On Holding AG (ONON) - Stock Analysis

Last updated: Mar 9, 2026

Consumer CyclicalClosed

Research Idea

Research content for general circulation. Not individualized advice. Methodology & Disclosures

On Holding demonstrates a compelling short-term growth profile with 25% revenue growth in Q3 2025, record profitability margins, raised guidance for 2025-2026, and robust technical momentum with a ~30% recent price recovery. This combination of operational excellence and positive market sentiment supports strong near-term return potential.

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Idea window: 12/9/2025 – 12/16/2025Sector: Consumer Cyclical

AI Analyst Overview

Last Price
$37.99
Market Cap
$12.57B
1D Return
+0.03%
YTD Return
-18.27%

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Valuation Metrics

P/E
49.1
P/B
6.1
P/S
3.3
EV/EBITDA
27.9
Div Yield
—

Fundamental Analysis

8.0

Key Financial Insights: • High gross margins • Heavy SG&A • Rich valuation ONON pairs strong gross margins and healthy cash generation with low net leverage, but heavy SG&A keeps operating margins muted while the stock trades at rich multiples.

cashrich
overpriced

Price Behavior

6.0

Key Price Behavior Insights: • Downtrend confirmed • Short-term oversold • Resistance cluster Support Level: $41–$43 Resistance Level: $46–$49 Price has broken decisively below its last-month simple moving average and dropped ~16% from $49.42 to $41.46, signaling a short-term downtrend with support near $41–$43 and resistance at $46–$49.

bearish
watch

Sentiment & News

7.0

Key News Insights: • Conservative guidance • Strong margins • ~30% decline Analysts remain broadly bullish on On Holding—citing conservative FY26 guidance, record gross margins and APAC growth plus institutional buying—despite a ~30% share pullback since last May and heightened retail attention.

OnHolding
PriceDrop
AI

AI Summary

6.0
Neutral

On has shifted from a growth-at-all-costs footwear disruptor to a higher-margin, DTC‑levered premium brand where upside now hinges on converting durable gross margins into EBITDA through disciplined SG&A and efficient DTC economics rather than sheer top-line scale. Key actionable watchpoints: sustained >60% gross margins on a constant‑currency/tariff basis, SG&A as a percent of sales trending down, DTC CAC vs. LTV and inventory turns/markdowns—failure on these with current rich multiples risks outsized downside.

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ExecutionRisk
ValuationSensitivity
AI summary updated 6 days ago

Description

On Holding AG is a Switzerland-based company that develops and sells sports footwear, apparel and related accessories to customers around the world. It reaches buyers through independent retailers and distributors as well as online channels and its own stores. The firm was founded in 2010 and is headquartered in Zurich.

Idea History

DateCloseTickerCompanySummaryStatusP/L
Dec 9Dec 16ONONOn Holding AG
On Holding demonstrates a compelling short-term growth profile with 25% revenue growth in Q3 2025, record profitability margins, raised guidance for 2025-2026, and robust technical momentum with a ~30% recent price recovery. This combination of operational excellence and positive market sentiment supports strong near-term return potential.
Closed+2.1%
Nov 17Nov 24ONONOn Holding AG
Q3 2025 revenue growth of 24.9%, consecutive guidance raises, strong Asia-Pacific expansion, premium margin maintenance, and 20% post-earnings price rally with strong technical momentum identify On Holding as a strong short-term growth opportunity.
Closed-1.5%
Research content for educational purposes only. Not investment advice. All decisions are your responsibility.