Would Peter Lynch consider ON SEMICONDUCTOR (NASDAQ:ON) a winning stock?

Peter Lynch was known for finding hidden gems in the market before they became mainstream. Is ON SEMICONDUCTOR (NASDAQ:ON) one of those under-the-radar stocks that fits his legendary strategy?

Applying Peter Lynch’s stock selection rules to ON SEMICONDUCTOR (NASDAQ:ON)

• ON exhibits a strong Return on Equity (ROE) of 17.88%, indicating the company's ability to generate solid returns on shareholder investments. This metric reflects the company's efficient utilization of equity capital and its profitability.
• With a Debt/Equity ratio of 0.38, ON demonstrates prudent financial management.
• The 5-year EPS growth of ON (21.88) highlights the company's ability to consistently improve its earnings performance and suggests a positive outlook for future profitability.
• With a PEG ratio of 0.45, ON presents a compelling case for growth at a fair price.
• A Current Ratio of 5.06 indicates that ON has a comfortable liquidity buffer.

Fundamental analysis of ON

ChartMill assigns a Fundamental Rating to every stock. This score, ranging from 0 to 10, is updated daily and is determined by evaluating multiple fundamental indicators and properties.

We assign a fundamental rating of 6 out of 10 to ON. ON was compared to 109 industry peers in the Semiconductors & Semiconductor Equipment industry. Both the health and profitability get an excellent rating, making ON a very profitable company, without any liquidiy or solvency issues. ON may be a bit undervalued, certainly considering the very reasonable score on growth These ratings could make ON a good candidate for value investing.

Our latest full fundamental report of ON contains the most current fundamental analsysis.

More Affordable Growth stocks can be found in our Peter Lynch screener.

Keep in mind

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.