ON Semiconductor Stock Analysis, Valuation (NASDAQ:ON)

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$24.76 $0.61 (2.4%) ON stock closing price Jun 19, 2018 (Closing)

Take a look at Amigobulls ON Semiconductor stock analysis video. Our ON analysis video highlights revenue and profit trends along with other important metrics such as valuation to find what makes the stock attractive.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

ON Semiconductor Corp Stock Rating 3.4/5

Amigobulls ON stock analysis uses latest quarter 2018 Q1 financial data like ON Semiconductor revenue growth, profit margins and cash flows. We also use relative valuation metrics like PE ratio and price to sales ratio for ON Semiconductor valuation analysis. ON Semiconductor stock rating encapsulates our opinion about the company based on the fundamentals.

Should you buy ON stock?

  • ON Semiconductor had a healthy average operating margin of 12.46 over the last 4 quarters.
  • Net margins came in at average 15.9% for ON Semiconductor over the last twelve months.
  • The company has an operating cash flow which is 1.6225 times the net income. We see this as a positive signal.
  • ON stock is trading at an earnings multiple of 18.3 which is better than the sector average of 25.2.
  • ON stock is trading at a favorable price to sales multiple of 1.9 as against the Computer and Technology sector average multiple of 2.8.
  • ON Semiconductor has an attractive ROIC (Return on Invested Capital) of 9.3
  • ON Semiconductor has a good Return On Equity (ROE) of 36.
  • ON Semiconductor has a healthy FCF (Free Cash Flow) margin of 8.8.

Should you sell ON stock?

Comments on this video and ON Semiconductor stock

Amigobulls ON Semiconductor stock analysis helps investors in understanding how the company's fundamentals have performed in the last few quarters. The fundamentals of a company are vital to identify long-term investment opportunities.

While doing a study of the company financials, ON Semiconductor revenue growth and profit or net income are two main metrics which help in identifying whether ON stock is overvalued or undervalued. Investors could make use of ON technical analysis to check whether the fundamental story is reflected in the market sentiment.