ON Semiconductor rises as Q3 results top estimates

ON Semiconductor (ON) shares rose 3.5% in premarket trading on Monday after the analog and industrial semiconductor company posted third-quarter results that topped Wall Street's estimates. 

For the period ending Oct. 3, ON said it earned an adjusted $0.63 per share, above the $0.59 per share estimate. Revenue dipped 12% year-over-year to $1.55B, but still came in above the consensus estimate of $1.52B.

“Our third quarter results exceeded expectations, underscoring the strength of our strategy and the resilience of our business model. We’re seeing continued signs of stabilization across our core markets, as well as positive growth in AI,” said ON Semiconductor President and CEO Hassane El-Khoury in a statement. “As energy efficiency becomes a defining requirement for next-generation automotive, industrial, and AI platforms, we are expanding our offering to deliver system-level value that enables our customers to achieve more with less power.”

Other analog suppliers, including Analog Devices (ADI), Texas Instruments (TXN) and STMicroelectronics (STM), were higher in premarket trading.

Looking to the fourth-quarter, the company expects to earn between $0.57 and $0.67 per share, with the midpoint in-line with the $0.62 estimate. Sales are forecast to be between $1.48B and $1.58B, with the midpoint slightly above the $1.52B estimate.

The company will host a conference call at 9 a.m. EST to discuss the results.