ON vs WOLF

For growth investors, Wolfspeed, Inc.

(WOLF) is the stronger pick with -6. 1% revenue growth year-over-year, versus -15. 3% for ON Semiconductor Corporation (ON). ON Semiconductor Corporation (ON) offers the better valuation at 364. 7x trailing P/E (36. 1x forward), making it the more compelling value choice. Analysts rate ON Semiconductor Corporation (ON) a "Buy" — based on 45 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

Over the past 5 years, ON Semiconductor Corporation (ON) delivered a total return of +181.

4%, compared to -54. 4% for Wolfspeed, Inc. (WOLF). Over 10 years, the gap is even starker: ON returned +1024% versus WOLF's +84. 9%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), ON Semiconductor Corporation (ON) is the lower-risk stock at 1.

95β versus Wolfspeed, Inc. 's 3. 11β — meaning WOLF is approximately 60% more volatile than ON relative to the S&P 500.

By revenue growth (latest reported year), Wolfspeed, Inc.

(WOLF) is pulling ahead at -6. 1% versus -15. 3% for ON Semiconductor Corporation (ON). On earnings-per-share growth, the picture is similar: Wolfspeed, Inc. grew EPS -65. 6% year-over-year, compared to -92. 0% for ON Semiconductor Corporation. Over a 3-year CAGR, WOLF leads at 9. 8% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

ON Semiconductor Corporation (ON) is the more profitable company, earning 2.

0% net margin versus -212. 4% for Wolfspeed, Inc. — meaning it keeps 2. 0% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: ON leads at 12. 5% versus -175. 4% for WOLF. At the gross margin level — before operating expenses — ON leads at 32. 3%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

Analyst consensus price targets imply the most upside for ON: -41.

0% to $62. 40.

None of the stocks in this comparison currently pay a material dividend.

All are effectively zero-yield and should be held for capital appreciation rather than income.

For long-horizon retirement investors, ON Semiconductor Corporation (ON) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (+1024% 10Y return).

Wolfspeed, Inc. (WOLF) carries a higher beta of 3. 11 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (ON: +1024%, WOLF: +84. 9%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Technology sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.