On Holding (ONON) Expected to Beat Earnings Estimates: Should You Buy?

Core Viewpoint - The market anticipates On Holding (ONON) to report a year-over-year decline in earnings despite an increase in revenues when it releases its quarterly results for the period ending March 2025 [1][2]. Earnings Expectations - On Holding is expected to report earnings of $0.24 per share, reflecting a year-over-year decrease of 36.8% [3]. - Revenue projections stand at $773.88 million, which represents a 33.1% increase compared to the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised down by 0.94% over the last 30 days, indicating a reassessment by analysts [4]. - The Most Accurate Estimate for On Holding is higher than the Zacks Consensus Estimate, resulting in a positive Earnings ESP of +4.17% [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that a positive Earnings ESP reading is a strong indicator of an earnings beat, especially when combined with a Zacks Rank of 1 (Strong Buy), 2 (Buy), or 3 (Hold) [8]. - On Holding currently holds a Zacks Rank of 3, indicating a likelihood of beating the consensus EPS estimate [11]. Historical Performance - In the last reported quarter, On Holding exceeded the expected earnings of $0.20 per share by delivering $0.38, resulting in a surprise of +90% [12]. - Over the past four quarters, On Holding has beaten consensus EPS estimates two times [13]. Industry Context - In the Zacks Retail - Apparel and Shoes industry, Tapestry (TPR) is expected to report earnings of $0.89 per share for the same quarter, reflecting a year-over-year increase of 9.9% [17]. - Tapestry's revenue is projected to be $1.53 billion, up 3.1% from the previous year [17].