BTIG upgrades this running shoe manufacturer, sees more than 20% upside

On Holding’s momentum shows no signs of slowing, according to investment firm BTIG. Analyst Janine Stichter upgraded the running shoe maker to buy from neutral and set her price target at $64, which implies 21.6% upside from Tuesday’s close. While shares were marginally lower in the premarket Wednesday following the call, the stock has seen huge gains this year, surging more than 95%. ONON YTD mountain ONON, year-to-date On Tuesday, the Swiss athleisure company posted mixed third-quarter results, beating Wall Street’s revenue expectations while missing earnings estimates. Revenue guidance for the full year also came in above expectations. Citing this accelerating momentum into the end of the year, Stichter thinks more gains are still in store for the company in 2025 and beyond, with increasing traction in running specifically. “Q3 results suggest growth becoming increasingly balanced among running, lifestyle, training, and other sports, with many styles now reaching a critical mass and contributing meaningfully,” she wrote. “Wholesale sell-through remains strong, and our checks at run specialty suggest continued share gains, which we see ultimately flowing back to [direct-to-consumer].” “While the company is moving methodically, plenty of door count expansion also still remains,” the analyst added. Stichter’s call joins 18 other strong buy or buy ratings among analysts on the Street covering the name, while the remaining four have taken a neutral stance, per LSEG. Its average target of $52.93 also reflects marginal upside ahead.