company has an average rating of “Hold” and an average price target of $59.08.

About ON Semiconductor

onsemi is engaged in disruptive innovations and also a supplier of power and analog semiconductors. The firm offers vehicle electrification and safety, sustainable energy grids, industrial automation, and 5G and cloud infrastructure, with a focus on automotive and industrial end-markets. It operates through the following segments: Power Solutions Group, Advanced Solutions Group, and Intelligent Sensing Group.