ON Semiconductor's stock experienced a sharp pre-market decline of 5.04% on Tuesday, following the release of its fourth-quarter financial results.

The chipmaker reported quarterly revenue that fell short of Wall Street estimates, with sales declining approximately 11% year-over-year to $1.53 billion. The drop was attributed to persistent weakness in its power and analog semiconductor business units. Furthermore, the company issued a revenue forecast for the current quarter and the full year 2026 that landed below consensus expectations, signaling ongoing challenges amid a sector-wide inventory glut. Analysts noted that while automotive sales showed improvement, revenue from non-industrial clients significantly underperformed.