In the latest trading session, On Holding (ONON) closed at $42.97, marking a +2.65% move from the previous day. This move outpaced the S&P 500's daily gain of 1.56%. On the other hand, the Dow registered a gain of 1.29%, and the technology-centric Nasdaq increased by 2.21%.
Heading into today, shares of the running-shoe and apparel company had lost 2.4% over the past month, outpacing the Retail-Wholesale sector's loss of 5.02% and lagging the S&P 500's gain of 0.41%.
The investment community will be closely monitoring the performance of On Holding in its forthcoming earnings report. In that report, analysts expect On Holding to post earnings of $0.34 per share. This would mark year-over-year growth of 100%. In the meantime, our current consensus estimate forecasts the revenue to be $937.03 million, indicating a 27.54% growth compared to the corresponding quarter of the prior year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $0.76 per share and a revenue of $3.68 billion, signifying shifts of -30.91% and +39.61%, respectively, from the last year.
Investors should also pay attention to any latest changes in analyst estimates for On Holding. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. On Holding is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, On Holding is currently trading at a Forward P/E ratio of 54.98. This signifies a premium in comparison to the average Forward P/E of 16.38 for its industry.
Meanwhile, ONON's PEG ratio is currently 2.61. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Retail - Apparel and Shoes industry had an average PEG ratio of 2.15 as trading concluded yesterday.
The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 57, this industry ranks in the top 24% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
On Holding AG (ONON): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
