$ONON

On Holding AG (NYSE: ONON), a Swiss sports shoe brand, has seen its stock fall 52% from its January 2025 high. Q2 net sales rose 21.6% but missed expectations, leading to a reduced full-year growth outlook. The company is expanding into football and golf, signing Kylian Mbappé as a global ambassador. On aims for high-teens annual sales growth through 2029, with running and sneakers as primary drivers.

Nike's weak earnings and outlook caused pre-market drops in shares of Lululemon, On, Under Armour, and Deckers Outdoor. Nike's CEO cited market weakness and inventory issues, while earnings guidance fell below estimates. Nike's shares dropped nearly 10% in pre-market trading.

Wells Fargo analyst Ike Boruchow maintained a Buy rating on Bath & Body Works (BBWI) with a $24.00 price target. On Holding AG (ONON) received a Buy rating from Citi's Paul Lejuez and a $38.00 target from Berenberg Bank. BBWI closed at $16.45, ONON at $29.96. Analyst consensus: BBWI Hold ($22.20 target), ONON Strong Buy ($42.57 target).

Kylian Mbappé ended his partnership with Nike (NKE) to join On (ONON) in a cash-and-equity deal, marking On's first major soccer star. Nike chose not to renew Mbappé's contract. On aims to leverage Mbappé's global profile to expand into soccer, while Nike retains other major soccer agreements. Both companies' shares showed minimal movement post-announcement.

On Holding AG (NYSE:ONON) signed Kylian Mbappé, ending his 20-year partnership with Nike (NYSE:NKE). Analysts view this as a challenge to Nike and Adidas, with Mbappé's equity stake tying his success to On's stock. On plans to launch football products in 2027, aiming to enter a market dominated by Nike and Adidas. Nike's shares are down 42.95% year-to-date, facing increased competition.

On Holding (ONON) shares rose 13% after its Investor Day, where it outlined a strategy to maintain a 65% gross profit margin through 2029, exceeding Nike's 43%. The company also reiterated its 2026 sales growth guidance of over 20% and announced a $1B share buyback plan. ONON has named Kylian Mbappé as its global ambassador for soccer market entry.

On Holding (NYSE:ONON) shares rose 11% after setting 2026-29 targets: high-teens sales growth, 65%+ gross margin, 22%+ EBITDA margin, and a $1B share buyback. Jefferies questioned the feasibility, citing slowing growth, high inventory levels, and heavy reliance on paid traffic. The firm maintains an Underperform rating and $20 price target.

Alibaba (BABA) shares rose after launching China's most powerful AI chip and announcing data center expansion plans. ON Holdings (ONON) expects high-teens sales growth by entering golf and football. Viking Therapeutics (VKTX) shares surged after positive obesity drug trial results, with analysts noting strong competitive potential.

On Holding (ONON) rose 13% after announcing a CHF 5.6B sales target by 2029 and a $1B buyback program. Nike (NKE) gained 2%, but the move was attributed to On Holding's specific news. The Consumer Discretionary ETF (XLY) and S&P 500 ETF (SPY) showed modest gains, indicating no broad sector rally.

On Holding (ONON) announced long-term targets at its Investor Day, aiming for $6.84B in sales by 2029, up from previous 2026 projections of CHF 3.47B–3.56B. The company expects 65% gross margin and 22% adjusted EBITDA margin by 2029, and authorized a $1B share buyback. ONON shares rose over 11%, their best day in over 10 months.