Contrasting onsemi (ON) and Its Competitors

onsemi (NASDAQ:ON) is one of 221 public companies in the “Semiconductors & Semiconductor Equipment” industry, but how does it contrast to its rivals? We will compare onsemi to related businesses based on the strength of its valuation, institutional ownership, analyst recommendations, earnings, profitability, risk and dividends.

Risk and Volatility

onsemi has a beta of 2.11, indicating that its stock price is 111% more volatile than the S&P 500. Comparatively, onsemi’s rivals have a beta of 2.80, indicating that their average stock price is 180% more volatile than the S&P 500.

Profitability

This table compares onsemi and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
onsemi	10.82%	15.53%	8.92%
onsemi Competitors	-1,278.97%	-126.38%	-4.00%

Earnings and Valuation

This table compares onsemi and its rivals top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
onsemi	$6.00 billion	$121.00 million	40.18
onsemi Competitors	$7.33 billion	$2.48 billion	8.55

onsemi’s rivals have higher revenue and earnings than onsemi. onsemi is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Institutional & Insider Ownership

97.7% of onsemi shares are owned by institutional investors. Comparatively, 54.8% of shares of all “Semiconductors & Semiconductor Equipment” companies are owned by institutional investors. 0.3% of onsemi shares are owned by company insiders. Comparatively, 11.5% of shares of all “Semiconductors & Semiconductor Equipment” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of current ratings and price targets for onsemi and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
onsemi	0	16	15	1	2.53
onsemi Competitors	3505	12364	25802	999	2.57

onsemi presently has a consensus price target of $95.03, indicating a potential upside of 37.51%. As a group, “Semiconductors & Semiconductor Equipment” companies have a potential upside of 42.68%. Given onsemi’s rivals stronger consensus rating and higher probable upside, analysts clearly believe onsemi has less favorable growth aspects than its rivals.

Summary

onsemi rivals beat onsemi on 7 of the 13 factors compared.

About onsemi

onsemi is engaged in disruptive innovations and also a supplier of power and analog semiconductors. The firm offers vehicle electrification and safety, sustainable energy grids, industrial automation, and 5G and cloud infrastructure, with a focus on automotive and industrial end-markets. It operates through the following segments: Power Solutions Group, Advanced Solutions Group, and Intelligent Sensing Group. The Power Solutions Group segment offers discrete, module, and semiconductor products that perform multiple application functions, including power switching, power conversion, signal conditioning, circuit protection, signal amplification, and voltage reference functions. The Advanced Solutions Group segment is involved in the designing and developing of analog, mixed-signal, advanced logic, ASSPs and ASICs, Wi-Fi and power solutions for a broad base of end-users in the automotive, consumer, computing, industrial, communications, medical and aerospace/defense markets. The Intelligent Sensing Group segment is focused on the designing and developing of CMOS and CCD image sensors, as well as proximity sensors, image signal processors, single photon detectors, inclu