Analyst Tom Nikic of Needham reiterated a Buy rating on On Holding AG (ONON – Research Report), boosting the price target to $55.00.
Tom Nikic has given his Buy rating due to a combination of factors that highlight On Holding AG’s strong market position and growth potential. The company is experiencing significant momentum, evidenced by increasing brand recognition, expanding shelf space, and a growing number of retail outlets. This momentum is complemented by On Holding AG’s minimal exposure to tariff risks, with less than 200 basis points of gross margin risk before mitigation, making it one of the least affected by tariffs in the analyst’s coverage.
Furthermore, when assessing various risk factors, On Holding AG stands out favorably in 8 out of 11 variables, the best performance among its peers. Although there are slight adjustments to revenue and EBITDA forecasts due to tariffs and foreign exchange considerations, the underlying fundamentals of the company remain robust. As a result, investors are likely to overlook these headwinds, and the analyst has raised the price target from $50 to $55, reflecting confidence in the company’s continued high momentum and favorable market position.
In another report released yesterday, Citi also maintained a Buy rating on the stock with a $60.00 price target.