On Holding AGONON +4.81%85 3-Year RORE % is 25.23 as of Mar. 2026. GuruFocus rates ONON with a GF Score™ of 85/100 and a GF Value™ of $62.84 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 1,003 Manufacturing - Apparel & Accessories companies, On Holding AG ranks better than 68.99% on this metric.
Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments.
On Holding AG's 3-Year RORE % for the quarter that ended in Mar. 2026 was 25.23%.
The industry rank for On Holding AG's 3-Year RORE % or its related term are showing as below:
On Holding AG (NYSE:ONON) 3-Year RORE % Explanation
Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.
There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 3-year period is chosen.
Be Aware
Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.
On Holding AG 3-Year RORE % Related Terms
On Holding AG 3-Year RORE % Historical Data
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The historical data trend for On Holding AG's 3-Year RORE % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
ONON vs DECK, BIRK, CROX: 3-Year RORE % Comparison
For the Footwear & Accessories subindustry, On Holding AG's 3-Year RORE %, along with its competitors' market caps and 3-Year RORE % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
On Holding AG 3-Year RORE % vs Manufacturing - Apparel & Accessories Industry
For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, On Holding AG's 3-Year RORE % distribution charts can be found below:
* The bar in red indicates where On Holding AG's 3-Year RORE % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of 3-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Mar. 2026 and 3-year before.
On Holding AG (ONON) has a 3-Year RORE % of 25.23 as of Mar. 2026. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on On Holding AG and its competitors. According to the industry distribution chart, On Holding AG ranks #311 out of 1003 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 31%.
Is On Holding AG's 3-Year RORE % too high?
On Holding AG's current 3-Year RORE % is 25.23. The Manufacturing - Apparel & Accessories industry median 3-Year RORE % is 2.53. On Holding AG's value of 25.23 is 897.2% above this industry median. Based on the distribution chart, On Holding AG ranks #311 out of 1003 companies in the Manufacturing - Apparel & Accessories industry, which is above the industry midpoint. Overall, On Holding AG has a GF Score™ of 85/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does On Holding AG's 3-Year RORE % compare to DECK and BIRK?
According to the Manufacturing - Apparel & Accessories industry distribution chart, On Holding AG ranks #311 out of 1003 companies for 3-Year RORE %. This puts On Holding AG in the upper half of its industry. The industry median 3-Year RORE % is 2.53. On Holding AG's value of 25.23 is 897.2% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year RORE % for a Manufacturing - Apparel & Accessories company?
The median 3-Year RORE % among Manufacturing - Apparel & Accessories companies is 2.53, based on 1,003 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year RORE % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year RORE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. On Holding AG's current 3-Year RORE % of 25.23 is 897.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year RORE % mean?
A high 3-Year RORE % can signal that a stock is expensive relative to its fundamentals. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on On Holding AG and its competitors. For the Manufacturing - Apparel & Accessories industry, the median 3-Year RORE % is 2.53 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. On Holding AG's current 3-Year RORE % is 25.23. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is On Holding AG stock overvalued right now?
Based on GuruFocus' analysis, On Holding AG (ONON) is currently considered Significantly Undervalued. The stock's GF Value™ is $62.84, compared to a current price of $38.54 — trading 38.7% below its estimated fair value. The current 3-Year RORE % is 25.23 and 897.2% above the Manufacturing - Apparel & Accessories industry median of 2.53. On Holding AG's overall GF Score™ is 85/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year RORE % calculated?
3-Year RORE % is calculated from a company's financial statements. For On Holding AG (ONON), the current 3-Year RORE % is 25.23 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is On Holding AG (ONON) Overvalued in 2026?
Based on GuruFocus' analysis, On Holding AG stock appears to be undervalued.
The current stock price of $38.54 is trading 38.7% below its estimated GF Value™ of $62.84.
GuruFocus considers On Holding AG to be Significantly Undervalued.
Key valuation signals for ONON:
3-Year RORE %: 25.23
GF Value™: $62.84 vs. price of $38.54 (38.7% below fair value)
Industry Position: 897.2% above the Manufacturing - Apparel & Accessories median (#311 of 1003)
No single metric tells the full story. See the ONON stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in Switzerland in 2010, sportswear firm On Holding generates more than 90% of its sales from athletic shoes. The brand is best known for its running shoes and its distinctive CloudTec soles. On also produces athletic apparel (6% of 2025 sales) and accessories (1%). The firm's merchandise is available in more than 80 countries and is sold through both wholesale (58% of sales) and company-owned channels (42%). In 2025, On generated 58% of its sales in North America, 25% in Europe, the Middle East, and Africa, and 17% in the Asia-Pacific region.
85GF Score
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