12 Best Depressed Stocks to Invest in Now

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6) ON Semiconductor Corporation (NASDAQ:ON)

52-week Low: $53.1

Price as of 24 January: $54.50

Number of Hedge Fund Holders: 45

ON Semiconductor Corporation (NASDAQ:ON) offers intelligent sensing and power solutions. The company’s stock has been facing headwinds as a Truist analyst cited weaker demand trends. That being said, Evercore ISI affirmed its positive stance on the company’s shares and maintained an “Outperform” rating, with a price target of $107.00. The firm has a stronger long-term outlook for ON Semiconductor Corporation (NASDAQ:ON) as a result of several key factors.

Some of the factors include the company’s ongoing turnaround efforts and the potential for strong revenue generation from its Treo platform. Evercore ISI expects an improvement in ON Semiconductor Corporation (NASDAQ:ON)’s gross margins by the end of 2026. Notably, a cyclical recovery, together with a reduction in supply chain inventories to below-normal levels, is expected to lead to this improvement.

Elsewhere, Loop Capital initiated coverage on the shares of ON Semiconductor Corporation (NASDAQ:ON), providing a “Buy” rating with a price target of $95. The firm highlighted the company’s strong position in the automotive market. ON Semiconductor Corporation (NASDAQ:ON) has strengthened its ties with DENSO, with plans to support technologies for autonomous driving (AD) and advanced driver assistance systems (ADAS). The global pivot to EVs has been creating significant demand for semiconductors used in powertrain systems, battery management, and charging infrastructure. The company provides silicon carbide power solutions, which can help improve energy efficiency, range, and performance in EVs.

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