SCOTTSDALE, Arizona, April 29, 2026, 08:02 MST
- ON Semiconductor just rolled out consecutive EV chip deals, both linked to 900-volt vehicle platform tech.
- Shares jumped roughly 8% Wednesday morning, with first-quarter results coming up next week.
- Investors are eyeing fresh auto-chip design wins, weighing whether those gains can counterbalance a demand cycle that’s still showing some rough patches.
ON Semiconductor Corp.—branded as onsemi—moved further into China’s EV market this week, locking in a broader partnership with Geely Auto Group to supply silicon carbide chips for advanced EV and hybrid systems. The agreement has onsemi’s EliteSiC power tech slotted for deployment across vehicles built on Geely’s SEA-S platform, the company said.
The timing is key here. Onsemi is set to deliver first-quarter results after the bell on May 4, with those fresh customer announcements landing just ahead of numbers that could clarify how the recovery is playing out in auto and industrial chips. The first quarter wrapped up April 3, according to the company, which plans a 5 p.m. Eastern call that same day.
Silicon carbide, or SiC, lets chips manage higher voltages with less energy lost to heat compared to standard silicon. According to Onsemi, 900-volt vehicle systems can boost efficiency, push the driving range further, and reduce charging times. In other words: the car’s electrical system moves more power with less waste.
ON shares jumped to $100.76 in late Wednesday morning trading, up about 8% from Tuesday’s $93.30 close. That price gave the company a market cap near $41.2 billion.
Geely’s news came on the heels of a broader partnership with NIO Inc. announced Monday, both companies zeroing in on 900-volt EV platforms. Onsemi said its EliteSiC M3e tech would enable NIO to shift from 400-volt setups to 900-volt architecture. That covers the ES9 flagship SUV and other models scheduled for display at the 2026 Beijing Auto Show.
In the NIO statement, onsemi CEO Hassane El-Khoury put the focus on “system efficiency and scalability,” calling them “paramount” as the industry’s electrification matures. Alan Zeng, who heads NIO’s XPT powertrain division, noted the shift between the partners, saying they’ve gone “from early 400V systems to today’s 900V platforms.” onsemi
Geely is building on its prior collaborations with the chipmaker, looking beyond a simple parts contract. “The EV market is entering a new phase,” El-Khoury said. Geely Auto Group CEO Gan JiaYue added that “closer coordination with technology partners is increasingly critical.” onsemi
Chip stocks caught a lift. The Philadelphia SE Semiconductor Index rose 1.5% on Wednesday, Reuters reported. NXP Semiconductors saw a 25% surge after its second-quarter outlook came in ahead of what Wall Street had penciled in for both revenue and profit. “Semiconductors have done much of the heavy lifting,” noted Bret Kenwell, U.S. investment analyst at eToro. Reuters
The deals come as financials soften. Onsemi’s fourth-quarter revenue slipped 11% year over year to $1.53 billion, with first-quarter guidance set between $1.435 billion and $1.535 billion. Management pointed to $1.4 billion in 2025 free cash flow—money they’re directing toward share buybacks.
Wall Street’s mood has brightened a bit, though not everyone’s charging ahead. Morgan Stanley’s Joseph Moore bumped ON Semiconductor’s price target to $85, up from $64, but stuck with an Equal Weight rating. Moore flagged that expectations are now higher and “the bar is quite high” heading into the company’s May 4 report. TipRanks
There’s a catch: partnership announcements don’t necessarily turn into revenue right away. Onsemi hasn’t provided financial details, shipment numbers, or production timelines for its Geely and NIO deals. EV demand also tends to fluctuate, depending on new model rollouts, pricing shifts and how buyers respond. For now, May 4 guidance stands as the next concrete update.
