Bernstein Reiterates Buy Rating on On Holding AG Stock, Keeps PT at $70

On Holding AG (NYSE:ONON) is one of the 9 Best Footwear Stocks to Buy Now. On August 13, Bernstein reiterated the Buy rating on On Holding AG (NYSE:ONON), keeping the price target at $70.

Aneesha Sherman from Bernstein retains the rating on On Holding following mixed results for the Q2 FY2025. The Swiss sports footwear firm posted revenue of CHF 749.2 million, an increase of 38% on a constant currency basis, exceeding expectations. The company reported a gross profit margin expansion to 61.5% and an adjusted EBITDA margin of 18.2%, indicating robust premium positioning.

Sherman remains positive on the company’s exceptional growth in the DTC channel, with net sales up 54.3% from a year ago, increasing the DTC mix to 41.1% of sales. Moreover, On Holding’s triple-digit growth in the APAC region was a major boost, with net sales up 110.9% on a constant currency basis from a year ago. The company’s apparel business experienced a 75.5% growth on a constant currency basis, reflecting strong consumer engagement.

As of August 26, On Holding AG’s (NYSE:ONON) average price target of $68.53, based on analysts’ estimates, implies an upside of nearly 51.67% from current levels.

On Holding AG (NYSE:ONON) engages in the development and distribution of sports products, including athletic footwear, apparel, and accessories.

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Disclosure: None. This article is originally published at Insider Monkey.