Market Overview

UPDATE: Bank Of America Reiterates On ON Semiconductor Following Investor Meetings


In a report published Monday, Bank of America analyst Vivek Arya reiterated a Buy rating on ON Semiconductor (NASDAQ: ONNN), and raised the price target from $10.00 to $11.00.

In the report, Bank of America noted, “We hosted ON Semi CEO Keith Jackson, CFO Bernard Gutmann and IR Parag Agarwal for investor meetings in NY. Key messages: 1) improving demand, lean channels; 2) underappreciated TAM expansion and confidence in integrating Aptina acquisition; 3) continued progress at Sanyo; and 4) continued buybacks.

We raise est/PO to $11 from $10 to reflect Aptina, and recommend ONNN as a relative pair against Underperform-rated peer Fairchild. ONNN trades at ~10x 2015 PE/6.4x EBITDA, well below FCS's 22x PE/6.8x EBITDA, despite ONNN's superior margins and mix of long-cycle industrial/autos revenue. Smooth integration of Aptina in 2H should increase investor confidence/catalyze higher PE multiples.”

ON Semiconductor closed on Friday at $9.13.

Latest Ratings for ONNN

Apr 2015DowngradesNeutralSell
Feb 2015MaintainsHold
Feb 2015MaintainsBuy

View More Analyst Ratings for ONNN
View the Latest Analyst Ratings

Posted-In: Bank of America Vivek AryaAnalyst Color Price Target Analyst Ratings


Related Articles (ONNN)

View Comments and Join the Discussion!

Latest Ratings

HSKACanaccord GenuityMaintains75.0
AVGOMorgan StanleyMaintains265.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Trading Daily
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at

Benzinga's Top #PreMarket Losers

Harbinger Group Proposes $10 Per Share Offer For Central Garden & Pet Company