Barclays Initiates Coverage of ON Semiconductor Corporation (ON) with an Equal Weight Rating

Jeff Lewis

Sat, February 21, 2026 at 8:09 PM GMT+9 2 min read

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ON Semiconductor Corporation (NASDAQ:ON) is among the 12 Best Tech Stocks that Beat Earnings Estimates.

On February 12, 2026, Barclays analyst Tom O’Malley initiated coverage of ON Semiconductor Corporation (NASDAQ:ON) with an Equal Weight rating and a $75 price target. Tom O’Malley said Barclays is “cautiously optimistic” on an industrial recovery as PMIs turn higher but recommends a selective approach, noting each company “faces at least one unique challenge.” He added that On Semi’s high China and auto exposure remain well-understood overhangs on the shares.

On February 10, 2026, Deutsche Bank raised its price target to $75 from $65 and maintained a Buy rating following Q4 results, describing performance as “improving, but slowly.” Needham analyst Quinn Bolton raised his price target the same day to $72 from $68 and kept a Buy rating after a Q4 earnings beat. Quinn Bolton said gross margin is expected to expand through the year as the company executes its Fab right strategy, with utilization projected to improve to the low 70% range in Q1 and into the mid-70% range in Q2 and Q3.

Barclays Initiates Coverage of ON Semiconductor Corporation (ON) with an Equal Weight Rating

Photo by JESHOOTS.COM on Unsplash

On February 9, 2026, On Semi reported Q4 non-GAAP EPS of 64c versus consensus of 62c. CEO Hassane El-Khoury said the company “remained disciplined in our execution and met expectations” as signs of stabilization emerged in key markets. He added that the company continues to invest in intelligent power and sensing technologies and reiterated its focus on leading in automotive, industrial, and AI data center power.

ON Semiconductor Corporation (NASDAQ:ON) provides intelligent sensing and power solutions globally and operates through its Power Solutions Group, Analog and Mixed-Signal Group, and Intelligent Sensing Group segments.

While we acknowledge the potential of ON as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 10 Most Profitable Undervalued Stocks to Buy and 11 Best Mining Stocks to Buy According to Wall Street.

Disclosure: None.

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