On Sunday ONSemiconductor reported that their quarterly earnings fell below analysts’ expectations.
Understandably, this resulted in the ONSemiconductor stock price stumbling on Monday morning.
However, several hours into trading in Monday ON reported an enormous year over year profit increase of 976 percent. Furthermore, they reported a 46 percent increase in revenue over the same period.
Meanwhile, the #semiconductor company announced that it completed the long-awaited acquisition of San Jose-based Fairchild International Inc., which was begun last year. This came after ON received regulatory approval in China and the U.S.
Following the second announcement the stock price recovered almost all of its losses. The stock closed down just 1.11% on the day.
Does this seem as suspicious to you as it does to me? It might be a coincidence, but in my opinion a negative report on Sunday followed by a price slump on Monday morning followed by a very positive announcement a few hours later, followed by a strong recovery in the stock price, seems a bit much to be a coincidence. They could not have made all of the announcements at once on Sunday, could they? Or could they?
What do you think?