Need some input with ON Running shoes (@ONON)

7th Jul by N0vice1Nvest0r

10 comments 439 reads

This appears to be a shoe/trainer that is gaining popularity between the younger generation so im trying to do a deeper dive. Buying the stock rather than buying the product. With Nike seeing a dip (possibly at a bargain price), is ON Running actually a decent trainer, are they worth the top end price? or just a fad/phase?

Does anyone own a pair? Are they value for money? Are they actually a god quality shoe for support and comfort? Ive heard that Skechers/Crocs that whilst being comfortable can also be impractical for support of the foot and lead to poor ankle support and twisted ankles. (I may have heard wrong, or been misled!) Is it the same with ON trainers?

Goldman Sachs recently raised their BUY verdict and changed their target from $41 to $47. Which is ~20% above its current value, Im trying to see if its price is currently of good value. It has a good balance sheet and a nice little bag of cash.

Any input would be greatly appreciated.

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SCI20

7th Jul

I own 2 pairs and they are a quality product that currently have a very strong brand presence. Lightweight and extremely comfortable. Launched as a running shoe they are very much a high end fashion trainer with high street visibility.

GloucesterBob

My son-in-law is a rather serious runner, think, iron-man, 100 mile Cotwolds Way. He highly rates the ON shoe.

N0vice1Nvest0r

Nice one, decent balance sheet and nice target price. Tempted to have a little dabble. Never know if they're so good, they may get bought out.

Good to know that theyre not just a flash in the pan and decent quality.

Irishmanabroad

8th Jul

They are a Swiss based company and very popular in Switzerland, however they have had very average reviews in Swiss consumers affairs magazines, the reviews are mostly in German and I do not have them to hand but a google search on saldo and on running ought to help....

jimrog64

I am an ultra distance runner and a few running friends use ON shoes and rate them highly. My partner does shorter stuff : parkruns and short trail runs. She has been very pleased with ON shoes and they have lasted well.

The skeptic in me wonders if the "very average reviews" are sponsored/backed by other brands so people won't leave the Nikes/Adidas/Reebok etc. It won't all be that as some people will have problems with them due to their own issues.

But this is where I believe that *should* this not just be a flash in the pan, it could follow the likes of Oakley. A sunglasses competitor that was setting new standards/styles and then got bought out and slowly went out of fashion/style.

This is mainly a bit of market research as I think they're a little pricey. However, if the overall feeling is positive and the balance sheet reads well, along with a good price target from GS, I'm now tempted to dive in and see how we go.

The negatives/reservations I have are;

1) How many of the ones you see on the street are legit? Not part of the huge Chinese fake replica market.

2) Ive heard that On Holding AG (NYQ:ONON) along with Skechers USA (NYQ:SKX) and Crocs (NSQ:CROX) aren't as stable as other trusted brands. Meaning they're too soft on the heel and can lead to poor walking/running form and minor injuries like sprains and strains. (This is why I wanted to learn more).

Rusty2

Loads of bad reviews on Trustpilot. Mostly about faults and poor customer service.

In a review in the US, these don't seem to be too soft, only the Cloudmonster is on the softer side.

bsharman

I understand that ON trainers are partially owned by Roger Federer (3%) - I wouldn't say they are a fad, but there is so much competition in the same space. I'm a runner and most runners now buy specialist running shoes from ON, Brooks and Hoka - although Nike and Asics and Adidas are still fairly popular.

Lefty99

I do try and follow popular trends, so I have been looking at Deckers Outdoor (NYQ:DECK) who own the HOKA brand. Up over 400% in the last 5 years so I think I need to be spotting earlier.

johnsmith68

Sat 9:48pm

Hi N0vice1Nvest0r. I started looking at On Holding AG (NYQ:ONON) today as a potential investment after reading a positive news article about the brand and its association with some Olympic athletes. I was impressed with the look of the shoes on the website and was actually close to ordering a pair to try out until I saw the Trustpilot reviews. I'm pretty shocked by the levels of dissatisfaction although I also wonder if some are generated by the incumbent brands to trash the upstart. I guess it's also true that most people having a great experience won't bother to leave a review on Trustpilot and so it's negatively skewed but nonetheless, there does seem to be a consistency in the grievances.
I plan to do a little more digging and research the financials before I jump in but if they are able to compete effectively with the big players, they may be onto something.

Need some input with ON Running shoes (@ONON)

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N0vice1Nvest0r

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