On Holding Announces Ambitious Sales Target, $1B Buyback Plan
On Holding (NYSE:ONON) surged over 8% following its Investor Day event where it unveiled a CHF 5.6 billion sales target by 2029 and announced an inaugural $1 billion share buyback program tied to the same timeframe. The company also outlined plans for high-teens constant currency growth, with adjusted EBITDA margins expected to reach at least 22% during that period. The move has been interpreted as a significant escalation of its ambitions rather than a reset in expectations and is seen as reinforcing On Holding’s position within the premium athletic footwear segment. The company also reiterated its full-year outlook while raising long-term targets, signaling confidence in future performance despite being down 36% year to date. Nike (NYSE:NKE) saw a modest gain of around 1%, but analysts suggest this is more reflective of investor optimism about On Holding rather than an industry-wide rally. The broader market indices showed minimal movement, reinforcing the idea that Tuesday’s stock surge was specific to On Holding.
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