ONON Falls 4.16% to 440th Trading Rank as Raymond James Cuts Rating and P/E Surpasses 77 Amid Rising Shorts

On Holding AG (ONON) fell 4.16% on July 31, 2025, with a trading volume of $0.34 billion, ranking 440th in market activity. Analysts at Raymond James downgraded the stock to "Outperform," citing near-term challenges despite its strong fundamentals. The company’s forward P/E ratio of 46.73 remains elevated, reflecting investor confidence in its growth potential amid a broader retail sector downturn.

Recent earnings guidance projected a 70% year-over-year EPS increase for Q4 2025, supported by improved consumer confidence, which analysts suggest could drive demand for premium athletic footwear. However, short interest in ONON rose 13.62% month-on-month, indicating growing bearish sentiment. The stock’s P/E ratio of 77.49 exceeds both the market and retail sector averages, raising concerns about overvaluation despite its 17.26% annual return.

Backtest results for a volume-weighted trading strategy showed a 166.71% return from 2022 to July 2025, outperforming the S&P 500 by 137.53%. This highlights ONON’s role in capturing market momentum, though its high leverage to retail sector dynamics and elevated short interest underscore near-term volatility risks.