On Holding shares are soaring in Tuesday's pre-market trading after the athletic apparel brand unveiled new growth targets at its investor day. The company forecast sales growth in the high teens over the next several years and authorized its first share buyback, worth a billion dollars, running through 2029. On is pushing beyond running, tennis, training and outdoor sports into new categories including golf and football, a big bet that follows its signing of Killian Mbappé away from Nike. Management also pointed to an EBITDA margin of 22% by 2029. The stock was up 12% in the morning session, though it had been trading below its IPO price as of yesterday's close even as sales and margins stayed strong, a sentiment disconnect analysts attributed in part to industry-wide pressures such as tariffs, labor and material issues.
On Holding LtdOn authorized its first $1 billion share buyback and set high-teens growth and 22% EBITDA margin targets at its investor day.
Nike IncOn signed Killian Mbappé away from Nike and is expanding into new categories, intensifying competition for the athletic brand.
