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Raymond James starts On at Outperform with growth in early innings

Raymond James initiated coverage of On Holding with an Outperform rating and $46 price target. On is a premium athletic brand in the early innings of growth with opportunities across geographies, channels, and products, the analyst tells investors in a research note. The firm expects strong demand and operating margin expansion to drive annual growth of over 25% for revenue, over 30% for EBITDA, and over 50% for earnings through 2026. It believes On has one of the “strongest and most durable growth algorithms” among brands with a track record of exceeding expectations.

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