ON Semiconductor Corp. (NASDAQ:ON)

The share price demonstrates considerable volatility over the observed period, starting at $6.63 in 2006, experiencing fluctuations with notable declines in 2008 and 2009 to as low as $3.66, followed by a generally upward trend from 2010 onwards. Significant growth is apparent post-2014, reaching a peak of $80.40 in early 2023 before a slight decrease to $77.59 in 2024.

Operating profit per share (OP per share) reveals variability and some instability initially, with values rising from $0.54 in 2006 to $1.09 in 2007, then dipping to negative territory at –$0.89 in 2009. After this low, the OP per share mostly recovers and grows steadily from 2012 onwards, peaking at $5.94 in 2024. Noteworthy is the substantial increase occurring particularly from 2018, indicating improved profitability over recent years.

The price-to-operating-profit (P/OP) ratio exhibits wide fluctuations. Early years show ratios decreasing from 12.34 in 2006 to 6.67 in 2008, with some missing data points limiting continuous assessment. The ratio spikes notably in 2010 (23.96), 2012 (36.04), and again in 2021 (49.43), suggesting periods where the share price increased disproportionately relative to operating profit per share. Following these spikes, the ratio declines toward 2024, settling around 13.06, which may reflect a market revaluation aligning share price more closely with underlying operating earnings.

Share Price Trend

Highly volatile across the years with a pronounced upward movement post-2014, peaking in 2023.

Operating Profit per Share Trend

Erratic in early years with a downturn around 2009, followed by a robust and steady increase especially from 2012 onward to 2024.

P/OP Ratio Analysis

Fluctuates substantially, reaching elevated levels at multiple points, particularly in 2010, 2012, and 2021, indicating potential overvaluation or shifts in market expectations.

Overall, the data suggests a company that faced challenges during the late 2000s but has since improved profitability significantly. Share price appreciation in recent years corresponds with this improved operating profit, although periods of disparity between price and profit indicate fluctuating market sentiment or external factors influencing valuation multiples.