On Holding ONON is up sharply on Investor Day news

Summary

The speakers discuss On Holdings' sharp rebound following its investor day, with shares rising roughly 12% in one session. They highlight a planned buyback, growth projections, product expansion and unusual options activity, while suggesting further upside could depend on holding above the $29–$30 area.

• ONON rose roughly 12% in one session after previously falling to around $26.
• The company announced a $1 billion share buyback through 2029.
• Investor day plans included expansion into soccer footwear and apparel.
• The speakers cited a gross-margin figure of 65%.
• They said the average product price increased from $145 to $270.
• Projected 2029 sales were cited at $6.8 billion.
• Unusual options activity accompanied the stock's sharp move higher.
• One speaker suggested holding above $29–$30 could support a move back toward $50.

1. 0:00

   I like this one a lot, Pete, and I think we were both on the same page and certainly these guys know a lot about competition because On Holdings it's a Swiss company. We've talked about Federer and how he decided he wanted to get involved and

2. 0:18

   get an ownership stake and all that kind of stuff. O N O N. Well, I remember when you and I covered this one in September, Pete, when it crashed down to maybe 26 or so, but here it is not even 2 weeks later, you know, just a little

3. 0:35

   over a week later and it's seeing a 12% jump in just one session. And the reason for that is their investor day. They announced a billion-dollar buyback through 2029.

4. 0:49

   And I think a lot of folks are probably on this one because they love the product, but they also love the way these guys really put their money where their mouth is or their francs, Swiss francs, where their mouth is, Pete, because this one's doing pretty

5. 1:08

   well on this comeback.

6. 1:09

   >> It's a major move and this one also had unusual option activity as well and they it literally just ripped to the upside, John. I mean you could see see it right there the reflected by that that chart which is amazing, but you know, they they said so many positive things that they can't help but be up 10 11 12%

7. 1:29

   whatever it might be. You know, the the investor day that you were talking about and they were talking about expanding the football which is soccer for us the footwear and the apparel and all the rest of it really pretty amazing. The gross margins they're talking about 65% that seems like a

8. 1:47

   pretty decent number to me.

9. 1:49

   And you know what? They raised the average price for this thing from 145 to 270. So there's there's just a lot of different things about this investor day that they brought up and they talked about and really got this stock. I mean, people people went pretty crazy on this one for all the right reasons. So, that unusual option activity was great. That

10. 2:09

    was something that, you know, you you never know what's going to be the catalyst, but in this case, that certainly was the catalyst. By the way, John, they project their sales at 6.5 or excuse me, 6.8 billion for 2029. Now, that's pretty far out there, but nonetheless, those are big numbers. And and the fact that they're talking about

11. 2:27

    a billion-dollar buyback that'll be bought back by 2029. That they seem to have hit just about everything that you would have wanted if you had either stock or options in this in this particular name.

12. 2:40

    >> Yep. It's been a a nice recovery, Pete, and a hold above this level above 29 or 30. Um that's uh means they could see a a run back towards 50 where they came from.

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