Wall Street Analysts Think On Holding (ONON) Could Surge 26.11%: Read This Before Placing a Bet

Core Viewpoint - On Holding (ONON) shares have increased by 37.5% in the past four weeks, closing at $48.14, with a mean price target of $60.71 indicating a potential upside of 26.1% [1] Price Targets and Analyst Estimates - The mean estimate consists of 21 short-term price targets with a standard deviation of $10.43, where the lowest estimate is $30.00 (indicating a 37.7% decline) and the highest is $85.00 (indicating a 76.6% increase) [2] - A low standard deviation suggests a high degree of agreement among analysts regarding the stock's price movement [9] Earnings Estimates and Analyst Consensus - Analysts are optimistic about ONON's earnings prospects, as indicated by a strong agreement in revising EPS estimates higher, which correlates with near-term stock price movements [11] - Over the last 30 days, the Zacks Consensus Estimate for the current year has increased by 88.1%, with six estimates moving higher and one lower [12] - ONON holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimates [13] Caution on Price Targets - While consensus price targets are often sought after, they may mislead investors, as empirical research shows they rarely indicate actual stock price movements [7][10] - Analysts may set overly optimistic price targets due to business incentives, which can inflate expectations [8]