Pomerantz LLP, a renowned law firm specializing in corporate, securities, and antitrust class litigation, is currently conducting an investigation on behalf of investors of ON Semiconductor Corporation (NASDAQ: ON). The investigation seeks to uncover potential securities fraud or other unlawful activities conducted by onsemi and certain officers/directors of the Company.
The inquiry stems from onsemi’s recent disclosure during its third quarter financial results announcement. On October 30, 2023, Hassane El-Khoury, the President and Chief Executive Officer, revealed during an investor earnings call that the Company was approaching its silicone carbide (“SiC”) products with caution. The reason being a noticeable decline in demand within the automotive business segment, which generates a significant portion (between 75% and 90%) of onsemi’s SiC revenues.
Furthermore, El-Khoury stated that onsemi would fall short of its $1 billion SiC revenue target for 2023, estimating a shortfall of approximately $200 million. The revenue reduction was primarily attributed to one customer, widely believed to be Tesla, Inc. Additionally, Chief Financial Officer Thad Trent expressed concerns about expected declines in other end markets.
As a direct consequence of this news, onsemi’s stock experienced a significant drop of $18.18 per share, equal to a 21.77% decline, ultimately closing at $65.34 per share on October 30, 2023.
Pomerantz LLP, with offices across major cities around the world, has been at the forefront of securities class actions for over 85 years. The firm, founded by the late Abraham L. Pomerantz, has a strong track record of recovering billions of dollars in damages on behalf of class members affected by securities fraud, breaches of fiduciary duty, and corporate misconduct.
Investors who wish to participate in this ongoing investigation are urged to contact Danielle Peyton at [email protected] or call 646-581-9980, ext. 7980.
Please note that this announcement from Pomerantz LLP is strictly for informational purposes and should not be considered as attorney advertising. Past results achieved by the firm do not guarantee similar outcomes in this case.
[Source: Pomerantz LLP]
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