ON Stock Analysis: Buy, Sell, or Hold?

ON - ON Semiconductor Corp

SEMICONDUCTORS & RELATED DEVICES
$59.89
-2.31 (-3.71%) ▼
BUY
MODERATE Confidence
Last Updated: January 30, 2026
Earnings: Feb 09, 2026 8d

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Interactive Price Chart (1 Month)

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💡
Bottom Line:
💡 BUY OPPORTUNITY: ON shows positive signals but monitor for confirmation. Market pricing in 3.4% growth. Moderate conviction.

Long-Term Wealth Forecast (2031)

Based on Analyst Consensus Growth & Historical Valuation

0% (Stagnation) 50% (Hyper Growth)
EST. PRICE IN 2031
$109.48
Based on 14.5% avg growth
INTRINSIC VALUE TODAY
$67.98
11.9% Margin of Safety

How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 19.2x Exit PE.

In-depth Analysis How we analyze

Valuation Analysis: ON is currently trading at $59.89, which is considered fair relative to its 30-day fair value range of $56.29 to $62.57. From a valuation perspective, the stock is trading at a premium (Forward PE: 21.2) compared to its historical average (19.2). At these levels, the market is pricing in 3.4% annual earnings growth.

Technical Outlook: Technically, ON is in a strong uptrend. The price is currently testing key support at $59.15. A bounce from this level would confirm strength, while a break below could signal further downside. Short-term momentum is weak, with the stock down 3.7% recently.

Market Sentiment: The stock shows a mixed technical setup (40/100), with neutral trendline and momentum signals. Combining these factors, the current setup offers a favorable risk/reward ratio for buyers.

Quick Decision Summary

Current Position FAIR
Fair Price Range $56.29 - $62.57
Company Quality Score 62/100 (BUY)
Volume Confirmation HIGH
Confidence Score 66.2%

All Signals

  • NEUTRAL: Price in fair range
  • NEUTRAL: Mixed technical signals (40/100)
  • BULLISH: High volume confirmation
  • BEARISH: Downward momentum (-3.7%)
  • NEUTRAL: Near Wall St target ($63.00)
  • BULLISH: Expecting earnings turnaround to 3.4% growth with -12.0% revenue growth

Fair Price Analysis

30-Day Fair Range $56.29 - $62.57
Current vs Fair Value FAIR

Support & Resistance Levels

Support Level $59.15
Resistance Level $66.86
Current Trend Strong Uptrend

Fundamental Context

Forward P/E (Next Year Est.) 21.24
Wall Street Target $63.00 (+1.3%)
Revenue Growth (YoY) -12.0%
Earnings Growth (YoY) -32.6%
Profit Margin 5.2%
Valuation Premium vs History +3.4% premium
PE vs Historical 21.2 vs 19.2 FAIR
Market-Implied Price Targets If current PE multiple persists
Implied Growth (YoY): +3.4% (market-implied from PE analysis)
1-Year Target $64.31 (+3%)
2-Year Target $66.50 (+7%)
3-Year Target $68.76 (+11%)
3-Yr Target (if PE normalizes) (PE: 21→19) PE COMPRESSION $62.15 (0%)
Earnings growth offset by PE compression
3-Year Scenarios Using analyst projected EPS growth
Bull: (PE: 22.3, Growth: 25.0%) $127.51 (+105%)
Base: (SPY PE: 21.2, Growth: 25.0%) $121.47 (+95%)
Bear: (PE: 18.1, Growth: 25.0%) $103.25 (+66%)
📈 Valuation based on Current Earnings
RECOVERY PLAY: Stock looks expensive now (22x PE), but valuation improves significantly next year (21x PE) as earnings recover.
Forward PE: 21.74 | Forward EPS (Implied): $2.75
Bull Case $72.32 (+21%)
Analyst growth 15.0%, PE expands to 22.8
Base Case $59.89 (0%)
Market implied 0.0%, PE stable at 21.7
Bear Case $45.82 (-24%)
Severe decline -15.0%, PE contracts to 19.6
These are projections based on PE multiples and EPS growth scenarios, not predictions. Actual results may vary significantly.
Last updated: January 31, 2026 12:05 AM ET
Data refreshes hourly during market hours. Next update: 1:05 AM
🔥 Top Stocks Breaking Out Now
Ticker Score Recommendation Change %
Insider Activity (6 Months)
0
Buys
1
Sells
Net
INSIDERS SELLING
Recent Transactions
Hassane El-Khoury SELL 15000 shares 2025-08-13

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Advanced ON Option Strategies

Professional options setups generated by AI based on today's ON price and gamma walls.

Iron Condor Bull Call Bear Put Collar

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