We recently published a list of the 11 Worst Performing Stocks in S&P 500 So Far in 2025. In this article, we will take a look at where ON Semiconductor Corporation (NASDAQ:ON) stands against other worst performing stocks this year.

After a two-year surge of 53%, marking the best performance for the broad market index since the 1997-98 rally, stocks have been taken for a wild ride in 2025 due to uncertainties around recent tariffs, resulting in a year-to-date decline of nearly 6%.

READ ALSO: 11 Most Promising Stocks According to Analysts and 15 Best Dividend Stocks to Buy for Long-Term Passive Income.

Trends over the past century have shown that sustained high returns are uncommon. Following the strong back-to-back performance in the 1920s, markets fell sharply in 1929, which marked the beginning of the Great Depression. Then, after recovering in 1935 and 1936, it took a giant step back again a year later.

A recent report by a leading investment banking company also pointed out how, historically, bull markets produce mediocre returns in the third year. Although they are usually not negative. The New York-based firm has projected positive but muted returns for 2025, while also noting that the continued adoption of artificial intelligence has the potential to lead to a productivity boom and a stronger market rally.

The broad market index ended 0.74% higher on April 24, gaining 4.6% for the week, driven by a rebound in tech shares. The US Dollar also had its first weekly rise since March, as investors looked for signs that the ongoing trade war may be easing.

Washington also appears to have softened its stance on trade relations with Beijing. In an interview with Time magazine on April 22, Trump stated his administration was engaged with China on striking a tariff deal. The US president also expects announcements on many other trade deals to be made over the next three to four weeks.

While talking to CNBC, Jay Hatfield, founder and chief investment officer of InfraCap, expressed optimism that the worst of the uncertainty around tariffs is over:

“The confusion about whether there’s really talks going on with China or not took some steam out of the market. Our view is that we’ve reached peak tariff tantrum and so it’s likely to be more positive than negative.”

Chip Rewey, CIO of Rewey Asset Management, said the following on the situation by Reuters:

“This week you’ve seen kind of relief that maybe some of the worst case of the Trump tariff actions won’t come true. While we’ve recovered from some of the lows, we haven’t pushed back to highs. And I think somewhere in that range is where we’ll stay for a while.”

With that said, let’s now head over to discuss the worst performing stocks this year.

A technician at a sophisticated computer hardware rig, emphasizing the company's chip-manufacturing capabilities.

Methodology

For this article, we went through screeners to identify stocks listed on the S&P index. From there, we picked the top 11 stocks with the worst year-to-date negative returns in share price, as of the close of business on Friday, April 25, 2025.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

ON Semiconductor Corporation (NASDAQ:ON)

YTD Decline in Share Price: -35.78%

ON Semiconductor Corporation (NASDAQ:ON) is a semiconductor supplier company that provides intelligent power and sensing solutions.

The stock has been in a relentless downtrend over the last six months, with its share price slumping nearly 48%. As of April 25, ON Semiconductor Corporation (NASDAQ:ON)’s year-to-date decline stood at 35.78%, making it one of the worst performing stocks in the S&P so far in 2025.

ON Semiconductor Corporation (NASDAQ:ON) has been pressured by a slowdown in the EV and industrial markets, which resulted in a 14% drop in revenue and a 23% decrease in diluted earnings per share in fiscal 2024. Experts believe the stock’s weak price action is also making investors cautious amid the ongoing market uncertainty.

Artisan Mid Cap Fund stated the following regarding ON Semiconductor Corporation (NASDAQ:ON) in its Q4 2024 investor letter:

“We ended our investment campaigns in ON Semiconductor Corporation (NASDAQ:ON), Monday.com and CoStar Group during the quarter. ON Semiconductor is a leading designer and manufacturer of chips for power management and image sensing. From a battery-electric vehicle (EV) standpoint, ON is a leading producer of silicon carbide chips. Shares have been under pressure as the company grapples with multiple quarters of inventory right-sizing across the entire auto supply chain and slower-than-expected EV sales growth. While ON is seeing smaller sales declines than peers due to its market share gains, we are concerned that moderating US and European EV growth trends will weigh on the company’s 2025 performance. We exited the position.”

ON Semiconductor Corporation (NASDAQ:ON)’s share price also suffered a setback in early March when Allegro MicroSystems, Inc. rejected the company’s $6.9 billion all-cash acquisition offer. In April, several analysts lowered their price targets for the stock, citing factors ranging from tariff impact to weakness in the automotive markets.

Overall, ON ranks 5th among the 11 Worst Performing Stocks in S&P 500 So Far in 2025. While we acknowledge the potential of ON, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than ON but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.