ONON Stock Forecast & Price Target

On Holding AG is experiencing significant growth, with direct-to-consumer (DTC) sales rising approximately 28% and contributing to an increased mix of sales at 39.6%, while wholesale also saw a 23% increase. The Americas region alone reported a robust 26% growth in 2024, continuing a trend of substantial growth in prior years, underpinned by strong brand awareness and marketing efforts. As the company expands its presence in high-growth markets like Latin America and enhances its athlete partnerships, positive momentum is anticipated to continue, supported by operational improvements and strong product innovation.

On Holding AG is facing significant headwinds that could negatively impact its financial performance, as projected revenue growth may decline significantly, with estimates suggesting a drop to the low-to-mid 20% range in 4Q25 and potentially under 20% in FY26. This slowdown could result in revenues being 5% below current targets for FY26, partly due to the anticipated impact of tariffs on imports and the lapping of a one-time benefit experienced in 3Q25, leading to a contraction from a previously expected 62.5% growth rate. Additionally, the company is confronting currency exchange rate pressures and a lowering of valuation multiples within its sector, which could further exacerbate its financial challenges and potentially drive stock prices significantly lower.