Yahoo Finance ON Semiconductor Corp. (ON) is a Top-Ranked Value Stock: Should You Buy?
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.
Why Investors Should Pay Attention to This Value Stock
Different than growth or momentum investors, value-focused investors are all about finding good stocks at good prices, and discovering which companies are trading under what their true value is before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to help pick out the most attractive and discounted stocks.
ON Semiconductor Corp. (ON)
Onsemi, is an original equipment manufacturer of a broad range of discrete and embedded semiconductor components. The company was spun off from Motorola in Aug 1999 and went public through an IPO in May 2000.
ON is a Zacks Rank #3 (Hold) stock, with a Value Style Score of B and VGM Score of A. Shares are currently trading at a forward P/E of 11.8X for the current fiscal year compared to the Semiconductor - Analog and Mixed industry's P/E of 14.3X. Additionally, ON has a PEG Ratio of 0.6 and a Price/Cash Flow ratio of 14.1X. Value investors should also note ON's Price/Sales ratio of 3.3X.
A company's earnings performance is important for value investors as well. For fiscal 2022, one analyst revised their earnings estimate higher in the last 60 days for ON, while the Zacks Consensus Estimate has increased $0.01 to $5.28 per share. ON also holds an average earnings surprise of 12.3%.
ON should be on investors' short lists because of its impressive earnings and valuation fundamentals, a good Zacks Rank, and strong Value and VGM Style Scores.
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ON Semiconductor Corporation (ON) : Free Stock Analysis Report
