ON Semiconductor (ON.US) is up today by 2.10% to $68.13 per share following reports of strengthened cooperation with Denso Corp in the development of autonomous driving technology and advanced driver assistance systems (ADAS).
Existing Cooperation
The companies have been working together for over 10 years. Under this collaboration, ON Semiconductor supplies state-of-the-art automotive sensors based on advanced semiconductor technologies, enhancing overall vehicle intelligence, communication, and safety. Denso is the world’s second-largest supplier of automotive systems, making it a significant player in the market.
Start investing today or test a free demo
Create account Try a demo Download mobile app Download mobile appStrengthening the Partnership
As part of the deepened collaboration, Denso revealed plans to acquire shares of ON Semiconductor through open market transactions. The target number of shares has not yet been officially disclosed by the companies. Upon release of this information, ON Semiconductor's stock initially gained over 5% at the start of the trading session. However, the gains were slightly trimmed, and the stock is currently up 2.10%.
The company’s financial analysis indicates solid fundamentals. The stock is relatively undervalued compared to other semiconductor companies. Analysts remain optimistic about ON Semiconductor in the upcoming quarters. Bank of America named the company as the best pick for 2025, citing strong demand for semiconductors from the automotive and industrial sectors in the second half of the year, as well as growing investments in artificial intelligence and data center capabilities.
Chart Analysis (D1 Interval)
ON Semiconductor is gaining over 2% today and is rebounding from a key support zone. Looking at the daily interval chart, we can observe a flattening trend with share accumulation above $66 per share. If a breakout occurs from this channel, a significant move can be expected, regardless of direction.
The content of this report has been created by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, (KRS number 0000217580) and supervised by Polish Supervision Authority ( No. DDM-M-4021-57-1/2005). This material is a marketing communication within the meaning of Art. 24 (3) of Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (MiFID II). Marketing communication is not an investment recommendation or information recommending or suggesting an investment strategy within the meaning of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC and Commission Delegated Regulation (EU) 2016/958 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the technical arrangements for objective presentation of investment recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of conflicts of interest or any other advice, including in the area of investment advisory, within the meaning of the Trading in Financial Instruments Act of 29 July 2005 (i.e. Journal of Laws 2019, item 875, as amended). The marketing communication is prepared with the highest diligence, objectivity, presents the facts known to the author on the date of preparation and is devoid of any evaluation elements. The marketing communication is prepared without considering the client’s needs, his individual financial situation and does not present any investment strategy in any way. The marketing communication does not constitute an offer of sale, offering, subscription, invitation to purchase, advertisement or promotion of any financial instruments. XTB S.A. is not liable for any client’s actions or omissions, in particular for the acquisition or disposal of financial instruments, undertaken on the basis of the information contained in this marketing communication. In the event that the marketing communication contains any information about any results regarding the financial instruments indicated therein, these do not constitute any guarantee or forecast regarding the future results.
