UBS Boosts On Holding Price Target on Strong Growth Outlook

On Holding (NYSE:ONON) kicked off 2025 with impressive first-quarter results, outpacing analyst expectations across revenue, earnings, and profitability. As a result, the company’s shares surged more than 11% intra-day today.

The Swiss athletic footwear company posted earnings of CHF0.17 per share, exceeding the CHF0.15 estimate. Revenue surged 43% year-over-year to CHF726.6 million, well above the CHF680.5 million forecast, driven by broad-based strength across all regions and sales channels.

Regional growth was led by Asia Pacific, where revenue more than doubled to CHF120.6 million, significantly outpacing estimates. The Americas and EMEA also posted robust gains of 33% and 34%, respectively.

Sales momentum remained strong both online and in stores. Direct-to-consumer revenue rose 45% to CHF276.9 million, while wholesale sales climbed 42% to CHF449.7 million, with both metrics beating expectations.

Adjusted EBITDA climbed 55% year-over-year to CHF119.9 million, topping projections, while gross margin edged higher to 59.9%, narrowly beating forecasts.

Despite the upbeat quarter, On lowered its full-year revenue forecast to CHF2.86 billion, below both prior guidance and the CHF2.96 billion consensus. Still, the company raised its constant currency growth outlook to at least 28%, signaling confidence in underlying demand despite a volatile economic backdrop.

On Holding (NYSE:ONON) kicked off 2025 with impressive first-quarter results, outpacing analyst expectations across revenue, earnings, and profitability. As a result, the company’s shares surged more than 11% intra-day today.

The Swiss athletic footwear company posted earnings of CHF0.17 per share, exceeding the CHF0.15 estimate. Revenue surged 43% year-over-year to CHF726.6 million, well above the CHF680.5 million forecast, driven by broad-based strength across all regions and sales channels.

Regional growth was led by Asia Pacific, where revenue more than doubled to CHF120.6 million, significantly outpacing estimates. The Americas and EMEA also posted robust gains of 33% and 34%, respectively.

Sales momentum remained strong both online and in stores. Direct-to-consumer revenue rose 45% to CHF276.9 million, while wholesale sales climbed 42% to CHF449.7 million, with both metrics beating expectations.

Adjusted EBITDA climbed 55% year-over-year to CHF119.9 million, topping projections, while gross margin edged higher to 59.9%, narrowly beating forecasts.

Despite the upbeat quarter, On lowered its full-year revenue forecast to CHF2.86 billion, below both prior guidance and the CHF2.96 billion consensus. Still, the company raised its constant currency growth outlook to at least 28%, signaling confidence in underlying demand despite a volatile economic backdrop.

• The average price target for On Holding AG (NYSE:ONON) has been adjusted to $59, down from $66, indicating a change in analyst sentiment.
• Despite a decrease in the short-term price target, the current target is still higher than last year's $49.93, showing overall increased confidence in ONON's performance.
• Berenberg Bank's price target of $31 for ONON reflects a positive outlook on its growth potential in the competitive athletic footwear and apparel market.

On Holding AG (NYSE:ONON) is a Swiss company renowned for its innovative athletic footwear, apparel, and accessories, competing with industry giants like Nike (NKE) but distinguishing itself with unique product offerings. Over the past year, the consensus price target for ONON has experienced notable fluctuations, reflecting changing analyst sentiments.

Last month, analysts set the average price target for ONON at $59, indicating moderate optimism about the stock's short-term potential. This is a decrease from the previous quarter's target of $66, suggesting a shift in analyst sentiment. Despite this, the current target remains higher than last year's $49.93, showing increased confidence in the company's performance over time.

Recent developments, such as earnings reports, play a crucial role in shaping these price targets. As highlighted by Landon Swan from LikeFolio, ONON is expected to surpass earnings estimates in its upcoming report. This potential earnings beat could lead to upward revisions in price targets, as strong financial performance often boosts analyst confidence.

Product launches and innovations are also key factors influencing analyst outlooks. Any new offerings in ONON's athletic footwear and apparel lines could positively impact the stock's price target. Additionally, market trends, such as shifts in consumer preferences, can affect the stock's valuation. Investors should stay informed about these developments to make well-rounded investment decisions.

Berenberg Bank has set a price target of $31 for ONON, indicating a positive outlook despite its smaller market share compared to Nike. This suggests that ONON's growth potential is recognized by analysts, offering investment opportunities in the retail and wholesale sector. Investors are encouraged to use tools like the Zacks Earnings ESP to identify stocks likely to exceed earnings estimates, further supporting investment decisions.

• The average price target for On Holding AG (NYSE:ONON) has been adjusted to $59, down from $66, indicating a change in analyst sentiment.
• Despite a decrease in the short-term price target, the current target is still higher than last year's $49.93, showing overall increased confidence in ONON's performance.
• Berenberg Bank's price target of $31 for ONON reflects a positive outlook on its growth potential in the competitive athletic footwear and apparel market.

On Holding AG (NYSE:ONON) is a Swiss company renowned for its innovative athletic footwear, apparel, and accessories, competing with industry giants like Nike (NKE) but distinguishing itself with unique product offerings. Over the past year, the consensus price target for ONON has experienced notable fluctuations, reflecting changing analyst sentiments.

Last month, analysts set the average price target for ONON at $59, indicating moderate optimism about the stock's short-term potential. This is a decrease from the previous quarter's target of $66, suggesting a shift in analyst sentiment. Despite this, the current target remains higher than last year's $49.93, showing increased confidence in the company's performance over time.

Recent developments, such as earnings reports, play a crucial role in shaping these price targets. As highlighted by Landon Swan from LikeFolio, ONON is expected to surpass earnings estimates in its upcoming report. This potential earnings beat could lead to upward revisions in price targets, as strong financial performance often boosts analyst confidence.

Product launches and innovations are also key factors influencing analyst outlooks. Any new offerings in ONON's athletic footwear and apparel lines could positively impact the stock's price target. Additionally, market trends, such as shifts in consumer preferences, can affect the stock's valuation. Investors should stay informed about these developments to make well-rounded investment decisions.

Berenberg Bank has set a price target of $31 for ONON, indicating a positive outlook despite its smaller market share compared to Nike. This suggests that ONON's growth potential is recognized by analysts, offering investment opportunities in the retail and wholesale sector. Investors are encouraged to use tools like the Zacks Earnings ESP to identify stocks likely to exceed earnings estimates, further supporting investment decisions.

UBS analysts raised their price target for On Holding AG (NYSE:ONON) to $73.00 from $65.00, while reaffirming a Buy rating on the stock. The bullish revision reflects increased confidence in the company’s long-term growth trajectory following its strong fourth-quarter performance.

On Holding continues to focus on innovation, athlete partnerships, and direct-to-consumer sales while maintaining its premium brand positioning. These strategic efforts are expected to drive industry-leading sales growth and consistent earnings outperformance.

The latest quarterly results indicate that the company is progressing ahead of its medium-term financial targets set at its 2023 Investor Day. UBS forecasts On Holding to achieve compound annual growth rates (CAGRs) of 20% in sales, 23% in EBITDA, and 19% in earnings per share over the next five years.

On Holding AG (NYSE:ONON) saw its shares climb more than 4% intra-day today after reporting fourth-quarter earnings that exceeded analyst expectations. The Swiss athletic footwear brand delivered strong financial performance, reflecting continued growth momentum.

For the quarter, On Holding posted earnings per share (EPS) of CHF 0.27, surpassing consensus estimates of CHF 0.18. Revenue reached CHF 606.6 million, also topping the projected CHF 594.5 million.

Profitability improved significantly, with adjusted EBITDA rising 38% year-over-year to CHF 99.4 million, slightly ahead of the CHF 97.2 million estimate. The company also reported a gross margin of 62.1%, exceeding the expected 61.7%.

Reflecting on the company’s progress, Co-CEO and CFO Martin Hoffmann highlighted On’s achievements, including surpassing CHF 2.3 billion in net sales and maintaining a strong cash position approaching CHF 1 billion. Looking forward, On aims to enhance its premium brand positioning with an array of new product launches and improved customer experiences.

For 2025, On projects revenue of CHF 2.94 billion, slightly below analyst expectations of CHF 2.96 billion. However, it remains confident in sustaining its upward trajectory, targeting a constant currency net sales growth rate of at least 27% for the year. The company forecasts an adjusted EBITDA margin of 17% to 17.5%, aligning with projections and positioning itself to exceed an 18% margin by 2026.