ON HOLDING AG-CLASS A (ONON) Stock Fundamental Analysis
USA - NYSE:ONON - CH1134540470 - Common Stock
44.99 USD
+1.15 (+2.62%)
45.05 USD
+0.06 (+0.13%)
We assign a fundamental rating of 6 out of 10 to ONON. ONON was compared to 49 industry peers in the Textiles, Apparel & Luxury Goods industry. While ONON has a great health rating, its profitability is only average at the moment. ONON is valued quite expensively, but it does show have an excellent growth rating. This makes ONON very considerable for growth investing!
1. Profitability
1.1 Basic Checks
ONON had positive earnings in the past year.
ONON had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: ONON reported negative net income in multiple years.
In multiple years ONON reported negative operating cash flow during the last 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.34%, ONON is in the better half of the industry, outperforming 69.39% of the companies in the same industry.
ONON's Return On Equity of 9.73% is in line compared to the rest of the industry. ONON outperforms 53.06% of its industry peers.
With a decent Return On Invested Capital value of 13.78%, ONON is doing good in the industry, outperforming 79.59% of the companies in the same industry.
ONON had an Average Return On Invested Capital over the past 3 years of 9.76%. This is below the industry average of 12.08%.
The 3 year average ROIC (9.76%) for ONON is below the current ROIC(13.78%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.34% | ||
| ROE | 9.73% | ||
| ROIC | 13.78% |
ROA(3y)6.46%
ROA(5y)-0.32%
ROE(3y)10.26%
ROE(5y)-0.11%
ROIC(3y)9.76%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 5.00%, ONON is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
With a decent Operating Margin value of 10.87%, ONON is doing good in the industry, outperforming 79.59% of the companies in the same industry.
In the last couple of years the Operating Margin of ONON has grown nicely.
The Gross Margin of ONON (61.00%) is better than 81.63% of its industry peers.
ONON's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.87% | ||
| PM (TTM) | 5% | ||
| GM | 61% |
OM growth 3YN/A
OM growth 5Y33.78%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.7%
GM growth 5Y2.51%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so ONON is creating value.
The number of shares outstanding for ONON has been increased compared to 1 year ago.
ONON has more shares outstanding than it did 5 years ago.
The debt/assets ratio for ONON is higher compared to a year ago.
2.2 Solvency
ONON has an Altman-Z score of 8.22. This indicates that ONON is financially healthy and has little risk of bankruptcy at the moment.
ONON has a better Altman-Z score (8.22) than 95.92% of its industry peers.
ONON has a debt to FCF ratio of 1.43. This is a very positive value and a sign of high solvency as it would only need 1.43 years to pay back of all of its debts.
ONON has a Debt to FCF ratio of 1.43. This is amongst the best in the industry. ONON outperforms 87.76% of its industry peers.
A Debt/Equity ratio of 0.31 indicates that ONON is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.31, ONON is in line with its industry, outperforming 59.18% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 1.43 | ||
| Altman-Z | 8.22 |
ROIC/WACC2.68
WACC5.15%
2.3 Liquidity
ONON has a Current Ratio of 2.53. This indicates that ONON is financially healthy and has no problem in meeting its short term obligations.
With a decent Current ratio value of 2.53, ONON is doing good in the industry, outperforming 75.51% of the companies in the same industry.
ONON has a Quick Ratio of 2.00. This is a normal value and indicates that ONON is financially healthy and should not expect problems in meeting its short term obligations.
ONON's Quick ratio of 2.00 is amongst the best of the industry. ONON outperforms 93.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.53 | ||
| Quick Ratio | 2 |
3. Growth
3.1 Past
ONON shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.17%.
Looking at the last year, ONON shows a very strong growth in Revenue. The Revenue has grown by 35.67%.
The Revenue has been growing by 54.06% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)3.17%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-171.43%
Revenue 1Y (TTM)35.67%
Revenue growth 3Y47.35%
Revenue growth 5Y54.06%
Sales Q2Q%31.97%
3.2 Future
The Earnings Per Share is expected to grow by 27.16% on average over the next years. This is a very strong growth
ONON is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 22.78% yearly.
EPS Next Y-35.12%
EPS Next 2Y12.61%
EPS Next 3Y20.85%
EPS Next 5Y27.16%
Revenue Next Year28.02%
Revenue Next 2Y25.96%
Revenue Next 3Y25.15%
Revenue Next 5Y22.78%
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 54.20, the valuation of ONON can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of ONON indicates a slightly more expensive valuation: ONON is more expensive than 69.39% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.41, ONON is valued quite expensively.
Based on the Price/Forward Earnings ratio of 28.21, the valuation of ONON can be described as expensive.
Based on the Price/Forward Earnings ratio, ONON is valued a bit more expensive than the industry average as 63.27% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.88, ONON is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 54.2 | ||
| Fwd PE | 28.21 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ONON is valued a bit more expensive than the industry average as 75.51% of the companies are valued more cheaply.
The rest of the industry has a similar Price/Free Cash Flow ratio as ONON.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.26 | ||
| EV/EBITDA | 26.23 |
4.3 Compensation for Growth
ONON has a very decent profitability rating, which may justify a higher PE ratio.
ONON's earnings are expected to grow with 20.85% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y12.61%
EPS Next 3Y20.85%
5. Dividend
5.1 Amount
ONON does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
44.99
+1.15 (+2.62%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners64.22%
Inst Owner Change7.72%
Ins Owners22.02%
Ins Owner ChangeN/A
Market Cap14.69B
Analysts81.76
Price Target67.54 (50.12%)
Short Float %6.41%
Short Ratio2.44
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-71.15%
Min EPS beat(2)-146.46%
Max EPS beat(2)4.17%
EPS beat(4)2
Avg EPS beat(4)-15.63%
Min EPS beat(4)-146.46%
Max EPS beat(4)102.39%
EPS beat(8)4
Avg EPS beat(8)-6.61%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)4.36%
Min Revenue beat(2)4.14%
Max Revenue beat(2)4.57%
Revenue beat(4)4
Avg Revenue beat(4)2.46%
Min Revenue beat(4)0.14%
Max Revenue beat(4)4.57%
Revenue beat(8)6
Avg Revenue beat(8)1.16%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-0.09%
PT rev (3m)0.11%
EPS NQ rev (1m)-11.19%
EPS NQ rev (3m)-14.81%
EPS NY rev (1m)-34.6%
EPS NY rev (3m)-35.92%
Revenue NQ rev (1m)-0.24%
Revenue NQ rev (3m)-0.85%
Revenue NY rev (1m)1.27%
Revenue NY rev (3m)1.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 54.2 | ||
| Fwd PE | 28.21 | ||
| P/S | 4.25 | ||
| P/FCF | 33.26 | ||
| P/OCF | 27.78 | ||
| P/B | 8.28 | ||
| P/tB | 8.62 | ||
| EV/EBITDA | 26.23 |
EPS(TTM)0.83
EY1.84%
EPS(NY)1.6
Fwd EY3.55%
FCF(TTM)1.35
FCFY3.01%
OCF(TTM)1.62
OCFY3.6%
SpS10.58
BVpS5.44
TBVpS5.22
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.34% | ||
| ROE | 9.73% | ||
| ROCE | 15.91% | ||
| ROIC | 13.78% | ||
| ROICexc | 26.68% | ||
| ROICexgc | 28.32% | ||
| OM | 10.87% | ||
| PM (TTM) | 5% | ||
| GM | 61% | ||
| FCFM | 12.79% |
ROA(3y)6.46%
ROA(5y)-0.32%
ROE(3y)10.26%
ROE(5y)-0.11%
ROIC(3y)9.76%
ROIC(5y)N/A
ROICexc(3y)18.51%
ROICexc(5y)N/A
ROICexgc(3y)20.21%
ROICexgc(5y)N/A
ROCE(3y)11.26%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y30.67%
ROICexc growth 3YN/A
ROICexc growth 5Y30.65%
OM growth 3YN/A
OM growth 5Y33.78%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.7%
GM growth 5Y2.51%
F-Score5
Asset Turnover1.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 1.43 | ||
| Debt/EBITDA | 1.04 | ||
| Cap/Depr | 58.65% | ||
| Cap/Sales | 2.52% | ||
| Interest Coverage | 16.51 | ||
| Cash Conversion | 100.95% | ||
| Profit Quality | 255.85% | ||
| Current Ratio | 2.53 | ||
| Quick Ratio | 2 | ||
| Altman-Z | 8.22 |
F-Score5
WACC5.15%
ROIC/WACC2.68
Cap/Depr(3y)104.58%
Cap/Depr(5y)116.59%
Cap/Sales(3y)4.08%
Cap/Sales(5y)4.32%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)3.17%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-171.43%
EPS Next Y-35.12%
EPS Next 2Y12.61%
EPS Next 3Y20.85%
EPS Next 5Y27.16%
Revenue 1Y (TTM)35.67%
Revenue growth 3Y47.35%
Revenue growth 5Y54.06%
Sales Q2Q%31.97%
Revenue Next Year28.02%
Revenue Next 2Y25.96%
Revenue Next 3Y25.15%
Revenue Next 5Y22.78%
EBIT growth 1Y60.34%
EBIT growth 3YN/A
EBIT growth 5Y106.11%
EBIT Next Year90.84%
EBIT Next 3Y46.88%
EBIT Next 5Y39.11%
FCF growth 1Y299.67%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y527.23%
OCF growth 3Y211.18%
OCF growth 5YN/A