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Jefferies warns On Holding faces growth pressure amid cooling running market

1 report, 1 independent Updated Oct 23
AI-generated briefing. Brind wrote this from the reports listed below. It can be wrong. Each section says how much you can rely on it, and the sources are linked so you can check.

What happened

Some supportReported by 1 outlet

Jefferies warned that On Holding faces a tougher growth environment into 2027 due to weakening consumer demand and increased promotional activity. The report cited Deckers Outdoor Corp, the parent company of Hoka, as evidence, noting that Hoka's direct-to-consumer sales increased only 4% in the second quarter.

From proactiveinvestors.com

Why it matters

Some supportBrind's analysis of the reports

The slowdown in premium running demand, particularly in North America, suggests that even premium brands are vulnerable to discount-driven shopping. This trend puts pressure on On Holding, which is exposed because its lifestyle product range faces promotional pressure spreading from performance footwear.

From proactiveinvestors.com

Who's involved

  • HokaAthletic shoe company whose performance is cited as evidence of market cooling.
  • Deckers Outdoor CorporationParent company of Hoka, whose revenue stream is affected by market cooling.
  • NikeAmerican athletic equipment company whose rebuilding position is cited as a factor in On Holding's growth challenge.
  • North AmericaMarket segment where cooling consumer demand for premium running is observed.

Who could feel it

Possible knock-on effects

These are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.

  • HokaSpeculative

    Hoka could see its full-year growth outlook reduced due to slowing consumer demand and reduced DTC growth.

  • Deckers Outdoor CorporationSpeculative

    Deckers Outdoor Corporation may see its revenue stream affected by Hoka's slowing growth and vulnerability to market cooling.

  • NikeSpeculative

    Nike might gain market share or increase demand as competitors face cooling demand and promotional pressure.

  • North AmericaSpeculative

    North America could experience reduced demand for premium running footwear as consumers seek discounts.

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The entities involved

Coverage

Newest first; wire copies grouped