In the latest trading session, On Holding (ONON) closed at $45.05, marking a -2.07% move from the previous day. The stock's performance was behind the S&P 500's daily loss of 0.06%. Meanwhile, the Dow experienced a drop of 0.17%, and the technology-dominated Nasdaq saw a decrease of 0.06%.
The stock of running-shoe and apparel company has fallen by 5.08% in the past month, lagging the Retail-Wholesale sector's gain of 5.39% and the S&P 500's gain of 1.99%.
The investment community will be paying close attention to the earnings performance of On Holding in its upcoming release. The company is forecasted to report an EPS of $0.26, showcasing a 31.58% downward movement from the corresponding quarter of the prior year. At the same time, our most recent consensus estimate is projecting a revenue of $894.52 million, reflecting a 29.41% rise from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $0.96 per share and revenue of $3.72 billion, indicating changes of -12.73% and 0%, respectively, compared to the previous year.
Investors might also notice recent changes to analyst estimates for On Holding. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Currently, On Holding is carrying a Zacks Rank of #4 (Sell).
Looking at its valuation, On Holding is holding a Forward P/E ratio of 26.98. This represents a premium compared to its industry average Forward P/E of 19.37.
Investors should also note that ONON has a PEG ratio of 1.15 right now. 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. By the end of yesterday's trading, the Retail - Apparel and Shoes industry had an average PEG ratio of 2.06.
The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 44, this industry ranks in the top 18% of all industries, numbering over 250.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the 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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