Stifel analyst Kevin Cassidy said he "applauds" ON Semiconductor's (ON) deal to acquire Quantenna (QTNA) at what he view as a "reasonable" valuation, stating that the transaction expands ON's markets and widens its product breadth. He also believes Quantenna has a strong and defensible business model, Cassidy tells investors. He maintains a Buy rating and $28 price target on ON Semiconductor shares.

BofA raised the firm's price target on Texas Instruments (TXN) to $190 from $175 and keeps a Neutral rating on the shares. TI's small Q1 beat and inline but sequentially rising Q2 sales guidance, "while modest, potentially marks a recovery inflection in industrial chip demand," with positive read-across for U.S. peers such as Analog Devices (ADI), Microchip (MCHP), NXP Semiconductors (NXPI) and On Semiconductor (ON), the analyst tells investors. However, despite an expected recovery, TI's sustained high capex intensity could keep reported calendar year 2024-26 pro-forma EPS below $6 per share, the analyst added.