This Nvidia Partner Was My Top Pick for 2026, and It's Up 43%: Here's Why It's Still a Great Value Now
This company is positioned for medium-term and long-term growth in the AI market.
Overview
ON Semiconductor (NASDAQ: ON) was a great value going into 2026, and despite the 43% rise in 2026, it's arguably still one now. The investment case for the stock rests on the idea that its current core exposure to electric vehicles (EVs) and industrial applications implies ongoing growth.
Meanwhile, it has a fast-growing exposure to AI data center infrastructure, including a key partnership with Nvidia (NASDAQ: NVDA). Equally important, long-term growth comes from its exposure to physical AI.
Details
The company is best known for its power and sensing chips, which are primarily sold into the automotive market (mainly electric vehicles) and to a wide range of industrial customers (EV infrastructure, industrial automation, motor control, robotics, etc.). Its power solutions enable lightweight, long-range EVs, and its sensing technology is used in advanced driver assistance systems (ADAS).
Source
Originally published at www.fool.com.