Onsemi stocks will sink into the outlook, worse than expected

• Semi, or Onsemi, has recorded worse outcomes and guidance than expected as they continue to face difficult market conditions.

• The manufacturer of Power Chips reported a decline in sales in all three divisions.

• Onsemi said the business outlook for 2025 is “still uncertain.”

On Semiconductor stock (Above), and more than 6% sank on Monday as a manufacturer of power chips, also known as Onsemi, missed estimates of profits, sales and guidance.

The company posted adjustments for the fourth quarter Earnings per share (EPS) At $0.95, revenues reached $1.72 billion, nearly 15% year-on-year. Both lacked visible alpha predictions.

Power Solutions Group sales fell 16% to $899.4 million. They fell 18% to $610 million in the analog and mixed signal group, and fell below 2% to $325 million in the Intelligent Sensing Group.

CEO Hassane El-Khoury said Onsemi has continued to “navigate this market slump” and that “while 2025 remains uncertain, the company is working on a long-term strategy.

Onsemi forecasts current quarterly adjusted EPS between $0.45 and $0.55, and revenues between $1.35 billion and $1.45 billion. Analysts surveyed by visible Alpha were looking for $0.88 and $1.68 billion, respectively.

In semiconductors, we have slid to the lowest level of about 6.5% on Monday morning since June 2022.

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