On Holding (ONON) closed the most recent trading day at $50.36, moving -5.36% from the previous trading session. The stock's performance was behind the S&P 500's daily gain of 0.06%. On the other hand, the Dow registered a gain of 0.41%, and the technology-centric Nasdaq decreased by 0.39%.
Shares of the running-shoe and apparel company witnessed a gain of 0.26% over the previous month, trailing the performance of the Retail-Wholesale sector with its gain of 5.04%, and the S&P 500's gain of 5.88%.
The upcoming earnings release of On Holding will be of great interest to investors. On that day, On Holding is projected to report earnings of $0.24 per share, which would represent year-over-year growth of 50%. Meanwhile, our latest consensus estimate is calling for revenue of $838.51 million, up 33.59% from the prior-year quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $1.13 per share and revenue of $3.48 billion. These totals would mark changes of +2.73% and +32%, respectively, from last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for On Holding. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.56% higher. On Holding is holding a Zacks Rank of #2 (Buy) right now.
Looking at valuation, On Holding is presently trading at a Forward P/E ratio of 47.19. This valuation marks a premium compared to its industry average Forward P/E of 17.74.
It's also important to note that ONON currently trades at a PEG ratio of 2.29. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Retail - Apparel and Shoes stocks are, on average, holding a PEG ratio of 2.04 based on yesterday's closing prices.
The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 194, which puts it in the bottom 22% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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On Holding AG (ONON): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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