Billionaire Glenn Russell Dubin’s 10 Stock Picks with Huge Upside Potential

5. ON Semiconductor Corporation (NASDAQ:ON

Number of Hedge Fund Holders: 52

Upside Potential: 45.29%

ON Semiconductor Corporation (NASDAQ:ON) is a major provider of intelligent power and sensing technology, serving the automotive, industrial, and cloud power markets worldwide. The company operates in three major segments: Power Solutions Group, Analog and Mixed-Signal Group, and Intelligent Sensing Group, offering semiconductor solutions for electric vehicles, renewable energy, and data centers.

ON Semiconductor Corporation (NASDAQ:ON) announced $1.45 billion in revenue for Q1 2025, ending April 4, exceeding the midpoint of its guidance. Non-GAAP earnings per share were $0.55, which was higher than expected, while free cash flow rose 72% year-over-year to $455 million, representing 31% of revenue. However, the gross margin fell sequentially by 530 basis points to 40% as a result of automotive sector deterioration and price changes. The company repurchased $300 million in shares, representing 66% of its quarterly free cash flow.

Looking ahead, ON Semiconductor Corporation (NASDAQ:ON) anticipates Q2 revenue of $1.4 billion to $1.5 billion and EPS of $0.48-$0.58. The company expects strong growth in its industrial and “other” areas, with plans to return 100% of free cash flow to shareholders and maintain a 25-30% free cash flow margin this year. These proactive efforts, together with a strong position in AI infrastructure and silicon carbide EV solutions, enable the company’s long-term growth story.

ON Semiconductor Corporation (NASDAQ:ON) is part of Glenn Russell Dubin’s stock portfolio, with a $53.39 million stake accounting for 1.99% of his total holdings, indicating a strong belief in the company’s future growth prospects.