ON (NYSE:ONON) Shares Gap Down – Should You Sell?

On Holding AG (NYSE:ONON) shares gapped down before the market opened on Tuesday. The stock had previously closed at $33.17, but opened at $31.90. ON shares last traded at $32.2240, with a volume of 2,480,764 shares.

Wall Street Analysts Forecast Growth

ONON has been the topic of a number of recent analyst reports. Weiss Ratings raised shares of ON from a “hold (c-)” rating to a “hold (c)” rating in a research report on Thursday, October 8th. BTIG Research reaffirmed a “buy” rating and set a $60.00 price objective on shares of ON in a report on Wednesday, September 23rd. Robert W. Baird lowered their target price on shares of ON from $70.00 to $55.00 and set an “outperform” rating on the stock in a research note on Wednesday, August 12th. Wolfe Research began coverage on shares of ON in a report on Wednesday, October 21st. They issued an “outperform” rating and a $47.00 target price on the stock. Finally, Williams Trading set a $32.00 target price on shares of ON in a research report on Tuesday, August 11th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-one have issued a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $43.48.

ON Stock Performance

The company has a debt-to-equity ratio of 0.25, a quick ratio of 2.25 and a current ratio of 2.83. The firm has a 50 day moving average price of $30.58 and a two-hundred day moving average price of $37.06. The company has a market capitalization of $20.52 billion, a P/E ratio of 21.89, a price-to-earnings-growth ratio of 0.64 and a beta of 2.08.

ON (NYSE:ONON) last issued its quarterly earnings data on Tuesday, August 11th. The company reported $0.35 earnings per share for the quarter, missing the consensus estimate of $0.42 by ($0.07). The firm had revenue of $1.05 billion for the quarter, compared to the consensus estimate of $1.09 billion. ON had a return on equity of 22.92% and a net margin of 12.09%. ON’s quarterly revenue was up 13.5% compared to the same quarter last year. During the same period in the prior year, the company posted ($0.09) earnings per share. On average, research analysts expect that On Holding AG will post 1.50 earnings per share for the current fiscal year.

Insider Activity at ON

In other news, insider Olivier Bernhard bought 65,000 shares of the business’s stock in a transaction on Friday, August 14th. The shares were bought at an average cost of $30.67 per share, for a total transaction of $1,993,550.00. Following the completion of the acquisition, the insider owned 5,228,184 shares in the company, valued at approximately $160,348,403.28. This trade represents a 1.26% increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Caspar Coppetti bought 65,000 shares of ON stock in a transaction on Friday, August 14th. The shares were acquired at an average price of $30.67 per share, for a total transaction of $1,993,550.00. Following the completion of the acquisition, the chief executive officer owned 2,440,855 shares of the company’s stock, valued at approximately $74,861,022.85. This represents a 2.74% increase in their position. The disclosure for this purchase is available in the SEC filing.

Institutional Trading of ON

Several hedge funds and other institutional investors have recently modified their holdings of ONON. EverSource Wealth Advisors LLC lifted its stake in ON by 69.6% in the 1st quarter. EverSource Wealth Advisors LLC now owns 760 shares of the company’s stock valued at $26,000 after acquiring an additional 312 shares in the last quarter. Ascentis Independent Advisors acquired a new position in ON during the 1st quarter worth approximately $34,000. Guardian Partners Inc. bought a new position in shares of ON during the 3rd quarter worth approximately $41,000. Signaturefd LLC grew its stake in shares of ON by 29.5% during the 3rd quarter. Signaturefd LLC now owns 1,598 shares of the company’s stock worth $47,000 after acquiring an additional 364 shares in the last quarter. Finally, State of Wyoming grew its stake in shares of ON by 132.6% during the 1st quarter. State of Wyoming now owns 4,508 shares of the company’s stock worth $153,000 after acquiring an additional 2,570 shares in the last quarter. Institutional investors and hedge funds own 36.39% of the company’s stock.

ON Company Profile

On Holding AG, commonly known as On, is a Swiss sportswear company that develops and sells performance footwear, apparel and accessories. The company serves athletes and everyday consumers with products designed for running, training, outdoor activities and lifestyle use.

On is best known for its running shoes, which incorporate proprietary technologies such as CloudTec cushioning and the Speedboard propulsion system. Its product portfolio also includes athletic clothing, outerwear and accessories.