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Why ON Semiconductor Corp. (ON) Dipped More Than Broader Market Today
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In the latest trading session, ON Semiconductor Corp. (ON - Free Report) closed at $76.00, marking a -1.97% move from the previous day. The stock's change was less than the S&P 500's daily loss of 0.06%. At the same time, the Dow added 0.38%, and the tech-heavy Nasdaq lost 0.44%.
Shares of the semiconductor components maker have appreciated by 1.83% over the course of the past month, underperforming the Computer and Technology sector's gain of 4.85%, and the S&P 500's gain of 2.36%.
Market participants will be closely following the financial results of ON Semiconductor Corp. in its upcoming release. The company is predicted to post an EPS of $0.87, indicating a 38.1% growth compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $1.7 billion, showing a 9.66% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $3.2 per share and revenue of $6.56 billion, indicating changes of +36.17% and +9.47%, respectively, compared to the previous year.
It is also important to note the recent changes to analyst estimates for ON Semiconductor Corp. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.84% lower. ON Semiconductor Corp. is currently sporting a Zacks Rank of #3 (Hold).
From a valuation perspective, ON Semiconductor Corp. is currently exchanging hands at a Forward P/E ratio of 24.24. This denotes a discount relative to the industry average Forward P/E of 39.22.
One should further note that ON currently holds a PEG ratio of 0.64. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As of the close of trade yesterday, the Semiconductor - Analog and Mixed industry held an average PEG ratio of 0.7.
The Semiconductor - Analog and Mixed industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 37, positioning it in the top 16% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
View the Zacks #1 Rank List
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Why ON Semiconductor Corp. (ON) Dipped More Than Broader Market Today
In the latest trading session, ON Semiconductor Corp. (ON - Free Report) closed at $76.00, marking a -1.97% move from the previous day. The stock's change was less than the S&P 500's daily loss of 0.06%. At the same time, the Dow added 0.38%, and the tech-heavy Nasdaq lost 0.44%.
Shares of the semiconductor components maker have appreciated by 1.83% over the course of the past month, underperforming the Computer and Technology sector's gain of 4.85%, and the S&P 500's gain of 2.36%.
Market participants will be closely following the financial results of ON Semiconductor Corp. in its upcoming release. The company is predicted to post an EPS of $0.87, indicating a 38.1% growth compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $1.7 billion, showing a 9.66% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $3.2 per share and revenue of $6.56 billion, indicating changes of +36.17% and +9.47%, respectively, compared to the previous year.
It is also important to note the recent changes to analyst estimates for ON Semiconductor Corp. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.84% lower. ON Semiconductor Corp. is currently sporting a Zacks Rank of #3 (Hold).
From a valuation perspective, ON Semiconductor Corp. is currently exchanging hands at a Forward P/E ratio of 24.24. This denotes a discount relative to the industry average Forward P/E of 39.22.
One should further note that ON currently holds a PEG ratio of 0.64. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As of the close of trade yesterday, the Semiconductor - Analog and Mixed industry held an average PEG ratio of 0.7.
The Semiconductor - Analog and Mixed industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 37, positioning it in the top 16% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.