ON Semiconductor (ON) Unveils EPP And Subaru Tie Up, Is It 37% Below Fair Value? - simplywall.st

ON Semiconductor's recent announcement of its EPP (Electronic Power Platform) program and partnership with Subaru has sparked market speculation about whether the company is undervalued by 37% below i... Read original →

ON Semiconductor’s launch of the EPP platform and its alliance with Subaru signal a deepening integration of power electronics in electric vehicle architectures. This move catalyzes upstream demand for advanced materials like SiC and GaN, while pushing midstream packaging and testing capabilities to evolve. From a policy standpoint, global climate commitments are tightening EV regulations and subsidies, enhancing ON’s supply chain leverage but also increasing exposure to material and equipment dependencies. In response to competitors like Infineon and STMicroelectronics, ON may pursue niche market differentiation. Over the next 12–24 months, as EV adoption accelerates, power semiconductor demand will surge, making ON’s potential 37% undervaluation a key catalyst for investor interest and strategic positioning.