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On Holding (ONON) Declines More Than Market: Some Information for Investors

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On Holding (ONON - Free Report) closed the most recent trading day at $48.58, moving -4.14% from the previous trading session. The stock's change was less than the S&P 500's daily loss of 0.37%. Meanwhile, the Dow lost 0.74%, and the Nasdaq, a tech-heavy index, lost 0.03%.

Shares of the running-shoe and apparel company witnessed a loss of 5.62% over the previous month, trailing the performance of the Retail-Wholesale sector with its gain of 2.03%, and the S&P 500's gain of 2.68%.

Analysts and investors alike will be keeping a close eye on the performance of On Holding in its upcoming earnings disclosure. The company's earnings report is set to go public on August 12, 2025. The company is predicted to post an EPS of $0.24, indicating a 50% growth compared to the equivalent quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $843.95 million, up 34.46% from the year-ago period.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $1.12 per share and a revenue of $3.5 billion, indicating changes of +1.82% and +32.75%, respectively, from the former year.

Investors should also pay attention to any latest changes in analyst estimates for On Holding. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.

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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.39% increase. On Holding is holding a Zacks Rank of #3 (Hold) right now.

In the context of valuation, On Holding is at present trading with a Forward P/E ratio of 45.45. This indicates a premium in contrast to its industry's Forward P/E of 17.87.

It's also important to note that ONON currently trades at a PEG ratio of 2.21. 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. The average PEG ratio for the Retail - Apparel and Shoes industry stood at 2.07 at the close of the market yesterday.

The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 206, which puts it in the bottom 17% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.


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