Goldman Sachs upgraded On Holding AG to Buy from Neutral, arguing its shares have become an attractive entry point after a sharp de-rating over the past year. The bank raised its 12-month price target to $59, implying about 31% upside from the latest close. Analyst Richard Edwards cites strong growth momentum for the premium sportswear brand.

Goldman points to robust Q4 indicators, including a 102% year-on-year surge in Tmall sales in China, a reliable leading indicator for Asia-Pacific growth. The analyst also sees a structural tailwind from the global running trend, where On's heritage and premium positioning are well-suited to capture demand. The bank raised its Q4 constant-currency sales growth forecast to 36.2%.

Beyond near-term results, Goldman notes On's resilience, over-indexing to high-income consumers who are more insulated from economic weakness. The firm believes the market underestimates gross margin upside from pricing and mix benefits, which should outweigh U.S. tariff headwinds. This upgrade suggests Goldman sees a compelling risk/reward as the brand's growth trajectory accelerates.