#7 - onsemi (NASDAQ:ON)
Semiconductor stocks have been having a rough time of it in 2024. That’s not surprising since the sector is at the tip of the iceberg in terms of artificial intelligence (AI) buildout. That brings us to the last stock on this list, which is onsemi (NASDAQ: ON). The stock has received 15 downgrades in the 90 days ending on April 30, 2024. And 12 of those have come in April alone.
The question is growth. Although onsemi beat on the top and bottom lines in its first quarter earnings report, the numbers were lower year-over-year. In a year when chip stocks will face tough comparisons, that’s not what investors were hoping to see.
But as investors have a chance to look at the company’s financials, they’ll likely agree that while ON stock was due for a pullback, there’s still a lot of upside for the stock as it bounces off its 52-week low.
About Onsemi
onsemi is engaged in disruptive innovations and also a supplier of power and analog semiconductors. The firm offers vehicle electrification and safety, sustainable energy grids, industrial automation, and 5G and cloud infrastructure, with a focus on automotive and industrial end-markets. It operates through the following segments: Power Solutions Group, Advanced Solutions Group, and Intelligent Sensing Group.
Read More - Current Price
- $69.62
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 16 Buy Ratings, 5 Hold Ratings, 2 Sell Ratings.
- Consensus Price Target
- $85.87 (23.3% Upside)
Investors have thousands of stocks and funds to choose from. Staying away from downgraded stocks makes sense for many investors and their portfolios. But that's not always the case. The saying “buy low and sell high" still applies. A downgrade often reflects a temporary situation, which can be an opportunity to initiate or add to a position.
However, before buying a heavily downgraded stock, it's important to question why you own or want to own the stock. You'll also want to make sure your investment goals give you the time to allow the stock to turn around.
MarketBeat offers a tool that makes it easy to find the stocks that have received the most analyst downgrades. You can apply specific filters to the screener to adjust for time frames as recently as 7 days or as long as one year. You can also filter by sector, market cap, and even overall analyst sentiment. This is a premium tool available for MarketBeat All-Access members.
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