ON Semiconductor Corporation (ON) Stock Price & How to Invest

onsemi (ON Semiconductor) is a US-based semiconductor company focused on intelligent power and sensing technologies. Its power products, including silicon and silicon-carbide devices, manage and convert electricity in electric vehicles, industrial equipment, and power supplies, while its sensing products, such as image sensors, are used in automotive cameras and industrial vision. The company has deliberately concentrated on automotive and industrial markets, where semiconductor content per vehicle and per machine is rising, and it has been repositioning its manufacturing and product mix toward higher-margin, differentiated products rather than commodity chips.

The investment picture in mid-2026 blends a cyclical soft patch with an emerging growth driver. In Q1 2026 onsemi reported revenue of about $1.51 billion, above the midpoint of its guidance, with GAAP gross margin around 38.5% and non-GAAP diluted EPS of about $0.64; operating income rose year over year, outpacing revenue and reflecting cost and operational improvements. The standout was AI data-center demand, where revenue grew more than 30% sequentially and management said it expects that business to roughly double year over year in 2026, giving onsemi a new leg of growth alongside its automotive and industrial base. The company continued to generate free cash flow and returned capital through buybacks, repurchasing about $346 million of stock in the quarter. The core tension is that automotive and industrial demand remains cyclical, so the durable content-growth and AI narratives play out against quarter-to-quarter swings in those end markets.

The dominant risk is cyclicality: onsemi's automotive and industrial end markets rise and fall with the economy, vehicle production, and factory investment, so revenue and earnings can swing sharply and a soft patch can pressure results even amid long-run content growth. Competition is intense from larger and specialized power- and analog-chip makers, which can pressure pricing and share. The silicon-carbide and AI data-center opportunities require heavy investment and execution, and demand there could disappoint or arrive more slowly than hoped. Semiconductor manufacturing is capital-intensive, so factory utilization and inventory swings can move margins quickly. Concentration in automotive means an EV or auto-production slowdown would hit onsemi harder than a more diversified chipmaker. Trade policy, tariffs, and the health of key customers add further variables outside the company's control.

25 analysts publish price targets on ON, averaging $113.12 against a $81.61 price as of August 2026, or +38.6%. The published targets run from $85.00 to $150.00, a moderate spread, and the ratings split 11 buy, 18 hold, 0 sell. Over the last six months there have been 9 raises and 3 cuts among the published actions. A price target is what an analyst published on a date, not a prediction, and sell-side ratings skew positive across the whole market.

Read the full ON forecast and price target for the target table, the recent rating actions by firm, and how the consensus has shifted.

We give no verdict on ON Semiconductor Corporation. Both cases are real, which is why the question is contested at all, so here is the strongest version of each.

The case for buying. AI data-center power opportunity. onsemi's fastest-growing driver in 2026 is AI data-center demand, where revenue grew more than 30% sequentially and management expects it to roughly double year over year. The most optimistic published target, $150.00, assumes this works close to its best case.

The case against. The dominant risk is cyclicality: onsemi's automotive and industrial end markets rise and fall with the economy, vehicle production, and factory investment, so revenue and earnings can swing sharply and a soft patch can pressure results even amid long-run content growth. The most pessimistic target, $85.00, is roughly what ON is worth if this bites instead.

Read the full bull and bear case on ON, including what would have to change to break either one. Walnut is not an investment adviser.

A simple financial snapshot. These are approximations and refresh quarterly; for current figures see ON Semiconductor Corporation's investor relations page or your broker.

• Revenue (Q1 2026): ~$1.51 billion, above the midpoint of guidance
• GAAP gross margin: ~38.5% in Q1 2026
• Non-GAAP diluted EPS: ~$0.64 in Q1 2026
• AI data-center growth: up more than 30% sequentially; expected to roughly double year over year in 2026
• Capital return: about $346 million of buybacks in Q1 2026
• Key end markets: automotive, industrial, and AI data center

Figures are approximate and tied to the asOf date; verify live numbers before acting. For a cyclical semiconductor company, earnings multiples can look high near a cyclical trough (when profits are depressed) and low near a peak, so it helps to consider where automotive and industrial demand sit in the cycle rather than a single P/E. The AI data-center growth adds a faster-moving element to what has been a more cyclical, content-driven story.

If you want ON exposure as part of a larger bundle rather than directly, these ETFs hold it meaningfully. Weights are approximate and refresh quarterly.

Other names that sit close to ON: same theme, named as a direct competitor, or held beside it in the same funds. Each entry says which. Worth a look if you are thinking about diversification within a thesis rather than concentration on one ticker.

There are three common ways to get ON exposure. Buy shares (or fractional shares) directly at any major broker. Hold an ETF that includes it (RSP, KARS, QCLN), which spreads the position across many companies. Or build it into a focused thematic portfolio, so ON sits alongside other stocks that express the same thesis.

Walnut takes the portfolio route. Describe a thesis where ON fits (for example “AI infrastructure” or “dividend-growth large-caps”) and the AI proposes 5 to 6 constituents with target weights. You review the plan and fund it through your own broker when you're ready.

New to this? Start with how to invest in stocks, see how to analyze a stock with AI, or compare the best AI stock analyzers.

onsemi is a power- and sensing-chip specialist geared to electric vehicles, industrials, and a fast-growing AI data-center opportunity, buying back stock and improving margins through a downturn. It rewards a recovery in its core markets and a strong secular content story, but it carries the cyclicality of a semiconductor supplier.

Whether ON is worth buying today depends more on your time horizon and what you already hold than on any single call. We walk through valuation, what would have to go right, and the risks in is ON a buy or a sell?, and where the stock could go from here in the ON stock forecast.

For income investors, whether ON pays a dividend and how the payout looks is covered in does ON pay a dividend? And to weigh ON against a peer, read the full side-by-side comparisons: ON vs STM and ON vs TXN.