On Holding (ONON) ended the recent trading session at $44.86, demonstrating a -1.45% change from the preceding day's closing price. This move lagged the S&P 500's daily loss of 0.01%. Elsewhere, the Dow saw an upswing of 0.03%, while the tech-heavy Nasdaq appreciated by 0.17%.
The running-shoe and apparel company's stock has dropped by 4.07% in the past month, falling short of the Retail-Wholesale sector's gain of 4.91% and the S&P 500's gain of 0.78%.
Investors will be eagerly watching for the performance of On Holding in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.26, marking a 31.58% fall compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $896.42 million, indicating a 29.68% upward movement from the same quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $0.94 per share and a revenue of $3.73 billion, signifying shifts of -14.55% and 0%, respectively, from the last year.
Any recent changes to analyst estimates for On Holding should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, there's been a 0.02% rise in the Zacks Consensus EPS estimate. Right now, On Holding possesses a Zacks Rank of #2 (Buy).
Digging into valuation, On Holding currently has a Forward P/E ratio of 26.55. This represents a premium compared to its industry average Forward P/E of 18.79.
Meanwhile, ONON's PEG ratio is currently 1.13. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Retail - Apparel and Shoes industry had an average PEG ratio of 2.11 as trading concluded yesterday.
The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 53, this industry ranks in the top 22% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our 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.
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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