ON Semiconductor CEO: No AI Slowdown, $243B Combined TAM After Synaptics
ON sits 50% above its 52-week low of $44.56 on light trading volume (0.2× avg).
Summary
CEO Hassane El-Khoury pushed back hard on AI slowdown fears, saying 'I don't think a slowdown is anywhere on the horizon' and pointing to committed data-center projects giving visibility into 2027. He quantified the opportunity: $213B core TAM plus $30B from Synaptics for a combined $243B, with AI data-center TAM growing ~40% and the business more than doubling in 2026 and 2027. The 2030 plan targets $11B revenue at 12-14% CAGR, with AI revenue jumping from ~$500M in 2026 to over $2.5B by 2030. This adds significant color to the earlier 2030 plan announcement, with new TAM and growth figures that sharpen the bull case. The 53% gross margin target is now framed as a milestone, not a ceiling, suggesting further upside potential.
At the time of this announcement, ON was trading at $66.75 on NASDAQ in the Technology sector, with a market capitalization of approximately $26B. The 52-week trading range was $44.56 to $134.92. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Benzinga.