ON Semiconductor Expands Buybacks and Advances EU Power-Chip Capacity Amid Cyclical Challenges

ON Semiconductor announced a $6 billion share repurchase authorization and progress on EU-backed capacity expansion in Dresden. The company is focusing on higher-value power and sensing solutions in autos, industrials, and AI data centers. The expanded buyback does not remove near-term risk but may soften share price impact if fundamentals remain choppy. Investors should weigh the potential impact of softer EV demand and capacity underutilization on margins. ON Semiconductor's narrative projects $7.5 billion revenue and $1.9 billion earnings by 2028, with a fair value of $58.70.