Investment Thesis
ON Semiconductor (ON) is looking like an attractive pick in the semiconductor industry. Critical factors that make it attractive include managements ambition to expand (increasing CAPEX), a significant discount in share price to the S&P and the Semi industry, a focus in high growth areas, a reduction in labor costs yet to come, and the price of chip manufacturing constantly deflating. ON Semiconductor also has an established automotive team. Instead of focusing on autonomous driving, ON is focused on producing high quality sensors that will make a more efficient electric