Fundamental analysis · SEC EDGAR · TTM through 03/07/2026

Fundamental analysis of On Semiconductor Corp

ON · Nasdaq · Technology

Fundamental quality

REASONABLE

73

out of 100

On Semiconductor Corp earns a fundamental-quality score of 73 out of 100, profiling it as a company of reasonable quality. Its score rests mainly on its financial strength (net debt 0.65× EBITDA). Its weakest area is its profitability (net margin 10.2%). Whether it's cheap or expensive depends on the current price, which you can compute in the tool.

What the company does

ON Semiconductor makes power chips: the ones managing energy in EVs (silicon carbide), industry and solar. It bet hard on EVs right before demand cooled — its cycle today is the EV cycle.

What will shape its future

  • The real pace of EV adoption, its key market.
  • Silicon-carbide competition (STMicro, Infineon, Chinese entrants) and pricing.
  • The auto/industrial inventory cycle, which sets its quarters.

Breakdown by area

I.Growth
65

EPS growth: 20% · Revenue growth: 3%

II.Profitability
61

Net margin: 10.2% · ROE: 8.7% · ROIC: 5.3%

III.Financial health
94

Net debt/EBITDA: 0.65x · FCF: 24.2%

Source: SEC EDGAR · TTM through 03/07/2026

The score combines growth, profitability and financial strength. Here its financial strength weighs in its favor, while its profitability drags it down the most.

Versus its sector

Percentile against the other 101 Technology companies in our coverage: how far it beats them on each metric (100 = best in sector).

Net marginbeats 40%
ROEbeats 29%
Growthbeats 13%
Cash generationbeats 57%
Less debtbeats 52%

Computed from the daily dataset scores. A high percentile places the company among the best in its sector on that metric; it is not a buy recommendation.

Key concepts

What do these metrics mean? Fundamental analysis · What is the P/E · What is EPS · What is ROE · Net & gross margin · Free cash flow

On Semiconductor Corp strengths

  • Excellent free-cash-flow generation (FCF margin of 24.2%): profit turns into real cash.
  • Growing earnings per share (20% annualized).
  • It has cut its net debt over the period.
  • Solid net margin (10.2%): the business is clearly profitable.

On Semiconductor Corp risks and weaknesses

  • No clear weaknesses in the recent fundamentals, though the system doesn't assess qualitative factors (competition, regulation, management).

On Semiconductor Corp historical evolution

YearRevenueNet incomeFree cash flowNet debt
20205,2552345012,411
20216,7401,0101,3371,722
20228,3261,9021,597275
20238,2532,184438854
20247,0821,5731,212655
20255,9951211,419833

Between 2020 and 2025, revenue went from $5,255M to $5,995M (+14%) and net income went from $234M to $121M (-48%). It has also reduced its net debt over the period.

Annual figures in millions of U.S. dollars ($M) per SEC filings. Net debt is total debt minus cash.

Latest results

Versus the same period a year earlier

Figures for the half-year ended July 3, 2026, versus the half-year ended July 4, 2025 (SEC filings):

  • Revenue+6.9%

What changed with the July 3, 2026 results

Compared with the previous close (April 3, 2026), this is what moved in its accounts:

  • Quality score7273
  • Net margin9.5%10.2%
  • FCF margin19.5%24.2%

Automatic comparison between the two most recent periods filed with the SEC. One quarter doesn't make a trend: read it alongside the historical evolution above.

Dividend

This company doesn't pay a dividend: it reinvests all its earnings back into the business.

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Is On Semiconductor Corp cheap or expensive?

That depends on the current price. Look it up, enter it in the tool and get the full valuation verdict (P/E against its sector).

Compute the valuation →

Frequently asked questions

Is On Semiconductor Corp a good company to invest in?

In terms of business quality, On Semiconductor Corp scores 73 out of 100 in our analysis, placing it as a company of reasonable quality. That said, this isn't a recommendation: whether it's a good investment also depends on its current price and your goals.

Is On Semiconductor Corp a profitable company?

Yes. On Semiconductor Corp shows a net margin of 10.2% and an ROE of 8.7%, a sign of a profitable business.

Does On Semiconductor Corp have a lot of debt?

Not particularly. Its net debt is 0.65 times its EBITDA, a low level.

Is On Semiconductor Corp growing?

Its revenue has grown 3% annualized in recent years and its earnings per share 20%.

Does On Semiconductor Corp generate cash?

Yes. It converts about 24.2% of its revenue into free cash flow, and has done so positively year after year.

The thresholds are general and the system doesn't judge qualitative factors. See the full methodology and use this analysis as a first filter, never as a final decision.

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