ONON - On Holding AG
Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?
Zacks.com users have recently been watching On Holding (ONON) quite a bit. Thus, it is worth knowing the facts that could determine the stock's prospects.
On Holding delivered strong Q1 '26 results, and management raised gross margin and EBITDA margin guidance for FY26. ONON's Asia-Pacific net sales surged 61% CC, highlighting APAC as a key growth catalyst. Gross margin reached 64.2%, and adjusted EBITDA margin hit 21%, both exceeding guidance and consensus.
ON NYSE: ONON reported what executives described as an “outstanding” start to 2026, with first-quarter net sales surpassing CHF 800 million for the first time and profitability expanding as the company reiterated its full-year growth outlook.
On Holding shares have declined ~30% YTD despite robust Q1 sales growth and a raised full-year profit outlook. ONON is capturing market share with near-30% constant currency growth, outpacing flat revenue at Nike in a mature sportswear category. Gross margins remain in the mid-60s, reflecting premium positioning and resilience to tariffs, while Asia revenue growth outpaces core U.S. and Europe markets.
An analyst firm is stepping back on price, but not on conviction. KeyBanc lowered its price target on On Holding to $43 from $58 while keeping its Overweight rating, framing the move as a recalibration tied to tariff exposure rather than a break in the long-term growth thesis.
On Holding is rated Buy with a $46 twelve-month price target, offering 29% upside from current levels. ONON's premium brand, 63% gross margins, and DTC sales nearing 50% of revenue underpin its high-quality growth profile. Recent stock weakness stems from softer FY2026 guidance, CEO departure, and tariff concerns, but fundamentals remain robust.
On Holding AG reported good Q1 results. Growth remained good across sales channels, markets, and product categories. Expansion in China and increased sales of apparel and accessories present clear long-term growth potential for ONON. Profitability has gained from ONON's strong brand power, leading to a 2026 EBITDA guidance raise.
On Holding AG (ONON) Q1 2026 Earnings Call Transcript
On Holdings' NYSE: ONON share price has its share of headwinds, including macroeconomic pressures, a surprise CEO change, FX conversion, and slowing growth, but these are priced into the market. While headwinds remain, the company continues to perform well, sustaining a high growth pace and widening margins in a world with share for the taking.
Top insights from the latest market news from Tuesday, May 12, from The Motley Fool analysts on Team Rule Breakers and Team Hidden Gems.
On Holding (ONON) came out with quarterly earnings of $0.47 per share, beating the Zacks Consensus Estimate of $0.35 per share. This compares to earnings of $0.23 per share a year ago.
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Sportswear brand On raised its profit margin forecast on Tuesday after strong first-quarter sales, as the Swiss company continues to gain ground in the sneaker and running shoe market long dominated by Nike and Adidas.
ZURICH, Switzerland--(BUSINESS WIRE)--On Reports First Quarter 2026 Results.
On Holding AG (NYSE:ONON) will release earnings for its first quarter before the opening bell on Tuesday, May 12.
Swiss athletic company On beat Wall Street's expectations on the top and bottom lines, leading it to raise its full-year profitability outlook. On saw another quarter of outsize growth, but its direct-to-consumer sales, revenue from its own website and stores, fell short of expectations.
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On Holding (ONON) concluded the recent trading session at $35.48, signifying a -1.61% move from its prior day's close.
On Holding (ONON) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.