In the latest trading session, On Holding (ONON) closed at $34.44, marking a +1.86% move from the previous day. The stock's performance was ahead of the S&P 500's daily gain of 0.62%. On the other hand, the Dow registered a gain of 0.58%, and the technology-centric Nasdaq increased by 0.83%.
Coming into today, shares of the running-shoe and apparel company had lost 14.28% in the past month. In that same time, the Retail-Wholesale sector lost 0.96%, while the S&P 500 gained 0.8%.
Market participants will be closely following the financial results of On Holding in its upcoming release. The company's upcoming EPS is projected at $0.36, signifying a 56.52% increase compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $1.05 billion, indicating a 30.14% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $1.66 per share and a revenue of $4.52 billion, demonstrating changes of +71.13% and +24.2%, respectively, from the preceding year.
It is also important to note the recent changes to analyst estimates for On Holding. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been a 0.36% fall in the Zacks Consensus EPS estimate. On Holding presently features a Zacks Rank of #3 (Hold).
Investors should also note On Holding's current valuation metrics, including its Forward P/E ratio of 20.32. This expresses a premium compared to the average Forward P/E of 16.33 of its industry.
Also, we should mention that ONON has a PEG ratio of 0.57. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Retail - Apparel and Shoes industry currently had an average PEG ratio of 1.52 as of yesterday's close.
The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 70, which puts it in the top 29% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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This article originally published on Zacks Investment Research (zacks.com).