| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 64 | 18.7x | 17.8x | Around median | |
Growth | 93 | 19.0% | 7.1% | Top tier | |
Quality | 89 | 18.8% | 4.5% | Top tier | |
Safety | 82 | — | 2.6x | Top tier | |
Capital Return | 38 | — | 2.12% | Bottom tier | |
Momentum | 11 | -16.2% | 2.9% | Bottom tier | |
Sentiment | 85 | 14 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
On Holding AG designs and markets premium athletic footwear and apparel, with its technological identity centered on platforms such as CloudTec, LightSpray, Helion HF, and SenseTec. The company generates revenue through direct-to-consumer sales, including e-commerce and owned stores, and through the wholesale channel; in Q2 FY2026, direct-to-consumer sales reached CHF 388 million and represented 45.7% of total sales, making this the fastest-growing channel and the strongest contributor to margins, according to management. Footwear remains the largest business, but apparel, tennis, and training have become additional expansion drivers, with a geographic presence spanning the Americas, EMEA, and APAC.
In Q2 FY2026, On recorded net sales of CHF 850 million, up 21.6% on a constant-currency basis and 13.5% on a reported basis. Gross profit margin reached 65.4%, and adjusted EBITDA margin was 19.8%, while adjusted EBITDA growth exceeded 30% on a constant-currency basis. Direct-to-consumer sales grew 34.3% on a constant-currency basis, compared with 12.7% for wholesale, while footwear sales rose 18.9% and apparel sales increased 56.2% on a constant-currency basis, showing that the improved mix toward higher-margin channels and categories partially offset the wholesale slowdown.
Geographically, Q2 FY2026 net sales grew 54.7% on a constant-currency basis in APAC and 20.5% in EMEA, compared with 13.0% in the Americas, where weakness was concentrated in wholesale. These operating results are consistent with the company’s longer-term expansion: FY2025 revenue rose to $3.0 billion from $2.3 billion in FY2024, while gross profit increased to $1.9 billion from $1.4 billion. However, the August 11, 2026 results fell short of market estimates for net sales, causing the stock to decline 19% in a reaction that reflected concerns about slowing wholesale sales, tariffs, and consumer caution.
The average analyst price target is $46.17, compared with a wide range of $20 to $82, with a consensus rating of “Buy”; the average is approximately 9.6% below the 52-week range high of $51.08, while the highest target exceeds that high by approximately 60.5%. This dispersion reflects significant disagreement over the value of direct-to-consumer growth and innovation versus the wholesale slowdown, and the stock’s 19% decline following the August 11, 2026 results confirmed the valuation’s sensitivity to any revenue shortfall despite the gross margin reaching 65.4%.
Figures in the text are as of 2026-08-29; the live price is shown at the top of the page.
On reported net sales of CHF 850 million on August 11, 2026, but the figure fell short of market estimates, causing the stock to decline 19%. Weakness was concentrated in wholesale in the Americas, where some everyday running franchises sold at a pace below management’s ambitions amid a promotional market. The company chose to reduce sell-in to the channel rather than build inventory that could threaten full-price sales, while news reports also linked the pressure to U.S. tariffs and cautious consumer spending.
Q2 FY2026 net sales grew 21.6% on a constant-currency basis and 13.5% on a reported basis to CHF 850 million. Direct-to-consumer led growth with a 34.3% constant-currency increase, compared with 12.7% for wholesale, and the direct-to-consumer share rose to 45.7%. Geographically, APAC achieved 54.7% growth and EMEA achieved 20.5% growth on a constant-currency basis, partially offsetting slower growth of 13.0% in the Americas.
Cloudmonster 3 Hyper LightSpray sold out immediately after its March 2026 launch, while Cloudboom Strike 2 demonstrated an independently measured 1.6% improvement in running economy compared with leading competing shoes. The company began expanding Cloudsurfer 3 featuring SURREAL foam with specialty running partners in October 2026, after their orders for the Spring/Summer 2027 season doubled following its presentation at the Paris Running Summit. The refresh cycle also includes Cloudsurfer Max 2 and the return of Flow, as part of a plan to update all everyday running franchises with new technologies within 14 months of the August 11, 2026 call.
Automated analysis for informational purposes only — not investment advice.
Gross profit margin reached 65.4% in Q2 FY2026, driven by a higher direct-to-consumer mix, full-price sales discipline, operational efficiencies, shipping mix, and some positive currency effects. These factors helped the company absorb U.S. tariffs without relying on any refunds during the quarter. Management expects a gross margin of at least 65% and an adjusted EBITDA margin between 19.5% and 20% for FY2026.
Apparel grew 56.2% on a constant-currency basis in Q2 FY2026 and represented 28% of net sales from the running campaign. The training category achieved 40% growth, while tennis apparel sales nearly tripled, supported by collections such as Tennis Court and Zendaya and technologies such as SenseTec. In lifestyle, the Cloudtilt franchise grew 190% year over year, with three of its styles ranking among the top five sellers at Foot Locker Europe.
On ended Q2 FY2026 with more than CHF 1.2 billion in net cash after increasing its cash balance by CHF 185.2 million during the quarter. Net working capital improved by CHF 14.9 million from the previous quarter and remained below 20% of sales, despite a 30% increase in inventory due to volume growth and currency movements. Through August 14, 2026, insider activity over three months showed net purchases of $3.9 million, with two purchases versus one sale, a supportive signal that does not replace monitoring wholesale and inventory performance.
