Needham analyst Tom Nikic maintained a Buy rating on On Holding AG (ONON – Research Report) today and set a price target of $50.00.
Tom Nikic has given his Buy rating due to a combination of factors, primarily focusing on the stability and future potential of On Holding AG despite recent management changes. The departure of co-CEO Marc Maurer is not seen as a reflection of any underlying issues within the company, but rather a personal decision by Mr. Maurer to explore new opportunities.
The confidence in the company’s leadership remains strong, as co-CEO and CFO Martin Hoffmann is increasingly recognized as the prominent leader, ensuring continuity and effective management. Although the 12-month price target has been adjusted to $50 from $64, this change is attributed to a more conservative valuation approach amid macroeconomic uncertainties, rather than any negative outlook on the company’s fundamentals.