Analog chips maker onsemi (NASDAQ: ON) will be reporting earnings this Monday after market hours. Here’s what to expect.
onsemi met analysts’ revenue expectations last quarter, reporting revenues of $1.53 billion, down 11.2% year on year. It was a slower quarter for the company, with revenue guidance for next quarter slightly missing analysts’ expectations and revenue in line with analysts’ estimates.
Is onsemi a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting onsemi’s revenue to grow 2.9% year on year, a reversal from the 22.4% decrease it recorded in the same quarter last year.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. onsemi has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at onsemi’s peers in the analog semiconductors segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Texas Instruments delivered year-on-year revenue growth of 18.6%, beating analysts’ expectations by 6.6%, and Magnachip reported revenues up 3.3%, in line with consensus estimates. Texas Instruments traded up 19.4% following the results while Magnachip was down 31.6%.
Read our full analysis of Texas Instruments’s results here and Magnachip’s results here.
There has been positive sentiment among investors in the analog semiconductors segment, with share prices up 34.9% on average over the last month. onsemi is up 62.6% during the same time and is heading into earnings with an average analyst price target of $75.17 (compared to the current share price of $103.25).
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