TacticScaleWhat ON Semiconductor Does & How It Makes Money (ON)
Updated October 2026 · reflects ON Semiconductor's latest reported financials
Chipmaker focused on power management and image sensing semiconductors. It earns revenue by selling semiconductor devices (discrete chips, power modules, analog/mixed-signal ICs, and image sensors) to manufacturers in automotive, industrial, data center, computing, and mobile markets, across three business segments.
How ON Semiconductor makes money
It earns revenue by selling semiconductor devices (discrete chips, power modules, analog/mixed-signal ICs, and image sensors) to manufacturers in automotive, industrial, data center, computing, and mobile markets, across three business segments.
What ON Semiconductor does
ON Semiconductor, known as onsemi, is a Scottsdale, Arizona-based chipmaker incorporated in 1992 that focuses on intelligent power and sensing technologies. It operates through three segments: the Power Solutions Group, which supplies discrete, module, and integrated devices for power conversion, switching, signal conditioning, and circuit protection; the Analog and Mixed-Signal Group, which offers power management, sensor interface, connectivity, and standard products; and the Intelligent Sensing Group, which develops CMOS image sensors, image signal processors, short-wave infrared sensors, and photon-counting devices such as SPAD arrays and silicon photomultipliers. Its main end markets are automotive, industrial automation, AI data centers, computing, and mobile, with sensing products also aimed at depth sensing, factory automation, safety systems, and robotics. This makes the company a key supplier for applications that need efficient power use and machine vision.
Products & services
- Power discretes and power modules
- Power management ICs
- Analog and mixed-signal sensor interface and connectivity chips
- CMOS image sensors and image signal processors
- Short-wave infrared (SWIR) sensors
- SPAD arrays and silicon photomultipliers (SiPM)
What is ON Semiconductor worth?
On an owner-earnings DCF, ON Semiconductor's most-likely value is about $110 versus a recent price near $78 (42% below fair value). But TacticScale only calls a stock undervalued when the price sits below its conservative no-growth floor (~$45) with a margin of safety — so the honest verdict here is “Fairly priced — no edge.” Fair value earns its keep only at the extremes, not in the wide middle.
Price sits in the normal range — fair value isn't actionable here; it earns its keep only when price drops below the no-growth floor, or runs to roughly double the optimistic case.
Analysis, not advice. Fair value is a margin-of-safety estimate from a deterministic owner-earnings DCF, not a price target or recommendation. See the full breakdown →
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