Is On Holding (ONON) a Buy as Wall Street Analysts Look Optimistic?

While On Holding (ONON) has a strong buy-equivalent average brokerage recommendation (ABR) of 1.52 from 25 firms, the article cautions that brokerage recommendations are often biased due to institutional conflicts of interest. The Zacks Rank, a quantitative model based on earnings estimate revisions, provides a more reliable indicator. On Holding's consensus earnings estimate has declined 2.1% over the past month, resulting in a Zacks Rank #5 (Strong Sell) rating, suggesting investors should be skeptical of the positive brokerage consensus.