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On Holding's 2026 Outlook: DTC Channel Strategy Drives Higher Profit Margins

This under-the-radar consumer discretionary stock boasts a Superscore of 78 from our Hidden Gems Primary database, part of The Motley Fool's Moneyball Database system. Here's why.

On Holding's 2026 Outlook: DTC Channel Strategy Drives Higher Profit Margins

Published September 15, 2026 · Category: Finance

Overview

A runner stops at a store in Tokyo, looking for a shoe that handles the grit of daily training without sacrificing the aesthetic for a lunch date. The shelf is stocked with the latest from On Holding (NYSE:ONON), a Swiss-born company that has successfully bridged the gap between pure performance gear and the street fashion market. Its footwear and apparel are now a familiar sight from Silicon Valley to the UAE, with the stock recently trading around $27.39. Despite a 36% decline over the past year, the company continues to gain traction, moving from a niche start-up to a scaled, profitable sportswear brand.

Our proprietary Hidden Gems scoring system assigns On Holding an overall Superscore of 78 out of 100, placing it in the Strong category. The Superscore is an AI-powered score that evaluates a company's overall strength by combining financial performance, product market position, technological capabilities, leadership quality, and relative valuation. It represents the unification of all our scores into a single score for public companies, with five rating bands: Exceptional (90-100), Strong (75-89), Above Average (60-74), Average (40-59), and Cautious (0-39).

Details

A 78 Superscore places On Holding in the Top ~13% of all companies we score. This score serves as a data-driven starting point for your research, pairing key strengths with the risks that keep the company from achieving a higher rating so that you can reach your own conclusion.

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Source

Originally published at www.fool.com.

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Disclaimer: This article is for informational purposes only and does not constitute investment advice. Data may be delayed up to 15 minutes. Past performance is not indicative of future results. Consult a licensed financial advisor before making investment decisions.