ON Semiconductor Corp. (NASDAQ:ON) and Synaptics Inc. (NASDAQ:SYNA) on Thursday announced a definitive agreement to combine their businesses, outlining expected strategic and financial impacts of the transaction.

ON Semi will acquire Synaptics in an all-stock transaction, representing a total enterprise value of approximately $7 billion.

The companies stated the combination would expand ON Semi’s capabilities across AI infrastructure and extend into edge-based applications.

Synaptics shares jumped 4.5% to $131.17 in pre-market trading.

These analysts made changes to their price targets on Synaptics following the announcement.

  • Susquehanna analyst Christopher Rolland downgraded the stock from Positive to Neutral and raised the price target from $125 to $140.
  • Rosenblatt analyst Kevin Cassidy downgraded the stock from Buy to Neutral and lowered the price target from $180 to $160.
  • Needham analyst Neil Young downgraded the stock from Buy to Hold.

Considering buying SYNA stock? Here’s what analysts think:

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