ON HOLDING AG-CLASS A (ONON)
CH1134540470 - Common Stock
Taking everything into account, ONON scores 5 out of 10 in our fundamental rating. ONON was compared to 51 industry peers in the Textiles, Apparel & Luxury Goods industry. ONON has an excellent financial health rating, but there are some minor concerns on its profitability. ONON shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
ONON had positive earnings in the past year.
ONON had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: ONON reported negative net income in multiple years.
The reported operating cash flow has been mixed in the past 5 years: ONON reported negative operating cash flow in multiple years.
1.2 Ratios
The Return On Assets of ONON (5.00%) is comparable to the rest of the industry.
The Return On Equity of ONON (7.41%) is comparable to the rest of the industry.
ONON's Return On Invested Capital of 10.37% is fine compared to the rest of the industry. ONON outperforms 76.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5% | ||
| ROE | 7.41% | ||
| ROIC | 10.37% |
ROA(3y)-1.53%
ROA(5y)-2.57%
ROE(3y)-2.23%
ROE(5y)-4.05%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
ONON's Profit Margin of 4.44% is in line compared to the rest of the industry. ONON outperforms 58.00% of its industry peers.
ONON has a better Operating Margin (10.06%) than 72.00% of its industry peers.
ONON's Gross Margin of 59.56% is amongst the best of the industry. ONON outperforms 82.00% of its industry peers.
ONON's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.06% | ||
| PM (TTM) | 4.44% | ||
| GM | 59.56% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.1%
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), ONON is creating value.
The number of shares outstanding for ONON has been increased compared to 1 year ago.
ONON has a worse debt/assets ratio than last year.
2.2 Solvency
ONON has an Altman-Z score of 13.55. This indicates that ONON is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 13.55, ONON belongs to the best of the industry, outperforming 98.00% of the companies in the same industry.
The Debt to FCF ratio of ONON is 1.32, which is an excellent value as it means it would take ONON, only 1.32 years of fcf income to pay off all of its debts.
ONON has a Debt to FCF ratio of 1.32. This is in the better half of the industry: ONON outperforms 70.00% of its industry peers.
A Debt/Equity ratio of 0.18 indicates that ONON is not too dependend on debt financing.
ONON has a Debt to Equity ratio of 0.18. This is in the better half of the industry: ONON outperforms 62.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 1.32 | ||
| Altman-Z | 13.55 |
ROIC/WACC1.99
WACC5.22%
2.3 Liquidity
A Current Ratio of 3.77 indicates that ONON has no problem at all paying its short term obligations.
ONON has a better Current ratio (3.77) than 82.00% of its industry peers.
A Quick Ratio of 2.60 indicates that ONON has no problem at all paying its short term obligations.
ONON has a better Quick ratio (2.60) than 86.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.77 | ||
| Quick Ratio | 2.6 |
3. Growth
3.1 Past
ONON shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 44.75%, which is quite impressive.
The Revenue has grown by 46.64% in the past year. This is a very strong growth!
Measured over the past years, ONON shows a very strong growth in Revenue. The Revenue has been growing by 61.52% on average per year.
EPS 1Y (TTM)44.75%
EPS 3YN/A
EPS 5YN/A
EPS growth Q2Q-400%
Revenue 1Y (TTM)46.64%
Revenue growth 3Y61.52%
Revenue growth 5YN/A
Revenue growth Q2Q21.93%
3.2 Future
Based on estimates for the next years, ONON will show a very strong growth in Earnings Per Share. The EPS will grow by 37.27% on average per year.
The Revenue is expected to grow by 21.09% on average over the next years. This is a very strong growth
EPS Next Y51.61%
EPS Next 2Y43.25%
EPS Next 3Y35.95%
EPS Next 5Y37.27%
Revenue Next Year25.71%
Revenue Next 2Y25.77%
Revenue Next 3Y24.97%
Revenue Next 5Y21.09%
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 113.26, the valuation of ONON can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of ONON indicates a slightly more expensive valuation: ONON is more expensive than 64.00% of the companies listed in the same industry.
ONON is valuated expensively when we compare the Price/Earnings ratio to 28.31, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 37.12, ONON can be considered very expensive at the moment.
68.00% of the companies in the same industry are cheaper than ONON, based on the Price/Forward Earnings ratio.
ONON's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 20.48.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 113.26 | ||
| Fwd PE | 37.12 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ONON indicates a slightly more expensive valuation: ONON is more expensive than 70.00% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, ONON is valued a bit more expensive than 70.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 47.85 | ||
| EV/EBITDA | 35.63 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ONON does not grow enough to justify the current Price/Earnings ratio.
ONON's earnings are expected to grow with 35.95% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.19
PEG (5Y)N/A
EPS Next 2Y43.25%
EPS Next 3Y35.95%
5. Dividend
5.1 Amount
ONON does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
ON HOLDING AG-CLASS A
NYSE:ONON (5/10/2024, 9:21:05 AM)
30.58
-0.72 (-2.3%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap9.73B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
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EPS beat(16)
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Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 113.26 | ||
| Fwd PE | 37.12 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)2.19
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5% | ||
| ROE | 7.41% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 10.06% | ||
| PM (TTM) | 4.44% | ||
| GM | 59.56% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 3.77 | ||
| Quick Ratio | 2.6 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)44.75%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y51.61%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)46.64%
Revenue growth 3Y61.52%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y