48.69 USD
+0.38 (+0.79%)
Taking everything into account, ON scores 6 out of 10 in our fundamental rating. ON was compared to 112 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 has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year ON was profitable.
In the past year ON had a positive cash flow from operations.
Each year in the past 5 years ON has been profitable.
In the past 5 years ON always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 2.45%, ON perfoms like the industry average, outperforming 58.93% of the companies in the same industry.
Looking at the Return On Equity, with a value of 4.04%, ON is in line with its industry, outperforming 59.82% of the companies in the same industry.
The Return On Invested Capital of ON (6.79%) is better than 73.21% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ON is significantly above the industry average of 10.75%.
The 3 year average ROIC (19.04%) for ON is well above the current ROIC(6.79%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.45% | ||
| ROE | 4.04% | ||
| ROIC | 6.79% |
ROA(3y)14.52%
ROA(5y)11.35%
ROE(3y)25.56%
ROE(5y)21.06%
ROIC(3y)19.04%
ROIC(5y)15.34%
1.3 Margins
The Profit Margin of ON (5.16%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of ON has grown nicely.
The Operating Margin of ON (15.06%) is better than 75.00% of its industry peers.
In the last couple of years the Operating Margin of ON has grown nicely.
Looking at the Gross Margin, with a value of 35.75%, ON is doing worse than 64.29% of the companies in the same industry.
ON's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.06% | ||
| PM (TTM) | 5.16% | ||
| GM | 35.75% |
OM growth 3Y9.94%
OM growth 5Y18.56%
PM growth 3Y14.02%
PM growth 5Y42.07%
GM growth 3Y4.08%
GM growth 5Y4.89%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), ON is creating value.
ON has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, ON has more shares outstanding
The debt/assets ratio for ON has been reduced compared to a year ago.
2.2 Solvency
ON has an Altman-Z score of 4.34. This indicates that ON is financially healthy and has little risk of bankruptcy at the moment.
ON has a Altman-Z score (4.34) which is in line with its industry peers.
ON has a debt to FCF ratio of 2.47. This is a good value and a sign of high solvency as ON would need 2.47 years to pay back of all of its debts.
ON's Debt to FCF ratio of 2.47 is fine compared to the rest of the industry. ON outperforms 66.07% of its industry peers.
A Debt/Equity ratio of 0.43 indicates that ON is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.43, ON is not doing good in the industry: 65.18% of the companies in the same industry are doing better.
Although ON does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. 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 Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 2.47 | ||
| Altman-Z | 4.34 |
ROIC/WACC0.67
WACC10.15%
2.3 Liquidity
A Current Ratio of 5.23 indicates that ON has no problem at all paying its short term obligations.
The Current ratio of ON (5.23) is better than 75.00% of its industry peers.
A Quick Ratio of 3.54 indicates that ON has no problem at all paying its short term obligations.
The Quick ratio of ON (3.54) is better than 67.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.23 | ||
| Quick Ratio | 3.54 |
3. Growth
3.1 Past
ON shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -37.85%.
The Earnings Per Share has been growing by 21.88% on average over the past years. This is a very strong growth
The Revenue for ON has decreased by -16.13% 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 5.12% yearly.
EPS 1Y (TTM)-37.85%
EPS 3Y10.62%
EPS 5Y21.88%
EPS Q2Q%-36.36%
Revenue 1Y (TTM)-16.13%
Revenue growth 3Y1.67%
Revenue growth 5Y5.12%
Sales Q2Q%-11.98%
3.2 Future
The Earnings Per Share is expected to grow by 11.23% on average over the next years. This is quite good.
ON is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.30% yearly.
EPS Next Y-40.69%
EPS Next 2Y-12.89%
EPS Next 3Y2.21%
EPS Next 5Y11.23%
Revenue Next Year-16.3%
Revenue Next 2Y-5.74%
Revenue Next 3Y-0.59%
Revenue Next 5Y4.3%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 18.30, which indicates a rather expensive current valuation of ON.
Based on the Price/Earnings ratio, ON is valued cheaper than 89.29% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 25.98. ON is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 16.12 indicates a correct valuation of ON.
Based on the Price/Forward Earnings ratio, ON is valued cheaper than 86.61% of the companies in the same industry.
ON is valuated cheaply when we compare the Price/Forward Earnings ratio to 35.79, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.3 | ||
| Fwd PE | 16.12 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ON indicates a rather cheap valuation: ON is cheaper than 86.61% of the companies listed in the same industry.
92.86% of the companies in the same industry are more expensive than ON, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.32 | ||
| EV/EBITDA | 12.45 |
4.3 Compensation for Growth
The decent profitability rating of ON may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.84
EPS Next 2Y-12.89%
EPS Next 3Y2.21%
5. Dividend
5.1 Amount
No dividends for ON!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:ON (11/26/2025, 9:41:02 AM)
48.69
+0.38 (+0.79%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners111.02%
Inst Owner Change-0.12%
Ins Owners0.33%
Ins Owner Change-0.25%
Market Cap19.59B
Revenue(TTM)6.19B
Net Income(TTM)319.10M
Analysts71.82
Price Target59.91 (23.04%)
Short Float %8.97%
Short Ratio4.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)0.1%
Min EPS beat(2)-3.5%
Max EPS beat(2)3.69%
EPS beat(4)2
Avg EPS beat(4)0.1%
Min EPS beat(4)-5.32%
Max EPS beat(4)5.53%
EPS beat(8)5
Avg EPS beat(8)0.2%
EPS beat(12)9
Avg EPS beat(12)1.37%
EPS beat(16)13
Avg EPS beat(16)3.32%
Revenue beat(2)0
Avg Revenue beat(2)-1.24%
Min Revenue beat(2)-1.82%
Max Revenue beat(2)-0.65%
Revenue beat(4)1
Avg Revenue beat(4)-1.81%
Min Revenue beat(4)-4.89%
Max Revenue beat(4)0.12%
Revenue beat(8)1
Avg Revenue beat(8)-2.08%
Revenue beat(12)2
Avg Revenue beat(12)-1.71%
Revenue beat(16)5
Avg Revenue beat(16)-1.27%
PT rev (1m)1.87%
PT rev (3m)2.91%
EPS NQ rev (1m)0.17%
EPS NQ rev (3m)-0.11%
EPS NY rev (1m)-0.08%
EPS NY rev (3m)0.03%
Revenue NQ rev (1m)0.57%
Revenue NQ rev (3m)0.57%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)0.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.3 | ||
| Fwd PE | 16.12 | ||
| P/S | 3.17 | ||
| P/FCF | 14.32 | ||
| P/OCF | 10.98 | ||
| P/B | 2.48 | ||
| P/tB | 3.28 | ||
| EV/EBITDA | 12.45 |
EPS(TTM)2.66
EY5.46%
EPS(NY)3.02
Fwd EY6.2%
FCF(TTM)3.4
FCFY6.98%
OCF(TTM)4.44
OCFY9.11%
SpS15.38
BVpS19.65
TBVpS14.85
PEG (NY)N/A
PEG (5Y)0.84
Graham Number34.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.45% | ||
| ROE | 4.04% | ||
| ROCE | 7.9% | ||
| ROIC | 6.79% | ||
| ROICexc | 8.97% | ||
| ROICexgc | 11.45% | ||
| OM | 15.06% | ||
| PM (TTM) | 5.16% | ||
| GM | 35.75% | ||
| FCFM | 22.11% |
ROA(3y)14.52%
ROA(5y)11.35%
ROE(3y)25.56%
ROE(5y)21.06%
ROIC(3y)19.04%
ROIC(5y)15.34%
ROICexc(3y)25.66%
ROICexc(5y)20.08%
ROICexgc(3y)33.75%
ROICexgc(5y)27.59%
ROCE(3y)22.16%
ROCE(5y)17.85%
ROICexgc growth 3Y-8.83%
ROICexgc growth 5Y5.63%
ROICexc growth 3Y-1.27%
ROICexc growth 5Y11.96%
OM growth 3Y9.94%
OM growth 5Y18.56%
PM growth 3Y14.02%
PM growth 5Y42.07%
GM growth 3Y4.08%
GM growth 5Y4.89%
F-Score5
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 2.47 | ||
| Debt/EBITDA | 2.15 | ||
| Cap/Depr | 65.39% | ||
| Cap/Sales | 6.74% | ||
| Interest Coverage | 14.93 | ||
| Cash Conversion | 113.74% | ||
| Profit Quality | 428.71% | ||
| Current Ratio | 5.23 | ||
| Quick Ratio | 3.54 | ||
| Altman-Z | 4.34 |
F-Score5
WACC10.15%
ROIC/WACC0.67
Cap/Depr(3y)184.74%
Cap/Depr(5y)142.8%
Cap/Sales(3y)13.78%
Cap/Sales(5y)11.57%
Profit Quality(3y)59.82%
Profit Quality(5y)95.66%
High Growth Momentum
Growth
EPS 1Y (TTM)-37.85%
EPS 3Y10.62%
EPS 5Y21.88%
EPS Q2Q%-36.36%
EPS Next Y-40.69%
EPS Next 2Y-12.89%
EPS Next 3Y2.21%
EPS Next 5Y11.23%
Revenue 1Y (TTM)-16.13%
Revenue growth 3Y1.67%
Revenue growth 5Y5.12%
Sales Q2Q%-11.98%
Revenue Next Year-16.3%
Revenue Next 2Y-5.74%
Revenue Next 3Y-0.59%
Revenue Next 5Y4.3%
EBIT growth 1Y-55.33%
EBIT growth 3Y11.77%
EBIT growth 5Y24.63%
EBIT Next Year-17.86%
EBIT Next 3Y6.9%
EBIT Next 5Y13.95%
FCF growth 1Y130.61%
FCF growth 3Y-2.05%
FCF growth 5Y82.37%
OCF growth 1Y-14.9%
OCF growth 3Y2.27%
OCF growth 5Y22.37%
ON SEMICONDUCTOR / ON 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 for ON stock?
ChartMill assigns a valuation rating of 6 / 10 to ON SEMICONDUCTOR (ON). This can be considered as Fairly Valued.
Can you provide the profitability details for ON SEMICONDUCTOR?
ON SEMICONDUCTOR (ON) has a profitability rating of 7 / 10.
How financially healthy is ON SEMICONDUCTOR?
The financial health rating of ON SEMICONDUCTOR (ON) is 7 / 10.