Why On Holding (ONON) Is Getting Attention Today

On Holding (ONON) drew fresh attention on 3 September 2026 after announcing a renewed FP Movement collaboration, a limited-edition women’s footwear collection that blends performance features with more expressive, fashion-driven design.

Despite the fresh FP Movement launch, recent trading has been weak. On Holding’s share price is at US$27.99 after declining 25.5% over the past month and 40.4% year to date. The 1 year total shareholder return is down 38.5% and the 3 year total shareholder return is down 5.4%, signaling that momentum has been fading even as the brand continues to release new products and collaborations.

Scan how other consumer-focused stocks with strong fundamentals are reacting to shifting sentiment by reviewing the 19 high quality undiscovered gems alongside On Holding after this FP Movement drop.

On Holding’s share price slide sits awkwardly beside product news like the FP Movement launch. Is this drop mainly about the business fundamentals, or has sentiment simply swung too far and created a different valuation picture now?

Most Popular Narrative: 47% Undervalued

On Holding's most followed narrative pegs fair value at $52.49 compared with the current $27.99 share price, which points to a wide valuation gap and puts extra focus on the growth and margin story behind that figure.

The acceleration in DTC (Direct-to-Consumer) and e-commerce channels, with DTC reaching new highs (41.1% of sales in Q2 and up 54% YoY), gives On more control over brand, pricing, and customer data while increasing gross and EBITDA margins, an operational catalyst likely to further expand profitability as DTC continues its mix shift.

Read the complete narrative. Read the complete narrative.

Want to see why this narrative supports such a large gap between price and fair value? The entire case leans on compounding revenue, rising margins and a future earnings profile that assumes investors will still pay a premium multiple. Curious which specific growth and profitability paths have been baked into that $52.49 figure and how they stack up against On Holding's current run rate? The full narrative breaks down those moving parts in detail.

Result: Fair Value of $52.49 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, the On Holding narrative could still be challenged if premium pricing starts to push customers away or if rapid Asia-Pacific growth leads to inventory and margin issues.

Find out about the key risks to this On Holding narrative.

Another View on On Holding’s Valuation

The first narrative leans on future growth and a fair value of $52.49, yet today On Holding trades on a P/E of 19.1x. That is higher than the US Luxury industry on 16x and above a peer average of 14.7x, even though the fair ratio sits at 22.2x. Does paying a richer multiple increase the risk that sentiment, rather than fundamentals, will drive the next move?

See what the numbers say about this price — find out in our valuation breakdown.

Next Steps

After weighing both the optimistic and cautious views on On Holding, it can be useful to move quickly and check the numbers yourself so your view is grounded in the facts. A good place to start is by reviewing the company’s 3 key rewards

Looking for more investment ideas beyond On Holding?

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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