Is On Holding's Stock a Steal at These Prices?

Source The Motley Fool

Key Points

  • Record-breaking gross margins highlight superior brand equity and operational efficiency.

  • Explosive triple-digit growth potential in Asia-Pacific offsets stabilizing Western markets.

  • Shares trade at a significant discount to historical multiples despite double-digit growth forecasts.

  • 10 stocks we like better than On Holding ›

The recent dip in On Holding (NYSE: ONON) shares following its 2026 guidance may be a great gift for long-term investors. Wall Street was disappointed in a conservative revenue outlook, but the underlying fundamentals tell a story of a premium brand in its prime.

Revenue growth continues to compound at a 20%+ rate, margins are higher than expected, and the value looks too good to pass up. I dig into everything you need to know, including how currencies complicate analyzing the business, in this video.

Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »

*Stock prices used were end-of-day prices of March 4, 2026. The video was published on March 5, 2026.

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Travis Hoium has positions in On Holding. The Motley Fool has positions in and recommends Deckers Outdoor, Nike, and On Holding. The Motley Fool has a disclosure policy. Travis Hoium is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool.

Disclaimer: For information purposes only. Past performance is not indicative of future results.
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