KeyBanc reiterates Overweight rating on On Holding stock after strong results

Published 13/08/2025, 15:56
KeyBanc reiterates Overweight rating on On Holding stock after strong results

Investing.com - KeyBanc has reiterated its Overweight rating and $68.00 price target on On Holding AG (NYSE:ONON) following the company’s quarterly results that exceeded expectations. According to InvestingPro data, the company has demonstrated impressive growth with revenue increasing 35.7% over the last twelve months.

The Swiss athletic footwear company delivered strong performance across all regions with particularly notable momentum in its direct-to-consumer (DTC) channels, according to KeyBanc’s analysis. The company maintains robust gross profit margins of 61% and a healthy current ratio of 2.53, indicating strong operational efficiency and financial stability.

On Holding has strengthened its market position as a premium sports footwear brand and appears to have faced minimal headwinds in the current economic environment, with management noting strong trends continuing into the current quarter.

The company has raised its full-year sales and profitability outlook, citing strong fall and winter order books, sustained consumer demand, and selective pricing actions across its product lineup.

KeyBanc expressed confidence in On Holding’s ability to execute its strategic initiatives and sees potential upside relative to the company’s current guidance.

In other recent news, On Holding AG has caught the attention of several analyst firms following its robust second-quarter performance. The company exceeded expectations in both revenue and margins, leading to a full-year guidance increase. UBS raised its price target for On Holding from $75 to $79, maintaining a Buy rating, citing confidence in the company’s strategy focused on innovation and direct-to-consumer sales. Similarly, Bernstein SocGen reiterated an Outperform rating with a $70 price target, noting a solid beat on sales and margins, and alignment with Street expectations in the Americas. Raymond James also maintained its Outperform rating and $66 price target, acknowledging the company’s strong performance despite macroeconomic challenges.

In contrast, Jefferies downgraded On Holding to Underperform, reducing the price target to $40 from $50, due to concerns over potential sales growth peaking in 2025. BTIG, however, reiterated a Buy rating with a $70 price target, highlighting the company’s broad-based success in the second quarter and its ability to raise annual guidance despite tariff and foreign exchange pressures. These developments reflect a range of perspectives on On Holding’s growth prospects and strategic direction.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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