ON Semiconductor Corp. (ON) closed the most recent trading day at $51.07, moving -1.47% from the previous trading session. The stock trailed the S&P 500, which registered a daily gain of 0.49%. Meanwhile, the Dow gained 0.38%, and the Nasdaq, a tech-heavy index, added 0.72%.
Shares of the semiconductor components maker have appreciated by 6.19% over the course of the past month, underperforming the Computer and Technology sector's gain of 6.81%, and outperforming the S&P 500's gain of 2.99%.
The upcoming earnings release of ON Semiconductor Corp. will be of great interest to investors. On that day, ON Semiconductor Corp. is projected to report earnings of $0.59 per share, which would represent a year-over-year decline of 40.4%. Meanwhile, the latest consensus estimate predicts the revenue to be $1.52 billion, indicating a 14.01% decrease compared to the same quarter of the previous year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.32 per share and a revenue of $5.96 billion, representing changes of -41.71% and -15.89%, respectively, from the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for ON Semiconductor Corp. Recent revisions tend to reflect the latest near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.12% higher. ON Semiconductor Corp. is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, ON Semiconductor Corp. currently has a Forward P/E ratio of 22.33. This denotes a discount relative to the industry average Forward P/E of 37.42.
One should further note that ON currently holds a PEG ratio of 2.58. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Semiconductor - Analog and Mixed industry currently had an average PEG ratio of 2.17 as of yesterday's close.
The Semiconductor - Analog and Mixed industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 32, placing it within the top 13% of over 250 industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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ON Semiconductor Corporation (ON): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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