ONON growth is decelerating; valuation at P/E 20 depends on future growth rates, with risk of further slowdown.

Some comments on on the sportsware brand from Switzerland.

Let's start with on on stock on holding. And uh even a few days ago, my wife said, "What's going on with Onon?" the biggest tragedy is that Roger Federer is not a billionaire anymore.

I don't know what he's doing, how he will manage to cope with that. He's just a poor multi-und millionaires.

But he's also changing shoes from on on. So there's something going on with the brand.

We have a recent fashion listing. That's always something to think about. a few years down then up booming and now significantly down which means growth is decelerating. P ratio of 20.

I've looked a little bit at the situation and net sales are still growing but not at the higher rates.

And something very important with fashion businesses. Whenever US sales starts to stagnate, analysts panic and then it is like an annunciation of what will happen next globally and that is terrible for the stock at first.

And we can see here huge growth rates 20 30 and now we are at 13. What's going on with new fashion brands? Those are cool until those aren't. And they can develop in a niche market and then they start to grow bigger and that is very very risky.

Anyway, people change. Rich roll goes Stephen Curry goes it isn't as it was and that is a huge risk. Same thing can happen to on on

then I look a little bit the numbers booming reaching the three billion situation good profit margin everything looks good then the sales start to go lower and the question is will on grow with a P ratio of 20 if they grow 10% it's okay if they grow higher 20% then it is cheap

the analysts are concerned on slowing sales because if that repeats goes lower and lower then it gets very ugly. Some analysts say buy constructive capacity for future growth but some say lower targets no visibility let's see if they can scale.

The analyst estimates are positive growing earnings over time. But you can see analyst as the stock price goes lower then after it happens they adjust their stock prices and now they have started adjusting.

So if there is an more decline slowdown they will adjust following but everyone sees it as a good buy except one as a strong sell.