On Holding Forecasts Q1 Sales Up 29.7% While EPS Seen Down 31.6%
On Holding's Q1 consensus EPS of $0.26 reflects a 31.6% year-over-year decline, while Q1 sales are forecast at $896.4 million (+29.7%). The company reported Q4 revenue of $992.9 million (+35.1%) and EPS of $0.50 (+194%), securing a Zacks Rank #1 despite an F valuation grade.
1. Earnings Estimate Revisions
Analysts project Q1 EPS of $0.26, a 31.6% drop from last year, with the consensus unchanged over the past 30 days. Full-year EPS is estimated at $0.94 (-14.6%) for fiscal 2026 and $1.71 (+82.8%) for fiscal 2027, reflecting expectations of a strong rebound.
2. Revenue Forecasts
On Holding's sales are forecast at $896.42 million for Q1, a 29.7% increase year-over-year. For fiscal 2026 and 2027, consensus estimates stand at $3.73 billion (+41.4%) and $4.51 billion (+21%), underscoring robust demand for its running shoes and apparel.
3. Recent Results and Surprises
In the most recent quarter, the company posted revenue of $992.89 million, up 35.1% year-over-year, and EPS of $0.50 versus $0.17 a year ago, marking a 194% gain. These results beat consensus by 5.7% on sales and 47.1% on EPS, highlighting stronger-than-expected performance.
4. Valuation and Zacks Rank
Despite a strong earnings outlook and recent upside surprises, On Holding carries an F grade on valuation, indicating it trades at a premium to peers. Its Zacks Rank #1 (Strong Buy) reflects favorable trends in earnings estimate revisions and potential near-term outperformance.