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On Holding (ONON - Free Report) closed the most recent trading day at $34.41, moving -2.85% from the previous trading session. The stock trailed the S&P 500, which registered a daily gain of 0.58%. Meanwhile, the Dow gained 0.69%, and the Nasdaq, a tech-heavy index, added 1.05%.

Prior to today's trading, shares of the running-shoe and apparel company had gained 20.52% outpaced the Retail-Wholesale sector's gain of 4.75% and the S&P 500's gain of 0.97%.

Investors will be eagerly watching for the performance of On Holding in its upcoming earnings disclosure. The company's upcoming EPS is projected at $0.5, signifying steadiness compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.14 billion, up 14.6% from the year-ago period.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.73 per share and revenue of $4.27 billion, indicating changes of +78.35% and +17.37%, respectively, compared to the previous year.

Any recent changes to analyst estimates for On Holding should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 1.12% increase. Right now, On Holding possesses a Zacks Rank of #3 (Hold).

In terms of valuation, On Holding is currently trading at a Forward P/E ratio of 20.53. Its industry sports an average Forward P/E of 14.48, so one might conclude that On Holding is trading at a premium comparatively.

We can also see that ONON currently has a PEG ratio of 0.61. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As the market closed yesterday, the Retail - Apparel and Shoes industry was having an average PEG ratio of 1.25.

The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 160, putting it in the bottom 35% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.

Taking full advantage of the stock market and investing with confidence are common goals for new and old investors, and Zacks Premium offers many different ways to do both.

Featuring daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, the research service can help you become a smarter, more self-assured investor.

Zacks Premium includes access to the Zacks Style Scores as well.

What are the Zacks Style Scores? The Zacks Style Scores is a unique set of guidelines that rates stocks based on three popular investing types, and were developed as complementary indicators for the Zacks Rank. This combination helps investors choose securities with the highest chances of beating the market over the next 30 days.

Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.

The Style Scores are broken down into four categories:

Value ScoreValue investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and many other multiples, the Value Style Score identifies the most attractive and most discounted stocks.

Growth ScoreGrowth investors are more concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, the Growth Style Score analyzes characteristics like projected and historic earnings, sales, and cash flow to find stocks that will see sustainable growth over time.

Momentum ScoreMomentum investors, who live by the saying "the trend is your friend," are most interested in taking advantage of upward or downward trends in a stock's price or earnings outlook. Utilizing one-week price change and the monthly percentage change in earnings estimates, among other factors, the Momentum Style Score can help determine favorable times to buy high-momentum stocks.

VGM ScoreIf you like to use all three kinds of investing, then the VGM Score is for you. It's a combination of all Style Scores, and is an important indicator to use with the Zacks Rank. The VGM Score rates each stock on their shared weighted styles, narrowing down the companies with the most attractive value, best growth forecast, and most promising momentum.

How Style Scores Work with the Zacks Rank The Zacks Rank, which is a proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, to make building a winning portfolio easier.

Investors can count on the Zacks Rank's success, with #1 (Strong Buy) stocks producing an unmatched +23.82% average annual return since 1988, more than double the S&P 500's performance. But the model rates a large number of stocks, and there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.

This totals more than 800 top-rated stocks, and it can be overwhelming to try and pick the best stocks for you and your portfolio.

That's where the Style Scores come in.

To maximize your returns, you want to buy stocks with the highest probability of success. This means picking stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you find yourself looking at stocks with a #3 (Hold) rank, make sure they have Scores of A or B as well to ensure as much upside potential as possible.

As mentioned above, the Scores are designed to work with the Zacks Rank, so any change to a company's earnings outlook should be a deciding factor when picking which stocks to buy.

A stock with a #4 (Sell) or #5 (Strong Sell) rating, for instance, even one with Scores of A and B, will still have a declining earnings forecast, and a greater chance its share price will fall too.

Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.

Stock to Watch: On Holding (ONON - Free Report) On Holding AG is a Switzerland-based premium sportswear company that designs and sells high-performance footwear, apparel and accessories. Founded in the Swiss Alps in 2010, the company has built its brand around technical innovation, premium design and sustainability, guided by its mission to “ignite the human spirit through movement.” Initially focused on running, On Holding has expanded into outdoor, training, tennis and all-day lifestyle categories while maintaining a single-brand operating model.

ONON is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.

Momentum investors should take note of this Retail-Wholesale stock. ONON has a Momentum Style Score of A, and shares are up 20.5% over the past four weeks.

Two analysts revised their earnings estimate higher in the last 60 days for fiscal 2026, while the Zacks Consensus Estimate has increased $0.01 to $1.73 per share. ONON also boasts an average earnings surprise of +25.2%.

With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, ONON should be on investors' short list.

On Holding (ONON - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.

Shares of this running-shoe and apparel company have returned +29.6% over the past month versus the Zacks S&P 500 composite's +0.7% change. The Zacks Retail - Apparel and Shoes industry, to which On Holding belongs, has gained 12.9% over this period. Now the key question is: Where could the stock be headed in the near term?

Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.

Revisions to Earnings EstimatesRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.

We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

For the current quarter, On Holding is expected to post earnings of $0.50 per share, indicating no change. The Zacks Consensus Estimate remained unchanged over the last 30 days.

The consensus earnings estimate of $1.73 for the current fiscal year indicates a year-over-year change of +78.4%. This estimate has changed +1.1% over the last 30 days.

For the next fiscal year, the consensus earnings estimate of $2 indicates a change of +16.1% from what On Holding is expected to report a year ago. Over the past month, the estimate has remained unchanged.

With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for On Holding.

The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:

12 Month EPS

Projected Revenue GrowthEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.

For On Holding, the consensus sales estimate for the current quarter of $1.14 billion indicates a year-over-year change of +14.6%. For the current and next fiscal years, $4.27 billion and $5.12 billion estimates indicate +17.4% and +19.9% changes, respectively.

Last Reported Results and Surprise HistoryOn Holding reported revenues of $1.08 billion in the last reported quarter, representing a year-over-year change of +18.5%. EPS of $0.44 for the same period compares with -$0.11 a year ago.

Compared to the Zacks Consensus Estimate of $1.11 billion, the reported revenues represent a surprise of -3.42%. The EPS surprise was 0%.

Over the last four quarters, On Holding surpassed consensus EPS estimates three times. The company topped consensus revenue estimates three times over this period.

ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.

While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.

The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.

On Holding is graded D on this front, indicating that it is trading at a premium to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.

ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about On Holding. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.

For new and old investors, taking full advantage of the stock market and investing with confidence are common goals. Zacks Premium provides lots of different ways to do both.

The popular research service can help you become a smarter, more self-assured investor, giving you access to daily updates of the Zacks Rank and Zacks Industry Rank, the Zacks #1 Rank List, Equity Research reports, and Premium stock screens.

Zacks Premium also includes the Zacks Style Scores.

What are the Zacks Style Scores? Developed alongside the Zacks Rank, the Zacks Style Scores are a group of complementary indicators that help investors pick stocks with the best chances of beating the market over the next 30 days.

Each stock is given an alphabetic rating of A, B, C, D or F based on their value, growth, and momentum qualities. With this system, an A is better than a B, a B is better than a C, and so on, meaning the better the score, the better chance the stock will outperform.

The Style Scores are broken down into four categories:

Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.

Growth ScoreWhile good value is important, growth investors are more focused on a company's financial strength and health, and its future outlook. The Growth Style Score takes projected and historic earnings, sales, and cash flow into account to uncover stocks that will see long-term, sustainable growth.

Momentum ScoreMomentum traders and investors live by the saying "the trend is your friend." This investing style is all about taking advantage of upward or downward trends in a stock's price or earnings outlook. Employing factors like one-week price change and the monthly percentage change in earnings estimates, the Momentum Style Score can indicate favorable times to build a position in high-momentum stocks.

VGM ScoreIf you want a combination of all three Style Scores, then the VGM Score will be your friend. It rates each stock on their combined weighted styles, helping you find the companies with the most attractive value, best growth forecast, and most promising momentum. It's also one of the best indicators to use with the Zacks Rank.

How Style Scores Work with the Zacks Rank The Zacks Rank, which is a proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, to make building a winning portfolio easier.

#1 (Strong Buy) stocks have produced an unmatched +23.86% average annual return since 1988, which is more than double the S&P 500's performance over the same time frame. However, the Zacks Rank examines a ton of stocks, and there can be more than 200 companies with a Strong Buy rank, and another 600 with a #2 (Buy) rank, on any given day.

But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.

That's where the Style Scores come in.

To have the best chance of big returns, you'll want to always consider stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B, which will give you the highest probability of success. If you're looking at stocks with a #3 (Hold) rank, it's important they have Scores of A or B as well to ensure as much upside potential as possible.

As mentioned above, the Scores are designed to work with the Zacks Rank, so any change to a company's earnings outlook should be a deciding factor when picking which stocks to buy.

For instance, a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one that boasts Scores of A and B, still has a downward-trending earnings forecast, and a much greater likelihood its share price will decline as well.

Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.

Stock to Watch: On Holding (ONON - Free Report) On Holding AG is a Switzerland-based premium sportswear company that designs and sells high-performance footwear, apparel and accessories. Founded in the Swiss Alps in 2010, the company has built its brand around technical innovation, premium design and sustainability, guided by its mission to “ignite the human spirit through movement.” Initially focused on running, On Holding has expanded into outdoor, training, tennis and all-day lifestyle categories while maintaining a single-brand operating model.

ONON is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.

Additionally, the company could be a top pick for growth investors. ONON has a Growth Style Score of A, forecasting year-over-year earnings growth of 78.4% for the current fiscal year.

Two analysts revised their earnings estimate higher in the last 60 days for fiscal 2026, while the Zacks Consensus Estimate has increased $0.01 to $1.73 per share. ONON also boasts an average earnings surprise of +25.2%.

With a solid Zacks Rank and top-tier Growth and VGM Style Scores, ONON should be on investors' short list.

Shares of On Holding AG (NYSE:ONON – Get Free Report) have been given an average recommendation of “Moderate Buy” by the twenty-eight ratings firms that are covering the stock, MarketBeat reports. Two research analysts have rated the stock with a sell recommendation, four have assigned a hold recommendation, twenty have issued a buy recommendation and two have assigned a strong buy recommendation to the company. The average 12-month price target among brokerages that have issued a report on the stock in the last year is $43.17.

Several research firms recently weighed in on ONON. Wall Street Zen cut shares of ON from a “buy” rating to a “hold” rating in a research report on Saturday, July 18th. Bank of America decreased their price objective on ON from $46.00 to $43.00 and set a “buy” rating on the stock in a research report on Thursday, September 17th. Citigroup reissued a “buy” rating on shares of ON in a research note on Wednesday, September 23rd. KeyCorp restated an “overweight” rating on shares of ON in a research report on Monday, September 28th. Finally, Guggenheim set a $42.00 price target on ON in a research note on Friday, September 11th.

Get Our Latest Stock Analysis on ONON

Insider Buying and Selling In other ON news, insider Olivier Bernhard acquired 65,000 shares of the business’s stock in a transaction that occurred on Friday, August 14th. The shares were acquired at an average cost of $30.67 per share, for a total transaction of $1,993,550.00. Following the completion of the acquisition, the insider directly owned 5,228,184 shares of the company’s stock, valued at approximately $160,348,403.28. This represents a 1.26% increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Caspar Coppetti bought 65,000 shares of the stock in a transaction on Friday, August 14th. The shares were acquired at an average cost of $30.67 per share, with a total value of $1,993,550.00. Following the acquisition, the chief executive officer directly owned 2,440,855 shares in the company, valued at approximately $74,861,022.85. This trade represents a 2.74% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders own 68.57% of the company’s stock. Institutional Investors Weigh In On ON Institutional investors have recently made changes to their positions in the stock. Wellington Management Group LLP lifted its position in shares of ON by 2.3% in the second quarter. Wellington Management Group LLP now owns 2,751,615 shares of the company’s stock worth $97,462,000 after purchasing an additional 62,404 shares in the last quarter. Quantinno Capital Management LP boosted its holdings in ON by 89.6% during the first quarter. Quantinno Capital Management LP now owns 66,947 shares of the company’s stock worth $2,278,000 after purchasing an additional 31,641 shares during the last quarter. OMERS ADMINISTRATION Corp bought a new position in ON in the first quarter valued at $5,694,000. Ogborne Capital Management LLC grew its position in ON by 34.2% in the fourth quarter. Ogborne Capital Management LLC now owns 845,549 shares of the company’s stock valued at $39,301,000 after purchasing an additional 215,549 shares in the last quarter. Finally, APEIRON CAPITAL Ltd increased its stake in ON by 25.2% in the 1st quarter. APEIRON CAPITAL Ltd now owns 996,052 shares of the company’s stock valued at $33,886,000 after buying an additional 200,200 shares during the last quarter. 36.39% of the stock is owned by institutional investors and hedge funds.

ON Trading Up 3.0% Shares of ONON opened at $35.05 on Friday. The company has a debt-to-equity ratio of 0.25, a quick ratio of 2.25 and a current ratio of 2.83. The company has a market cap of $22.37 billion, a price-to-earnings ratio of 23.84, a PEG ratio of 0.67 and a beta of 2.08. The stock has a fifty day moving average price of $30.59 and a two-hundred day moving average price of $34.51. ON has a 52-week low of $26.36 and a 52-week high of $51.08.

ON (NYSE:ONON – Get Free Report) last announced its earnings results on Tuesday, August 11th. The company reported $0.35 EPS for the quarter, missing the consensus estimate of $0.42 by ($0.07). ON had a return on equity of 22.92% and a net margin of 12.09%. The business had revenue of $1.05 billion for the quarter, compared to the consensus estimate of $1.09 billion. During the same quarter in the previous year, the company posted ($0.09) EPS. ON’s revenue for the quarter was up 13.5% on a year-over-year basis. Analysts predict that ON will post 1.51 EPS for the current fiscal year.

ON Company Profile (Get Free Report)

On Holding AG, trading on the New York Stock Exchange under the symbol ONON, is a Swiss sportswear company focused on performance footwear, apparel and accessories. The company serves athletes and active consumers with products designed for running, training, outdoor activities and everyday wear.

On is best known for its running shoes, which incorporate the company’s CloudTec cushioning technology and distinctive sole designs. Its product portfolio also includes athletic clothing, apparel and accessories, with offerings positioned across both performance and lifestyle categories.

Further Reading Five stocks we like better than ON Alphabet Introduces Gemini Agent—Can It Trigger a Breakout? Palantir’s Rally Puts Wall Street in Catch-Up Mode Ahead of November Earnings Tilray Finds a Path to Growth Without Waiting on U.S. Cannabis Reform Arista Networks Plugs Into All-Time Highs

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On Holding AG (ONON -0.95%), the Swiss running and sports shoe brand known for its cushioned Cloud sneakers, is down about 52% from the all-time high it hit in January 2025. That's a steep fall for a company that's still growing sales at a pace most retailers would envy.

The stock's problem isn't that On stopped growing; it's that growth has been decelerating from truly exceptional to merely very good, and Wall Street priced the stock for the former. On's answer has been to open two entirely new categories, football and golf, built around one of the biggest athlete signings in years.

On's second-quarter net sales rose 21.6% in constant currency, a number most apparel companies would celebrate, but it missed analyst expectations, and On trimmed its full-year growth outlook to the low-20% range from a prior floor of 23%. None of that signals a broken business, but it does mean the market, which had treated On like a company that could only accelerate, is now pricing in a more normal deceleration curve.

Let's see what this could all mean for investors.

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Mbappé and football give On access to a market worth tens of billions In September, On signed French striker Kylian Mbappé as a global ambassador, pulling him away from a roughly 20-year relationship with Nike, with a deal reportedly including both cash and an equity stake that makes him a shareholder in On itself. On also brought on French legend Thierry Henry as its new director of football.

On's first football boots won't ship until 2027, according to The New York Times, so this is a long-game move, but the market is enormous: Global football apparel is projected to earn around $49.9 billion in 2026, and football-specific footwear alone is estimated near $21.7 billion, according to The Business Research Company.

Nike and Adidas have dominated that space for decades. Signing one of the sport's most marketable players is On's way of buying instant credibility in a category where a new premium brand would otherwise take years to be taken seriously.

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Golf is smaller, but it fits On's premium playbook perfectly On also announced it will launch golf footwear and apparel in the first half of 2027, aimed at what the company describes as a younger, more style-conscious golfer. On's own pitch to investors leaned on golf being the most premium sport in the world, with On citing annual golf gear spending as the prize, per WWD. Golf is a much smaller pool than football, but it's a better match for On's business model, which has always been about charging full price to a customer willing to pay for performance and design rather than chasing the mass market on discounts.

Image source: Getty Images.

What this means for On's 2029 targets, and whether the stock is a buy At its September investor day, On set a target of high-teens annual sales growth in constant currency through 2029, aiming for at least 5.6 billion Swiss francs, roughly $7 billion, in net sales, alongside a gross margin above 65% and an adjusted EBITDA margin above 22%. Management also authorized a $1 billion stock buyback.

It's worth being clear-eyed about one thing, though: On's own presentation framed running, sneakers, and apparel as the main drivers of that growth, with football and golf described as supporting, newer categories rather than the primary engine. Neither will contribute meaningful revenue before 2027 at the earliest.

That makes the football and golf pushes more of a multi-year credibility and brand-expansion story than an immediate fix for the deceleration that knocked the stock down in the first place. I'd treat On as a reasonable long-term buy for investors comfortable owning a premium brand through a slower growth patch.

On October 05, 2026, On Holding AG
ONON +3.34% 79

shares rose by 3.3%, reaching a current price of $31.88. The stock has experienced significant volatility, with a 52-week range between $26.37 and $51.08.

GF Value™ verdict: ONON is currently trading at $31.88, representing a 51.4% undervaluation compared to its GF Value™ of $65.64.GF Score™: ONON has a score of 79/100, indicating above-average performance based on various fundamental metrics.Notable signal: Insider activity shows a net buying of $9.6M over the past 12 months, suggesting confidence from company insiders.Is ONON Overvalued or Undervalued?On Holding AG's current price of $31.88 reflects a notable divergence from its GF Value™ estimate of $65.64, suggesting a substantial margin of safety for potential investors. The GF Value™ is GuruFocus' proprietary intrinsic-value estimate, which is derived from a combination of historical trading multiples, past business growth, and projections of future performance. With a valuation that shows significant undervaluation, it presents an opportunity for those looking at the company as a long-term investment.

The GF Valuation label indicates that ONON is significantly undervalued, which invites a closer examination of the company's fundamentals and market positioning. While the stock has experienced a year-to-date decline of 31.4%, the recent uptick in price performance signals a potential turnaround. However, it is essential to consider market conditions and company-specific factors that may influence future performance.

How Does ONON's Valuation Compare to Its History?MetricCurrentHistoricalP/E (TTM)21.4x87.9x (5-Year Median)Forward P/E15.9xN/AThe current P/E ratio of 21.4x is significantly below its 5-year median of 87.9x, indicating that the stock is trading at a fraction of its historical valuation levels. This analysis aligns with the GF Value™ assessment, reinforcing the notion that ONON is undervalued compared to its historical performance metrics.

What Does ONON's GF Score™ Tell Us?The GF Score™ evaluates a company's performance across various dimensions, including financial strength, profitability, growth, valuation, and momentum. With a score of 79/100, ONON demonstrates strong fundamentals, particularly in growth and financial strength, although it faces challenges in valuation.

MetricRatingGF Score™79/100Financial Strength8/10Profitability7/10Growth9/10Valuation2/10Momentum5/10ONON's strongest areas are in growth (9/10) and financial strength (8/10), indicating robust business fundamentals and the ability to sustain operations effectively. However, the valuation rank of 2/10 suggests that the stock's current price does not reflect its underlying potential, emphasizing the opportunity for investors to capitalize on its undervaluation.

What Are Gurus and Insiders Doing with ONON?Currently, 8 gurus hold shares of ONON, with 5 increasing their positions and 3 trimming them in recent quarters. This diverse activity among institutional investors can be interpreted as a positive signal for the company's outlook. The presence of multiple gurus holding ONON indicates a level of confidence in its future performance.

Additionally, insider activity has been notably positive, with insiders buying $10.6M worth of stock while only selling $1.0M, resulting in a net buying of $9.6M over the past year. This trend suggests that those closest to the company believe in its potential for growth, further reinforcing the notion of undervaluation as indicated by the GF Value™.

What This Means for InvestorsOverall, On Holding AG
ONON +3.34% 79

appears to be significantly undervalued based on its GF Value™ estimate of $65.64 compared to its current trading price of $31.88. The combination of strong insider buying and a high GF Score™ indicates a favorable outlook for potential investors. For further insights and detailed metrics, you can visit the On Holding AG (ONON) stock page.

Frequently Asked QuestionsWhat is ONON's GF Score™?

ONON has a GF Score™ of 79/100, indicating above-average performance based on key financial metrics and growth potential.

Is ONON overvalued or undervalued?

ONON is currently undervalued, trading at 51.4% below its GF Value™ of $65.64.

What is ONON's P/E ratio?

ONON's P/E ratio is 21.4x, which is significantly lower than its 5-year median P/E of 87.9x, highlighting its current undervaluation compared to historical levels.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

Nike is staring down its worst stock performance in decades while rivals steal its customers and its own earnings hide a financial lifeline most investors missed. LeBron James thinks he knows exactly where the brand went wrong.

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LeBron James still moves money for whoever he plays for. After he joined the Philadelphia 76ers, the team’s ticket sales on StubHub (NYSE:STUB | STUB Price Prediction) jumped 585%, and the Sixers drew 38% of all NBA ticket search traffic. Nike (NYSE:NKE) has paid him since 2003, and it heads into tonight’s earnings report in much worse shape.

Nike traded at $35.09 late Thursday. That leaves the stock down 43.46% year to date and 48.01% over the past 12 months. CNBC reported that Nike is on track for its worst year since 1993, the year Michael Jordan first retired.

LeBron’s Fix Goes Straight to What Nike Lost At the CNBC Sport x Boardroom Game Plan Summit on July 16, Boardroom’s Rich Kleiman asked James how Nike could recover:

“You’ve got to get back into the roots. You’ve got to get back to being out in the inner city, having runners. When I was coming up, you had people who were literally out in the communities talking to these younger generations, asking them what they like, what they don’t like.”

He ended with a warning:

“It was such a cool factor. So we can’t lose our cool.”

On Thursday, CNBC paired the clip with Wharton marketing professor Americus Reed, who argued that Nike leaned too hard on direct-to-consumer channels and celebrity deals while letting community relationships slip. A sellout shoe is a transaction; loyalty is separate. Pulling back from retail stores removed the emotion and storytelling that build deeper bonds with shoppers. Reed’s point: a brand “has to live and breathe within the community.”

Nike’s Recent Profits Lean on a Tariff Refund In its June 30 report, Nike posted revenue of $10.97 billion, down 1.1% from a year earlier. Diluted EPS came in at $0.72, but $0.52 of that came from a $986 million tariff-recovery benefit. Without the refund, full-year EPS would have been $1.58. Digital sales fell 12%, Greater China dropped 17% on a currency-neutral basis, and Converse sank 32%.

CEO Elliott Hill named the weakest spots:

“We know we’re not living up to our full potential, particularly in Nike Sportswear and Jordan Streetwear, where sell-through remains challenged.”

Sportswear and Jordan Streetwear make up about half of Nike’s revenue. Running is strongest, with five consecutive quarters of double-digit growth. Hill: “When we lead with sport, we win.”

Rivals Reed Named Are Taking Share Reed singled out Hoka and On Holding (NYSE:ONON) as the brands winning shoppers’ attention. On Holding grew Q2 2026 revenue 13.49%, or 21.6% in constant currency. Its gross margin reached 65.4%, and direct sales rose 26.0%. On Holding also signed Kylian Mbappé away from Nike as it moves into soccer. Co-CEO David Allemann described the strategy:

“We are proving that a brand can achieve global scale without compromising its premium brand positioning.”

At Deckers Outdoor (NYSE:DECK), Hoka’s net sales rose 7.7% to $703.50 million, and gross margin came in at 56.4%. Nike’s full-year gross margin, excluding the tariff benefit, was 40.8%.

What to Watch After the Bell Management guided for revenue to fall by a low to mid-single digits percentage. CFO Matt Friend said “profitability will bottom before sales” in China. Analysts are conservative: 25 rate the stock a hold, with a $45.63 price target. Watch whether sell-through improves in Sportswear and Jordan, and whether running’s momentum spreads to basketball. Hill warned that “progress will continue to be uneven.”

Data Sources CNBC: Wharton’s Americus Reed on Nike: Reed’s view on transactions versus loyalty, the effect of direct-to-consumer, and the worst-year-since-1993 comparison. Contact [email protected] for any questions or corrections.

Key Takeaways On Holding's premium store expansion helped DTC sales rise 26% year over year to CHF 388.4 million.On Holding's Champs-Elysees flagship led all stores, while Stockholm beat expectations twofold.ONON expects more store openings and DTC to strongly outperform wholesale in the second half. On Holding AG’s (ONON - Free Report) premium store expansion is deepening consumer connections. Management says its stores help showcase footwear and apparel together, while its own channels give it control over the brand experience. Growth at existing locations and new openings reflects its selective approach to retail expansion.

In the second quarter of 2026, the Champs-Élysées flagship was On Holding’s strongest-performing store worldwide, with gains in traffic, conversion and average item values. Its Stockholm flagship performed at twice management’s expectations after two months. The company’s two Tokyo stores continued to perform exceptionally, with no signs of cannibalization.

Retail expansion contributed to direct-to-consumer (DTC) growth alongside e-commerce. DTC sales climbed 26% year over year to CHF 388.4 million or 34.3% at constant currency. The channel reached a second-quarter record 45.7% of sales, up from 41.1% a year earlier. The company cited higher traffic and transactions at existing stores and network expansion across all regions.

On Holding opened its first Macau store during the quarter. Management said it matched the momentum of its Hong Kong stores and achieved above-average conversion with the region’s widest assortment. Madrid and Milan stores also performed strongly. The company opened premium stores in the United Arab Emirates and its first stores in Copenhagen and São Paulo.

Management expects more store openings and DTC to strongly outperform wholesale in the second half. Quarterly capital spending was CHF 28.2 million, focused primarily on selective retail expansion and supporting infrastructure. Store-related personnel costs and depreciation increased as the footprint grew. On Holding’s growing DTC mix and stronger store performance support its premium growth strategy.

DECK & WWW’s DTC Picture vs. ONONDeckers Outdoor Corporation (DECK - Free Report) delivered strong DTC momentum in the first quarter of fiscal 2027, with total DTC sales increasing 13% year over year. The company’s DTC growth was led by HOKA, where global DTC revenues rose 17%, while UGG DTC increased 6%. DECK benefited from strong full-price demand, product innovation and disciplined inventory management, supporting higher gross margins. For fiscal 2027, Deckers expects to continue driving significant DTC growth, with management indicating no significant change in the channel’s trajectory. DECK views DTC as a key growth engine, supported by expanding international reach, new products and greater consumer engagement.

Wolverine World Wide (WWW - Free Report) saw DTC revenues remain approximately flat year over year in the second quarter of 2026, despite 8% wholesale growth. WWW is making DTC a significant focus, with Saucony showing good DTC growth while Merrell is being repositioned toward a higher full-price mix and less promotional activity. Wolverine is investing in stronger online storytelling and more targeted marketing across the consumer funnel. Management acknowledged that more work remains but is taking steps to improve DTC performance, particularly ahead of the holiday season.

ONON’s Price Performance, Valuation & EstimatesOn Holding shares have lost 15.4% over the past three months compared with the industry’s 11.8% decline.

Image Source: Zacks Investment Research

From a valuation standpoint, ONON trades at a trailing price-to-sales ratio of 2.23, above the industry’s average of 1.30. It has a Value Score of A. 

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for ONON’s fiscal 2026 earnings implies year-over-year growth of 77.3%, whereas the same for fiscal 2027 indicates an uptick of 16.1%. Estimates for fiscal 2026 have been revised downward by 1 cent, while those for fiscal 2027 have remained unchanged over the past 30 days.

Image Source: Zacks Investment Research

On Holding currently carries a Zacks Rank #4 (Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Key Takeaways ONON's DTC sales jumped 26%, with the channel reaching a record 45.7% of second-quarter sales.ONON's Asia-Pacific sales rose 43.1%, while apparel sales advanced 47.7% in the quarter.BOOT's sales climbed 17.7% as new stores, positive comparable sales and e-commerce supported growth. On Holding AG (ONON - Free Report) and Boot Barn Holdings, Inc. (BOOT - Free Report) are two footwear players pursuing growth through different markets and business models. ONON is expanding its global premium sportswear brand through innovative running shoes, apparel and direct-to-consumer (DTC) channels, while BOOT is growing its U.S. western and workwear business through new stores, online sales and a broader product assortment. The key question for investors is which company offers the more compelling opportunity now.

The Case for On HoldingOn Holding continues to expand its premium athletic footwear business through its DTC channel. Second-quarter 2026 DTC sales increased 26% to CHF 388.4 million, or 34.3% on a constant-currency basis and reached a second-quarter record of 45.7% of total sales. Strong demand across its own stores and online channels gives On Holding greater control over the customer experience and supports its strategy of selling products at full price. The stronger DTC mix helped lift gross margin to 65.4% from 61.5% a year earlier.

International expansion provides another growth avenue. Asia-Pacific sales rose 43.1% to CHF 170.5 million in the second quarter or 54.7% at constant currency, accounting for more than 20% of global sales. Momentum across Japan, South Korea and Greater China underscores the brand’s growing reach beyond its established markets. On Holding has expanded its retail presence, opening its first stores in Sao Paulo and Copenhagen, giving customers more opportunities to engage with its products directly.

On Holding is broadening its product portfolio beyond footwear. Apparel sales grew 47.7% to CHF 54.2 million in the quarter or 56.2% at constant currency, as the company gained traction across running, training and tennis. Apparel growth gives On Holding another way to increase customer spending and deepen its presence in premium sportswear. A wider assortment also supports the company’s own stores and online platform, creating more opportunities to serve customers across activities.

Product innovation remains central to On Holding’s premium positioning. At its Running Summit, the company highlighted the recently launched Cloudboom Strike 2 and unveiled SURREAL superfoam, which is planned for the Cloudsurfer 3. On Holding is also expanding the commercial use of its LightSpray technology across running products. These launches can refresh core franchises and support full-price demand. Management’s 2026 outlook calls for net sales growth in the low-20% range at constant currency, a gross margin of at least 65% and an adjusted EBITDA margin of 19.5% to 20%, reflecting its expectations for continued premium growth.

On Holding’s wholesale business presents a clear near-term challenge. Second-quarter wholesale sales rose only 4.8% on a reported basis, well below the 26% increase in DTC sales, as management deliberately limited shipments in a promotional marketplace to protect full-price selling and prepare for new products. Reported sales in the Americas grew just 4.5% compared with 43.1% in Asia-Pacific and currency movements weighed on reported growth. Management expects its wholesale restraint to continue into the second half, which could constrain reported sales even if demand through its own channels remains strong.

The Case for Boot BarnBoot Barn continues to expand its national store footprint, a key driver of its growth in western and work-related footwear and apparel. The company opened 27 stores in the first quarter of fiscal 2027, bringing its total to 566 locations across 49 states. Management said new stores continue to perform above expectations and plans to open 70 locations during the fiscal year. A larger store base gives Boot Barn more opportunities to serve customers and grow sales in markets where its physical presence is still developing.

Demand at existing stores is also contributing to the retailer’s performance. First-quarter sales rose 17.7% to $593.5 million, supported by 4.7% growth in consolidated same-store sales. Retail store comparable sales increased 3.8%, showing that growth was not driven solely by new locations. Boot Barn’s combination of store openings and positive comparable sales provides two avenues for expansion, although preliminary July comparable sales were approximately flat.

Boot Barn’s e-commerce business is adding another growth driver. Online comparable sales rose 13.4% in the first quarter, with management citing double-digit growth on bootbarn.com. The retailer is working to connect its digital and physical channels more closely, while online shopping gives customers access to a broader assortment. Continued e-commerce gains could complement its expanding store network and strengthen customer engagement across channels.

The company’s workwear strategy broadens its appeal beyond western fashion. Management pointed to healthy demand in work-related products and is enhancing in-store merchandising and marketing for work customers. Exclusive brands remain an important part of Boot Barn’s assortment, although management expects their share of sales to be roughly flat or slightly lower this fiscal year as the product mix changes. Greater reach across western and work categories can help the retailer serve a wider range of customer needs.

Management’s updated fiscal 2027 outlook calls for sales of $2.58 billion to $2.63 billion, representing year-over-year growth of 14% to 16%, and EPS of $8.80 to $9.23. The company expects same-store sales growth of 2% to 4%. First-quarter gross margin improved to 40.4% from 39.1%, but tariff refunds contributed $14.7 million to gross profit and 38 cents to quarterly EPS. The company’s full-year EPS outlook includes an estimated 46-cent refund benefit. With new stores, comparable sales, e-commerce and workwear all contributing, Boot Barn has several levers to support growth across the fiscal year.

How Does the Zacks Consensus Estimate Compare for ONON & BOOT?The Zacks Consensus Estimate for On Holding’s current financial-year sales and EPS implies growth of 15.6% and 77.3%, respectively, from the year-ago period’s actuals. For the next fiscal year, the consensus estimate indicates a 22.6% rise in sales and 16.1% growth in earnings. The consensus estimates for EPS for the current and next fiscal year have decreased 4 cents and 14 cents, respectively, over the past 60 days to $1.72 and $2.00, respectively.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate implies that Boot Barn’s current fiscal-year sales will increase 15.8% and EPS will rise 23.5% from year-ago actuals. For the next fiscal year, the consensus estimate indicates 12.4% growth in sales and 10.3% growth in earnings. The consensus EPS estimates for the current and next fiscal years have increased 54 cents and 10 cents over the past 60 days to $9.08 and $10.02, respectively.

Image Source: Zacks Investment Research

Stock Performance of ONON & BOOTShares of On Holding have plunged 34.4% in the year-to-date period, whereas Boot Barn has dipped 28.6%. Meanwhile, the Zacks Retail – Apparel and Shoes industry saw a decline of 18.6% in the same time frame. While both stocks have trailed the broader industry, BOOT’s comparatively narrower decline offers a modest relative advantage in terms of recent stock-price performance.

Image Source: Zacks Investment Research

Stock Valuations of ONON & BOOTOn Holding is trading at a forward price-to-sales (P/S) multiple of 3.94X, down from its one-year median of 5.08X. Boot Barn’s forward 12-month P/S multiple sits at 1.38X, lower than its one-year median of 1.98X.

Image Source: Zacks Investment Research

ONON or BOOT: Which Is the Better Bet Now?While On Holding benefits from strong DTC demand, international expansion and product innovation, Boot Barn currently appears to be the better bet. Its new stores are adding sales alongside growth at existing locations, while e-commerce and workwear offer further opportunities. Rising earnings estimates, a lower valuation and relatively better share performance reinforce its case. On Holding’s slower wholesale growth and downward estimate revisions make its near-term outlook less compelling. Boot Barn’s tariff refund temporarily boosted earnings, so that benefit should be viewed with caution. Even so, its combination of operating momentum, favorable estimate trends and a more attractive valuation gives it the edge.

On Holding currently carries a Zacks Rank #5 (Strong Sell), whereas Boot Barn currently has a Zacks Rank #2 (Buy).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

On Holding AG (NYSE: ONON - Get Free Report) shares saw strong trading volume on Tuesday. Approximately 14,036,330 shares changed hands during trading, an increase of 116% from the previous session's volume of 6,502,427 shares.The stock last traded at $30.8480 and had previously closed at $27.32. More ON News Here are the key news stories

On Holding (ONON - Free Report) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.

Over the past month, shares of this running-shoe and apparel company have returned +1.9%, compared to the Zacks S&P 500 composite's +1.3% change. During this period, the Zacks Retail - Apparel and Shoes industry, which On Holding falls in, has lost 6.1%. The key question now is: What could be the stock's future direction?

Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.

Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.

We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

For the current quarter, On Holding is expected to post earnings of $0.47 per share, indicating a change of -6% from the year-ago quarter. The Zacks Consensus Estimate has changed +4.7% over the last 30 days.

For the current fiscal year, the consensus earnings estimate of $1.72 points to a change of +77.3% from the prior year. Over the last 30 days, this estimate has changed +1.2%.

For the next fiscal year, the consensus earnings estimate of $2 indicates a change of +16.1% from what On Holding is expected to report a year ago. Over the past month, the estimate has remained unchanged.

With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #5 (Strong Sell) for On Holding.

The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:

12 Month EPS

Projected Revenue GrowthEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.

For On Holding, the consensus sales estimate for the current quarter of $1.16 billion indicates a year-over-year change of +16.5%. For the current and next fiscal years, $4.32 billion and $5.14 billion estimates indicate +18.7% and +19.1% changes, respectively.

Last Reported Results and Surprise HistoryOn Holding reported revenues of $1.08 billion in the last reported quarter, representing a year-over-year change of +18.5%. EPS of $0.44 for the same period compares with -$0.11 a year ago.

Compared to the Zacks Consensus Estimate of $1.11 billion, the reported revenues represent a surprise of -3.42%. The EPS surprise was 0%.

Over the last four quarters, On Holding surpassed consensus EPS estimates three times. The company topped consensus revenue estimates three times over this period.

ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.

Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.

The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.

On Holding is graded F on this front, indicating that it is trading at a premium to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.

ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about On Holding. However, its Zacks Rank #5 does suggest that it may underperform the broader market in the near term.

On Holding (ONON +7.58%) was up over 10% on Tuesday after announcing guidance through 2029 and a $1 billion buyback program. This eases some fears that revenue growth was slowing following a guidance reduction when Q2 earnings were released. Management also said they would be entering soccer (following last week's Mbappe signing) and golf, two potentially large markets that also carry high price points and margins. Investor cheered the move and with shares at a below market multiple this is a great opportunity for investors, even after today's move.

*Stock prices used were end-of-day prices of September 22, 2026. The video was published on September 22, 2026.

Travis Hoium has positions in On Holding. The Motley Fool has positions in and recommends On Holding. The Motley Fool has a disclosure policy. Travis Hoium is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool.

The Nasdaq 100 carved out a fresh intraday record by midday Tuesday as the artificial intelligence trade powered ahead.

Speaking at the United Nations General Assembly on Tuesday, President Donald Trump said he faces a “big decision” on whether to negotiate with Tehran or “annihilate the Islamic Republic,” adding, “I believe we’ll make a deal right after the election because it doesn’t make sense for them not to.”

• Viking Therapeutics stock is surging to new heights today. Why are VKTX shares rallying?

West Texas Intermediate crude fell 0.6% to $91.81 a barrel, a fifth consecutive daily decline and the lowest level in two weeks, as flows through the Strait of Hormuz and alternative routes edged back toward pre-war levels.

The S&P 500 was effectively unchanged at 7,761.28, while the Dow Jones Industrial Average shed 263 points, or 0.51%, to 51,785.94, pressured by a fall in financial names.

The Nasdaq 100 rose 0.41% to 30,607.20 after touching its first intraday record since June. 

On the rates front, St. Louis Fed President Alberto Musalem said further increases may be needed to bring inflation back toward target. 

The 10-year Treasury yield reversed an early decline to sit at 4.98%, up 2 basis points, while the 2-year added 2 basis points to 4.77% and the 30-year rose 2 basis points to 5.31%.

Tuesday’s Performance In Major U.S. IndicesAccording to the Benzinga Pro platform:

The Vanguard S&P 500 ETF (NYSE:VOO) was flat, easing less than 0.1%. The SPDR Dow Jones Industrial Average ETF Trust (NYSE:DIA) slid 0.5%. The Invesco QQQ Trust (NASDAQ:QQQ) climbed 0.5%. The iShares Russell 2000 ETF (NYSE:IWM) rose 0.4%. Banks Buckle While the AI Complex Runs AwayThe Financial Select Sector SPDR Fund (NYSE:XLF) was the session’s worst performer by a wide margin, sinking 1.9% as the yield rebound and lingering credit-quality worries sent lenders lower. JPMorgan Chase & Co. (NYSE:JPM) fell 3.4%, Wells Fargo & Co. (NYSE:WFC) dropped 3.4% and Morgan Stanley (NYSE:MS) lost 2.9%.

Defensives took the lead instead. The Consumer Staples Select Sector SPDR Fund (NYSE:XLP) gained 1%, the Materials Select Sector SPDR Fund (NYSE:XLB) rose 1% and the Health Care Select Sector SPDR Fund (NYSE:XLV) added 0.7%. The Technology Select Sector SPDR Fund (NYSE:XLK) managed only a 0.2% gain.

At the industry level, the iShares U.S. Home Construction ETF (BATS:ITB) topped the board with a 2.2% advance, followed by the iShares Biotechnology ETF (NASDAQ:IBB) at 1.7% and the SPDR S&P Metals & Mining ETF (NYSE:XME) at 1.3%. The VanEck Gold Miners ETF (NYSE:GDX) rose 1.2% even as spot gold eased 0.4% to $4,324.67 an ounce.

Viking Therapeutics Inc. (NASDAQ:VKTX) was the day’s runaway winner, surging 30.7% after its VK2735 maintenance study showed patients switching from weekly to every-other-week dosing preserved up to 97% of prior weight loss, with monthly dosing preserving up to 90%.

The dual GLP-1/GIP agonist delivered 22% placebo-adjusted weight loss at 33 weeks on the 17.5 mg dose, and Truist analyst Gregory Renza called the readout a “best-case scenario.”

The company plans to start Phase 3 trials by year-end.

Vicor Corp. (NASDAQ:VICR) jumped 13.7% after sharply raising its third-quarter revenue outlook late Monday, guiding to sequential growth above 20% versus a prior estimate of roughly 10%, driven by royalties from a new licensing agreement covering its Vertical Power Delivery technology.

On Holding AG (NYSE:ONON) rallied 10.2% on the back of its Zurich investor day, where management targeted at least CHF 5.6 billion in net sales and a 22% adjusted EBITDA margin by 2029, authorized a $1 billion buyback through 2029 and announced entry into football and golf. 

Monolithic Power Systems Inc. (NASDAQ:MPWR) climbed 7.5% and Rambus Inc. (NASDAQ:RMBS) was up 7.38%, extending Monday’s move in AI power delivery and memory interface names.

The trade also lifted Micron Technology Inc. (NASDAQ:MU) by 3.4%, Astera Labs Inc. (NASDAQ:ALAB) by 7.3% and SanDisk Corp. (NASDAQ:SNDK) by 6.5%.

On the downside, Planet Fitness Inc. (NYSE:PLNT) slumped 9.9%, on a day when obesity-drug headlines dominated, with Viking’s readout landing alongside a fresh wave of GLP-1 commentary on the long-term structural threat oral obesity drugs pose to fitness operators. Planet Fitness is now down more than 55% year to date after cutting its 2026 outlook and withdrawing its three-year growth in May.

New York Times Co. (NYSE:NYT) tumbled 9.3%. Gen Digital Inc. (NASDAQ:GEN) fell 6.8%, extending a multi-session slide in a software cohort that also saw Intuit Inc. (NASDAQ:INTU) drop 4.7%.

Ryan Specialty Holdings Inc. (NYSE:RYAN) dropped 6.6% and LPL Financial Holdings Inc. (NASDAQ:LPLA) fell 6.2%.

In the only notable earnings print of the session, AutoZone Inc. (NYSE:AZO) rose 5.8% after reporting quarterly earnings of $56.06 per share versus the $54.51 consensus. Peer O’Reilly Automotive Inc. (NASDAQ:ORLY) gained 4.3% in sympathy. Elsewhere, Lennar Corp. (NYSE:LEN) climbed 4.6% to lead the homebuilder bounce.

Tuesday’s Russell 1000 Top GainersTuesday’s Russell 1000 Top LosersPhoto: Shutterstock

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© 2026 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

On Holding (ONON +10.93%) held an Investor Day today, and the market loved what the company said. Shares soared more than 14% in early trading and remained higher by 13% as of 10:35 a.m. ET.

On laid out its strategy for the next several years, prompting investors to call a bottom on the stock that has lost one-third of its value this year. Here's why investors are jumping back in.

Image source: The Motley Fool.

Blow away margins On laid out its financial plan and global product strategy through 2029 at today's Investor Day event. One top takeaway was management's commitment to maintain On's leading profitability in the sector. Specifically, the company plans to maintain a gross profit margin of at least 65% through 2029. That shows investors it has confidence in the power of its premium brand and ability to hold pricing against strong competition. For comparison, global giant Nike's most recent annual gross profit margin is about 43%.

On reiterated its full-year 2026 guidance, expecting net sales growth of over 20% on a constant currency basis. The company didn't stop there. It also announced plans to repurchase up to $1 billion in shares through 2029.

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The company is expanding its presence in the global footwear market. It recently announced plans to enter the soccer market, naming French soccer star and World Cup fan favorite Kylian Mbappé as its global ambassador.

On has been successful in running and tennis, and it's likely to carry that success into soccer. It's never easy to call a bottom in a stock, but investors might be on target jumping into On Holding stock today.

Howard Smith has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nike and On Holding. The Motley Fool has a disclosure policy.

Key Takeaways On Holding's EMEA sales reached CHF 228.2M in Q2, with the region's share rising to 26.8% of total sales.ONON's DTC mix rose to 45.7%, as channel gains and full-price discipline helped lift gross margin to 65.4%.On Holding expects low-20% constant-currency sales growth in 2026, with DTC set to outperform wholesale. On Holding AG’s (ONON - Free Report) momentum in Europe, the Middle East, and Africa (EMEA) underscores the durability of its premium brand strategy. By combining product innovation with disciplined distribution, selective wholesale expansion and elevated direct-to-consumer (DTC) experiences, the company is widening reach without diluting the brand. This approach protects full-price integrity, deepens engagement and supports profitable growth.

In the second quarter of 2026, EMEA net sales increased 15.4% year over year to CHF 228.2 million or 20.5% at constant currency. The region accounted for 26.8% of net sales, up from 26.4% a year earlier. Growth reflected distributor-network gains, continued strength in the United Kingdom and accelerating demand in France, Italy and Spain.

EMEA’s performance complements On Holding’s broader channel strategy. Global DTC net sales rose 26% to CHF 388.4 million or 34.3% at constant currency, increasing DTC’s share of quarterly sales to 45.7% from 41.1% a year earlier. The richer channel mix, operational efficiencies and full-price discipline helped lift gross margin 390 basis points to 65.4%.

Brand-building provides additional support. Management said the Champs-Elysees flagship was On Holding’s strongest-performing store globally in the quarter, while its Stockholm flagship performed at twice the expected level after two months. Cloudtilt models took three of Foot Locker Europe’s top five selling positions last quarter, signaling traction beyond performance running.

For 2026, On Holding expects constant-currency sales growth in the low-20% range, with DTC strongly outperforming wholesale in the second half. The company raised its gross-margin outlook to at least 65% and maintained its adjusted EBITDA margin target of 19.5-20%. Promotional conditions and foreign-exchange headwinds warrant monitoring, but EMEA’s momentum supports the premium-growth thesis.

DECK & WWW’s Global Momentum vs. ONONDeckers Outdoor Corporation (DECK - Free Report) maintained solid global momentum in first-quarter fiscal 2027, with revenues exceeding $1 billion. International sales rose 8.4% to $502.1 million, outperforming domestic growth of 3.2%. HOKA recorded robust international DTC growth across Europe, China and Japan. UGG’s international growth was led by Asia and effective mono-brand retail execution. Deckers achieved 13% companywide DTC growth, reflecting healthy full-price demand. This broad-based strength positions Deckers for faster growth in the second half.

Wolverine World Wide (WWW - Free Report) delivered solid global momentum in second-quarter 2026, with revenues rising 6.8% to $506.4 million. International revenues increased 10.9% to $277.2 million, outpacing companywide growth and accounting for nearly 55% of sales. Merrell and Saucony recorded respective revenue growth of 11.1% and 9.9%, supported by international wholesale strength. Saucony gained traction across Europe, China and Japan, while Merrell advanced in Europe and key Asia-Pacific (APAC) markets. Wolverine achieved double-digit international partner growth for Sweaty Betty across Europe and APAC. This broad-based progress strengthens Wolverine’s global platform and supports its upgraded fiscal 2026 outlook.

ONON’s Price Performance, Valuation & EstimatesOn Holding’s shares have lost 24.7% over the past three months compared with the industry’s 15.8% decline.

Image Source: Zacks Investment Research

From a valuation standpoint, ONON trades at a trailing price-to-sales ratio of 2.03, above the industry’s average of 1.27. It has a Value Score of A. 

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for ONON’s fiscal 2026 earnings implies year-over-year growth of 77.3%, whereas the same for fiscal 2027 indicates an uptick of 16.1%. Estimates for fiscal 2026 have been revised downward by 5 cents, while those for fiscal 2027 have been revised downward by 15 cents over the past 60 days.

Image Source: Zacks Investment Research

On Holding currently carries a Zacks Rank #5 (Strong Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

On Holding stock has struggled mightily this year. The company scored a win Friday—though it's yet to revive the shares.

French soccer superstar Kylian Mbappé is leaving Nike to sign with Swiss sneaker company On. The 27-year-old striker is the World Cup's all-time goal leader.

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Key Takeaways On Holding's apparel sales jumped 47.7% in Q2 2026 to CHF 54.2 million, outpacing footwear growth.Tennis nearly tripled, while Volt lifted apparel to a record 28% of running-campaign net sales.On Holding's DTC sales rose 26% and reached 45.7% of revenues y/y, supporting cross-category purchases. On Holding AG’s (ONON - Free Report) apparel business is becoming an important growth pillar beyond footwear. Its performance-driven products, premium positioning and credibility across running, tennis and training are encouraging customers to buy complete outfits. This broadens the company’s addressable market, strengthens consumer relationships and reduces its long-term reliance on shoes.

The category delivered standout growth in the second quarter of 2026. Apparel sales jumped 47.7% year over year to CHF 54.2 million and increased 56.2% on a constant-currency basis. By comparison, footwear sales rose 10.9% as reported, demonstrating that apparel is rapidly gaining scale and becoming a meaningful revenue driver.

Growth was supported by several key product areas. Tennis remained On Holding’s fastest-growing apparel vertical, with sales nearly tripling during the quarter. The Tennis Court collection generated strong growth and sell-through, while the Zendaya co-created collection exceeded expectations. Running apparel also benefited from the continued expansion of the Volt collection.

Volt helped apparel reach a record 28% share of On Holding’s running-campaign net sales. Meanwhile, the proprietary SenseTec fabric is attracting younger female consumers, an important target group. Apparel represents a higher sales mix in company-owned stores, suggesting that On Holding’s expanding direct-to-consumer (DTC) network can accelerate cross-category purchases.

The opportunity is supported by strong companywide fundamentals. Second-quarter net sales rose 13.5% to CHF 850.3 million, while DTC sales climbed 26% and accounted for 45.7% of revenues. Gross margin expanded to 65.4% in the second quarter and management expects constant-currency sales growth in the low-20% range for 2026. Together, these trends position apparel as a significant avenue for sustainable premium growth.

DECK & WWW’s Sales Momentum vs. ONONDeckers Outdoor Corporation (DECK - Free Report) generated first-quarter fiscal 2027 sales of $1.02 billion, up 5.7% year over year. HOKA revenues increased 8% to $704 million, while UGG sales rose 5% to $278 million. DECK reported an encouraging response to UGG’s spring apparel offering, particularly its fleece collection. The collection performed well across the United States, Europe and Asia, highlighting broad-based demand. HOKA’s apparel and accessories also complement its growing performance and lifestyle footwear portfolio. Overall, Deckers views apparel as a promising category for expanding consumer engagement and usage occasions.

Wolverine World Wide (WWW - Free Report) delivered second-quarter 2026 revenues of $506.4 million, up 6.8% year over year. Sweaty Betty, its premium women’s activewear brand, generated sales of $40.3 million, down 2.4% due to the planned U.S. market reset. WWW’s apparel performance showed improving underlying momentum, with Sweaty Betty growing approximately 3% excluding the reset’s impact. UK DTC sales increased mid-single digits, supported by growth in bottoms and outerwear. Wholesale and distributor revenues across Europe and Asia-Pacific advanced at a strong double-digit rate, while shorts also recorded robust growth. Overall, Wolverine is strengthening its apparel platform through Sweaty Betty and a planned Saucony women’s apparel capsule.

ONON’s Price Performance, Valuation & EstimatesOn Holding’s shares have lost 27.8% over the past three months compared with the industry’s 15.7% decline.

Image Source: Zacks Investment Research

From a valuation standpoint, ONON trades at a trailing price-to-sales ratio of 2.05, above the industry’s average of 1.30. 

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for ONON’s fiscal 2026 earnings implies year-over-year growth of 78.4%, whereas the same for fiscal 2027 indicates an uptick of 16.1%. Estimates for fiscal 2026 have been revised downward by 4 cents, while those for fiscal 2027 have been revised downward by 15 cents over the past 60 days.

Image Source: Zacks Investment Research

On Holding currently carries a Zacks Rank #5 (Strong Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in ONON over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

On Holding (ONON - Free Report) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.

Over the past month, shares of this running-shoe and apparel company have returned -11.8%, compared to the Zacks S&P 500 composite's -0.4% change. During this period, the Zacks Retail - Apparel and Shoes industry, which On Holding falls in, has lost 14.2%. The key question now is: What could be the stock's future direction?

Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.

Earnings Estimate RevisionsRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.

We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

On Holding is expected to post earnings of $0.47 per share for the current quarter, representing a year-over-year change of -6%. Over the last 30 days, the Zacks Consensus Estimate has changed -10.5%.

The consensus earnings estimate of $1.73 for the current fiscal year indicates a year-over-year change of +78.4%. This estimate has changed -3.4% over the last 30 days.

For the next fiscal year, the consensus earnings estimate of $2 indicates a change of +16.1% from what On Holding is expected to report a year ago. Over the past month, the estimate has changed -7%.

Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, On Holding is rated Zacks Rank #5 (Strong Sell).

The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:

12 Month EPS

Revenue Growth ForecastEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.

In the case of On Holding, the consensus sales estimate of $1.15 billion for the current quarter points to a year-over-year change of +16.1%. The $4.33 billion and $5.15 billion estimates for the current and next fiscal years indicate changes of +18.9% and +18.9%, respectively.

Last Reported Results and Surprise HistoryOn Holding reported revenues of $1.08 billion in the last reported quarter, representing a year-over-year change of +18.5%. EPS of $0.44 for the same period compares with -$0.11 a year ago.

Compared to the Zacks Consensus Estimate of $1.11 billion, the reported revenues represent a surprise of -3.42%. The EPS surprise was 0%.

Over the last four quarters, On Holding surpassed consensus EPS estimates three times. The company topped consensus revenue estimates three times over this period.

ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.

While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.

As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.

On Holding is graded F on this front, indicating that it is trading at a premium to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.

ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about On Holding. However, its Zacks Rank #5 does suggest that it may underperform the broader market in the near term.

Key Takeaways On Holding's APAC net sales jumped 43.1% to CHF 170.5M, accounting for 20% of Q2 sales.Greater China beat expectations across channels, while Macau and Tokyo stores supported premium expansion.DTC strength and full-price discipline helped lift gross margin to 65.4% and adjusted EBITDA margin to 19.8%. On Holding AG’s (ONON - Free Report) Asia-Pacific (APAC) business emerged as its fastest-growing region in second-quarter 2026, strengthening the premium sportswear company’s global diversification. APAC net sales surged 43.1% year over year to CHF 170.5 million and climbed 54.7% on a constant-currency basis, comfortably outpacing companywide growth of 13.5% and 21.6%, respectively.

APAC accounted for 20% of quarterly net sales, up from 15.9% a year earlier. By comparison, the Americas and Europe, the Middle East and Africa delivered constant-currency growth of 13% and 20.5%, respectively. During the first half, APAC revenues advanced 43.7% to CHF 344.5 million or 58.1% at constant currency, lifting the region’s sales contribution to 20.5% from 16.2%.

Momentum remained broad-based across Japan, South Korea and Greater China. Greater China exceeded management’s expectations across every channel, with Tmall performing strongly despite On Holding’s decision to avoid promotional activity. Its first Macau store delivered above-average conversion, while two Tokyo locations continued to excel without signs of cannibalization, supporting the case for further premium retail expansion.

Strong direct-to-consumer (DTC) momentum enhances the quality of this regional growth. Companywide DTC sales rose 34.3% at constant currency to CHF 388.4 million and reached a second-quarter record of 45.7% of total sales. A favorable channel mix, full-price discipline and operational efficiencies helped On Holding expand its gross margin to 65.4% and adjusted EBITDA margin to 19.8%.

APAC’s growing scale reduces On Holding’s reliance on the Americas while providing a stronger platform for footwear, apparel and future product launches. Management expects 2026 constant-currency sales growth in the low-20% range, a gross margin of at least 65% and an adjusted EBITDA margin of 19.5-20%. Currency volatility, promotional pressure and controlled wholesale sell-in remain risks, but sustained APAC demand reinforces On Holding’s global growth profile.

DECK & WWW’s Global Momentum vs. ONONDeckers Outdoor Corporation (DECK - Free Report) maintained solid global momentum in first-quarter fiscal 2027, with revenues exceeding $1 billion. International sales rose 8.4% to $502.1 million, outperforming domestic growth of 3.2%. HOKA recorded robust international DTC growth across Europe, China and Japan. UGG’s international growth was led by Asia and effective mono-brand retail execution. Deckers achieved 13% companywide DTC growth, reflecting healthy full-price demand. This broad-based strength positions Deckers for faster growth in the second half.

Wolverine World Wide (WWW - Free Report) delivered solid global momentum in second-quarter 2026, with revenues rising 6.8% to $506.4 million. International revenues increased 10.9% to $277.2 million, outpacing companywide growth and accounting for nearly 55% of sales. Merrell and Saucony recorded respective revenue growth of 11.1% and 9.9%, supported by international wholesale strength. Saucony gained traction across Europe, China and Japan, while Merrell advanced in Europe and key APAC markets. Wolverine achieved double-digit international partner growth for Sweaty Betty across Europe and APAC. This broad-based progress strengthens Wolverine’s global platform and supports its upgraded fiscal 2026 outlook.

ONON’s Price Performance, Valuation & EstimatesOn Holding’s shares have lost 24.6% over the past three months compared with the industry’s 9.6% decline.

Image Source: Zacks Investment Research

From a valuation standpoint, ONON trades at a trailing price-to-sales ratio of 2.08, above the industry’s average of 1.35. 

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for ONON’s fiscal 2026 earnings implies year-over-year growth of 78.4%, whereas the same for fiscal 2027 indicates an uptick of 16.1%. Estimates for fiscal 2026 have been revised downward by 4 cents, while those for fiscal 2027 have been revised downward by 15 cents over the past 30 days.

Image Source: Zacks Investment Research

On Holding currently carries a Zacks Rank #5 (Strong Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

ONON's broad growth and stronger DTC mix support momentum, but rising costs, wholesale restraint and U.S. tariffs make the lower valuation a mixed entry point.

Baron Focused Growth Fund rebounded in Q2 from a disappointing start to the year, with the Fund gaining 13.26% compared with a gain of 24.02% for the Russell 2500 Growth Index. We remain steadfast in our commitment to long-term investing in competitively advantaged, growth businesses. As of June 30, 2026, the Fund owned 28 investments.