Piper Sandler analyst Harsh Kumar notes that ON Semiconductor (ON) is under pressure today based on investor belief that they are the party that has signed an agreement for expanded wafer capacity with Wolfspeed (WOLF) after the latter announced this morning an expanded wafer capacity agreement. However, Kumar is "quite confident" that ON is not the entity that has engaged in the expanded wafer agreement and feels the company is on track to be wafer independent by the beginning of 2024 so it does not need to sign such an agreement. Kumar keeps an Overweight rating and $75 price target on ON Semi shares, which are down 4% to $64.76 in afternoon trading.
Published first on TheFly
See the top stocks recommended by analysts >>
Read More on ON:
- ON Semiconductor price target raised to $77 from $70 at Deutsche Bank
- ON Semiconductor put volume heavy and directionally bearish
- LA Semiconductor purchases fabrication plant from ON Semiconductor
- ON Semiconductor management to meet with Piper Sandler
- ON Semiconductor divests Japan facility to JS Foundry K.K.
