Raymond James downgraded On Holding to Outperform from Strong Buy and cut its price target to $38 from $52 after the Swiss sportswear maker reported weaker-than-expected second-quarter revenue and lowered its growth outlook. The brokerage said pressure in North American wholesale and limited visibility into the pace and durability of future growth had reduced confidence in near-term upside. On Holding's second-quarter revenue rose 13.5%, below Raymond James' 19% estimate and the Street's 18% forecast, with weakness concentrated in U.S. wholesale where softer sell-through of everyday running products prompted the company to pull back sales to distributors. Wholesale sales grew just 5% versus 15% expected, while direct-to-consumer sales rose 26% and beat expectations. The company lowered its 2026 ex-currency growth outlook to the low-20% range from more than 23%, while maintaining reported revenue growth guidance of 15% to 18%, and raised its gross-margin outlook to above 65% from above 64.5%.
On Holding LtdWeaker-than-expected Q2 revenue and lowered growth outlook due to soft U.S. wholesale demand.
Raymond James Financial Inc.
