On Nov 14, major Wall Street analysts update their ratings for $On Holding (ONON.US)$, with price targets ranging from $57 to $63.
Morgan Stanley analyst Alexandra Straton maintains with a buy rating, and adjusts the target price from $52 to $57.
UBS analyst Jay Sole maintains with a buy rating, and adjusts the target price from $61 to $63.
Evercore analyst Michael Binetti maintains with a buy rating, and maintains the target price at $60.
TD Cowen analyst John Kernan maintains with a buy rating, and adjusts the target price from $58 to $60.
Stifel analyst Jim Duffy maintains with a buy rating, and adjusts the target price from $59 to $60.
Furthermore, according to the comprehensive report, the opinions of $On Holding (ONON.US)$'s main analysts recently are as follows:
On Holding's Q3 earnings report emphasized its progression towards becoming a top-tier premium, direct-to-consumer-led global athletic wear brand. Projections indicate that On could achieve a 22% five-year compound annual sales growth rate and a 5% EPS compound annual growth rate. This performance could position On as one of the fastest-growing athletic wear brands globally, justifying a premium valuation.
Following the Q3 report, it was noted that the company's sales experienced an acceleration, particularly driven by direct-to-consumer channels as warehousing challenges were resolved. The company also witnessed an improvement in margins due to more robust inventory levels.
The company's third-quarter constant-FX direct-to-consumer sales were impressive, accompanied by a year-over-year expansion of group gross margins by 70 basis points to 60.6%.
The firm's adjustment in their target is based on the third-quarter performance surpassing expectations for sales and EBITDA. Positive remarks regarding the fourth quarter's revenue trajectory, the success of selling products at full price, and the ongoing innovation contribute to the firm's heightened conviction in the company's growth potential exceeding 30% in FY25E.
Q3 results for On Holding surpassed consensus and lived up to recent heightened expectations. The significant sequential global DTC acceleration and gross margin improvements underscore the beneficial outcomes stemming from rising brand awareness and premium innovation.
Here are the latest investment ratings and price targets for $On Holding (ONON.US)$ from 7 analysts:
Note:
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