We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Robust Demand & Favorable Mix to Aid onsemi's (ON) Q4 Earnings
Read MoreHide Full Article
onsemi (ON - Free Report) is benefiting from an increase in supply and favorable mix and pricing across all end-markets served. A robust demand environment, particularly for power and sensing products in automotive and industrial end markets, is expected to have driven the top line in fourth-quarter 2021. The company is set to release quarterly numbers on Feb 7.
The company continues to gain traction among electric vehicle manufacturers. It is witnessing a solid demand environment, particularly for its power and sensing products, which it expects to continue in the near term.
Collaborations with Lumentum (LITE - Free Report) and Ambarella (AMBA - Free Report) are expected to help onsemi accelerate AIoT device deployment across verticals in the semiconductor market.
Per the agreement, Lumentum, Ambarella and onsemi will work on two new joint reference designs of AioT devices for biometric access control, 3D electronic looks and other intelligent sensing applications
Click here to know how the company’s overall fourth-quarter performance is likely to have been.
ON Semiconductor Corporation Price and EPS Surprise
The company is benefiting from broad-based strength across industrial, computing, consumer and automotive end-markets., evident from its booking trends in the last few quarters.
The company’s automotive segment is a strong growth driver. Unit growth, share gains, attractive product offerings, rising content along with increasing demand for electric vehicles contribute to revenues.
Onsemi recently announced that its image sensing and LiDAR technologies are powering key functions of AutoX’s Gen5 self-driving platform. The new Gen5 autonomous vehicle technology enables the first fully driverless RoboTaxi. onsemi is providing 28 high-resolution AR0820AT 8 MP image sensors and four SiPM arrays for LiDAR sensors.
The Zacks Consensus Estimate for revenues for the Automotive end market is pegged at $607 million, suggesting year-over-year growth of 23.6%.
The semiconductor industry has been riding on new acquisitions. Recently, Analog Devices (ADI - Free Report) completed the acquisition of Maxim Integrated. The acquisition strengthens Analog Devices’ position as a high-performance analog semiconductor company. Also, Renesas completed the acquisition of Dialog Semiconductor.
In the to-be-reported quarter, onsemi completed the acquisition of GT Advanced Technologies, a producer of silicon carbide (SiC). The acquisition, which enhances onsemi’s ability to secure and grow the supply of SiC, is anticipated to have driven the company’s top line.
The company’s focus on building its advanced product portfolio is expected to have been a growth driver.
Earlier in 2021, onsemi launched XGS 16000, its latest addition to the XGS series of CMOS image sensors. The XGS 16000 is a 16-Megapixel sensor that provides high-quality, global shutter imaging for factory automation applications, including robotics and inspection systems.
The Zacks Consensus Estimate for the advanced solutions product group’s revenues is pegged at $620 million, suggesting year-over-year growth of 18.8%.
Microchip demand has been on the rise for over a year now due to the pandemic-induced rise in demand for electronic goods and networking and communication products.
Power Solutions Group or PSG revenues is expected to have benefited, courtesy of strength in automotive and industrial end markets.
The Zacks Consensus Estimate for revenues for the power solutions product group is pegged at $924 million, suggesting year-over-year growth of 29.1%.
Continued strength in client and server business is anticipated to have added to the top line in the Computing end-market segment. The Zacks Consensus Estimate for revenues is currently pegged at $260 million for the Computing end markets, indicating an increase of 27.7% year over year.
onsemi’s Communications segment is expected to have benefited from robust growth in 5G infrastructure business. However, weakness in the smartphone business might have acted as a headwind. The Zacks Consensus Estimate for revenues is currently pegged at $262 million for the Communications end-markets, suggesting a decline of 0.76% year over year.
The Zacks Consensus Estimate for revenues is currently pegged at $162 million for the Consumer end-markets, indicating a rise of 5.2% year over year.
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
Robust Demand & Favorable Mix to Aid onsemi's (ON) Q4 Earnings
onsemi (ON - Free Report) is benefiting from an increase in supply and favorable mix and pricing across all end-markets served. A robust demand environment, particularly for power and sensing products in automotive and industrial end markets, is expected to have driven the top line in fourth-quarter 2021. The company is set to release quarterly numbers on Feb 7.
The company continues to gain traction among electric vehicle manufacturers. It is witnessing a solid demand environment, particularly for its power and sensing products, which it expects to continue in the near term.
Collaborations with Lumentum (LITE - Free Report) and Ambarella (AMBA - Free Report) are expected to help onsemi accelerate AIoT device deployment across verticals in the semiconductor market.
Per the agreement, Lumentum, Ambarella and onsemi will work on two new joint reference designs of AioT devices for biometric access control, 3D electronic looks and other intelligent sensing applications
Click here to know how the company’s overall fourth-quarter performance is likely to have been.
ON Semiconductor Corporation Price and EPS Surprise
ON Semiconductor Corporation price-eps-surprise | ON Semiconductor Corporation Quote
Robust Demand Across End-Markets to Aid Q4 Growth
The company is benefiting from broad-based strength across industrial, computing, consumer and automotive end-markets., evident from its booking trends in the last few quarters.
The company’s automotive segment is a strong growth driver. Unit growth, share gains, attractive product offerings, rising content along with increasing demand for electric vehicles contribute to revenues.
Onsemi recently announced that its image sensing and LiDAR technologies are powering key functions of AutoX’s Gen5 self-driving platform. The new Gen5 autonomous vehicle technology enables the first fully driverless RoboTaxi. onsemi is providing 28 high-resolution AR0820AT 8 MP image sensors and four SiPM arrays for LiDAR sensors.
The Zacks Consensus Estimate for revenues for the Automotive end market is pegged at $607 million, suggesting year-over-year growth of 23.6%.
The semiconductor industry has been riding on new acquisitions. Recently, Analog Devices (ADI - Free Report) completed the acquisition of Maxim Integrated. The acquisition strengthens Analog Devices’ position as a high-performance analog semiconductor company. Also, Renesas completed the acquisition of Dialog Semiconductor.
In the to-be-reported quarter, onsemi completed the acquisition of GT Advanced Technologies, a producer of silicon carbide (SiC). The acquisition, which enhances onsemi’s ability to secure and grow the supply of SiC, is anticipated to have driven the company’s top line.
The company’s focus on building its advanced product portfolio is expected to have been a growth driver.
Earlier in 2021, onsemi launched XGS 16000, its latest addition to the XGS series of CMOS image sensors. The XGS 16000 is a 16-Megapixel sensor that provides high-quality, global shutter imaging for factory automation applications, including robotics and inspection systems.
The Zacks Consensus Estimate for the advanced solutions product group’s revenues is pegged at $620 million, suggesting year-over-year growth of 18.8%.
Microchip demand has been on the rise for over a year now due to the pandemic-induced rise in demand for electronic goods and networking and communication products.
Power Solutions Group or PSG revenues is expected to have benefited, courtesy of strength in automotive and industrial end markets.
The Zacks Consensus Estimate for revenues for the power solutions product group is pegged at $924 million, suggesting year-over-year growth of 29.1%.
Continued strength in client and server business is anticipated to have added to the top line in the Computing end-market segment. The Zacks Consensus Estimate for revenues is currently pegged at $260 million for the Computing end markets, indicating an increase of 27.7% year over year.
This Zacks Rank #2 (Buy) company’s diverse business mitigates the impact of seasonality typical of any of the markets, resulting in balanced growth through the year. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
onsemi’s Communications segment is expected to have benefited from robust growth in 5G infrastructure business. However, weakness in the smartphone business might have acted as a headwind. The Zacks Consensus Estimate for revenues is currently pegged at $262 million for the Communications end-markets, suggesting a decline of 0.76% year over year.
The Zacks Consensus Estimate for revenues is currently pegged at $162 million for the Consumer end-markets, indicating a rise of 5.2% year over year.