1 Exceptional Growth Stock to Buy Right Now

Company Overview - On Holding (ONON) is a premium athleticwear brand known for its distinctive sole design, particularly the On Cloud shoe, targeting an affluent clientele while also resonating with a broader audience through athlete endorsements and partnerships [3][4]. Market Performance - On's stock has experienced a decline of 8% year to date despite a strong fourth-quarter earnings report, which saw revenue increase by 40% year over year, with direct-to-consumer sales rising by 49% [7][9]. Financial Results - The company reported a significant net income increase of 436% from a loss the previous year, with earnings per share (EPS) reaching $0.33, surpassing Wall Street's consensus of$0.18 [8]. Growth Opportunities - On is expanding its global footprint and brand awareness, with management guiding for a 27% sales increase in 2025, indicating strong growth potential as it continues to innovate and maintain operational excellence [10][12]. Product Performance - The company has seen impressive growth in various product categories, with shoe sales up 39%, apparel up 83%, and accessories up 86% year over year in the fourth quarter, suggesting strong customer affinity for the brand [11]. Competitive Position - On has the highest gross margin in the industry, increasing from 60.4% to 62.1% year over year, indicating strong pricing power and a resilient customer base that may be pulling market share from competitors [6][8].