Is ON Semiconductor Corp. (ON) Mirroring Wall Street Downturn?

We recently published a list of 10 Companies that Mirror Wall Street’s Downturn. In this article, we are going to take a look at where ON Semiconductor Corp. (NASDAQ:ON) stands against other companies mirroring Wall Street’s downturn.

Wall Street’s main indices finished the shortened trading week in the negative territory, dampened by labor market data that came in much hotter than expected. The news fueled concerns that the Federal Reserve will not slash interest rates again.

Both the Dow Jones and the Nasdaq Composite dived by 1.63 percent on Friday, while the S&P 500 declined by 1.54 percent.

Ten companies mirrored a wider market downturn amid a series of catalysts that dampened investing appetite. This article explores the reasons behind their decline.

In Friday’s biggest losers, we only considered the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.

A semiconductor engineer in a state-of-the-art laboratory, analyzing advanced semiconductor products.

ON Semiconductor Corp. (NASDAQ:ON)

ON Semiconductor Corp. (ON) nearly touched a new 52-week low on Friday, posting a 7.49-percent decline to end the day at $53.94 each after an analyst at Truist downgraded its targets for the company.

In its latest report, Truist downgraded ON Semiconductor to a “hold” rating with a new price target of $60, lower by 29 percent than the $85 projected earlier. The analyst cited deteriorating demand trends and management’s focus on exiting certain business lines this year.

Separately, Bank of America also reduced its price target for ON Semiconductor (ON) to $75 from $90 per share but maintained a “buy” rating for the company. The adjustment followed a less optimistic outlook from the firm during the 2025 Consumer Electronics Show in Las Vegas.

Specifically, concerns about recovery prospects in both the near term and the calendar year 2025 have led to a subsequent decrease in the estimated pro-forma EPS for the next few years.

Overall, ON ranks 9th on our list of companies mirroring Wall Street downturn. While we acknowledge the potential of ON as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than ON but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.