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On Holding AG (ONON) AI Stock Analysis
On Holding AG
(NYSE:ONON)
The score is driven primarily by strong financial performance (high margins, improving profitability, solid cash generation) and a constructive earnings outlook (low-20s growth with 65%+ gross margin and ~20% EBITDA margin). These positives are tempered by weak technicals (downtrend and negative momentum) and moderate valuation support (P/E ~20 with no dividend yield).
On Holding AG Key Performance Indicators (KPIs)
Revenue by GeographyBreaks down revenue across different regions, revealing where On Holding AG is strongest and where it may face risk or growth potential due to local economic conditions or market share shifts.
APAC has shifted from a marginal market to a primary growth engine, materially changing On’s revenue mix and helping power recent margin expansion because growth is concentrated in higher‑margin D2C, apparel, and new product franchises. Americas remains the largest but more mature contributor, while EMEA is now accelerating via wholesale. Management’s guidance explicitly banks on APAC and D2C strength, so upside is credible but remains exposed to FX, Vietnam tariffs and planned wholesale cadence that could temper near‑term rhythm.
The FlyOn Holding AG (ONON) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $12.02B
- Dividend Yield
- ―
- Average Volume (3M)
- 10.42M
- Price to Earnings (P/E)
- 24.8
- Beta (1Y)
- 1.62
- Revenue Growth
- 29.34%
- EPS Growth
- 222.74%
- Country
- US
- Employees
- 3,963
- Sector
- Consumer Cyclical
- Sector Strength
- 61
- Industry
- Apparel - Footwear & Accessories
On Holding AG Business Overview & Revenue Model
Company Description
On Holding AG, together with its subsidiaries, develops and distributes performance sports products under the On brand in Switzerland, the rest of Europe, the Middle East, Africa, the United States, the rest of the Americas, and the Asia-Pacific. The...
How the Company Makes Money
On primarily makes money by selling branded athletic footwear, apparel, and accessories. Its revenue is generated through two main routes: (1) direct-to-consumer (DTC) sales, where On sells products through its own e-commerce websites and company-ope...
On Holding AG Earnings Call Summary
The call presents a strong set of financial and commercial achievements: double-digit constant-currency revenue growth, exceptional gross margin expansion (65.4%), robust DTC momentum (34.3% CC growth; 45.7% of sales), large APAC and apparel outperformance, meaningful innovation milestones, and a fortified balance sheet (net cash > CHF 1.2bn). The primary near-term challenges are deliberate wholesale sell-in reductions—mainly in the Americas—resulting in moderated wholesale growth, an inventory increase (~30%), and exposure to a promotional wholesale environment and tariff timing. Management frames the wholesale actions as strategic and temporary to protect premium positioning and to set up a stronger innovation-led 2027 rollout. Given the breadth and scale of the operational, product and financial positives versus a limited set of intentional, strategic near-term trade-offs, the overall tone is decidedly favorable.
Q2-2026 Updates
Positive Updates
Negative Updates
Company Guidance
The company guided to full‑year net sales growth in the low‑20s percent at constant currency, a full‑year gross margin of at least 65% and a reiterated adjusted EBITDA margin of 19.5%–20% (guidance excludes potential tariff‑refund benefits, which management expects to begin recognizing in Q3); management also said Q3 growth should be lower than Q4 as they deliberately manage wholesale sell‑in while expecting continued very strong DTC momentum and significant DTC mix expansion for the rest of the year (Q2 figures for context: net sales CHF 850m, ~+22% CC; DTC CHF 388m, +34.3% CC and 45.7% of sales; Q2 gross margin 65.4%; Q2 adjusted EBITDA margin 19.8%). Balance‑sheet and operating metrics noted alongside the outlook included net cash just over CHF 1.2bn (cash up CHF 185.2m), capex CHF 28.2m, net working capital improvement of CHF 14.9m and NWC below 20% of sales, and inventory up ~30% (driven mainly by volume and FX).
On Holding AG Financial Statement Overview
Summary
Financial statements indicate strong scaling: sharp multi-year revenue growth, TTM gross margin around 65% and improved net margin around 12%. Balance sheet is solid with moderate leverage (TTM debt-to-equity ~0.29) and strong ROE (~23%). Recent cash generation is a strength (TTM FCF ~$424M; ~83% of net income), though historical variability (e.g., negative cash flow in 2022) and some year-to-year margin swings warrant monitoring.
Income Statement
86Very PositiveBalance Sheet
79PositiveCash Flow
82Very Positive| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 3.24B | 3.01B | 2.32B | 1.79B | 1.22B | 724.60M |
| Gross Profit | 2.10B | 1.89B | 1.41B | 1.07B | 684.90M | 430.30M |
| EBITDA | 582.46M | 354.50M | 400.00M | 244.70M | 128.60M | -125.80M |
| Net Income | 398.60M | 203.70M | 242.30M | 79.60M | 57.70M | -170.20M |
Balance Sheet | ||||||
| Total Assets | 3.24B | 2.84B | 2.38B | 1.59B | 1.38B | 1.24B |
| Cash, Cash Equivalents and Short-Term Investments | 1.24B | 1.02B | 968.00M | 512.40M | 397.30M | 676.80M |
| Total Debt | 562.50M | 581.66M | 347.60M | 229.00M | 160.40M | 180.80M |
| Total Liabilities | 1.33B | 1.20B | 984.90M | 518.50M | 412.90M | 388.10M |
| Stockholders Equity | 1.91B | 1.63B | 1.39B | 1.07B | 969.50M | 848.40M |
Cash Flow | ||||||
| Free Cash Flow | 424.16M | 253.18M | 445.60M | 184.90M | -310.00M | -19.30M |
| Operating Cash Flow | 513.49M | 322.80M | 510.60M | 232.10M | -227.00M | 16.90M |
| Investing Cash Flow | -96.66M | -75.07M | -64.90M | -47.10M | -82.90M | -36.40M |
| Financing Cash Flow | -73.18M | -54.44M | -55.40M | -21.80M | 6.30M | 595.90M |
On Holding AG Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ONON, the sentiment is Positive. The current price of 36.50 is above the 20-day moving average (MA) of 34.30, above the 50-day MA of 30.98, and below the 200-day MA of 36.52, indicating a neutral trend. The MACD of 0.80 indicates Negative momentum. The RSI at 67.16 is Neutral, neither overbought nor oversold. The STOCH value of 81.09 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ONON.
On Holding AG Peers Comparison
Overall Rating
DECK78Outperform
CROX76Outperform- ONON72Outperform
BIRK66Neutral
WWW66Neutral
NKE57Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| DECK | 78Outperform | $11.35B | 11.12 | 43.56% | ― | 6.30% | 11.78% |
| CROX | 76Outperform | $7.00B | 11.37 | 48.76% | ― | 0.70% | 329.45% |
| ONON | 72Outperform | $11.70B | 24.79 | 23.26% | ― | 29.34% | 222.74% |
| BIRK | 66Neutral | $6.32B | 17.17 | 12.12% | ― | 19.55% | 19.15% |
| WWW | 66Neutral | $1.76B | 16.64 | 26.26% | 1.85% | 7.16% | 24.85% |
| Sector * | 61Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% |
| NKE | 57Neutral | $58.11B | 18.41 | 21.24% | 4.26% | -1.36% | 6.80% |
* Consumer Cyclical Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| ONON | On Holding Ag Class A | 36.50 | 0.42 | 1.16% | |
| CROX | Crocs | 153.61 | 73.38 | 91.46% | |
| DECK | Deckers Outdoor | 84.09 | 2.28 | 2.79% | |
| NKE | Nike Inc | 38.48 | -21.65 | -36.00% | |
| WWW | Wolverine World Wide | 21.63 | 5.29 | 32.37% | |
| BIRK | Birkenstock Holding plc | 35.53 | -3.70 | -9.43% |
On Holding AG Corporate Events
On Holding Sets Aggressive 2029 Growth Targets and Launches $1 Billion Buyback at Investor Day
On Holding AG used its Investor Day in Zurich on September 22, 2026 to outline a new strategy and financial ambitions for 2026–2029, positioning itself to “redefine what a sportswear brand can be” for the so‑called Movement Cl...
On Holding AG Files Q2 2026 Interim Financials and Updates U.S. Registrations
On Holding AG, the Swiss athletic footwear and apparel maker, filed a Form 6-K with the U.S. Securities and Exchange Commission on August 11, 2026, covering its financial reporting for the second quarter ended June 30, 2026. The filing, signed by Chi...
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.
Date of analysis: Sep 23, 2026