Shares of On Holding AG (ONON) took a surprising tumble in Wednesday's trading session, plummeting 5.06% despite a flurry of mostly positive analyst updates. The Swiss athletic footwear company's stock movement contradicted the generally optimistic outlook from Wall Street, leaving investors puzzled.

The day saw multiple prominent financial institutions raising their price targets for On Holding AG. UBS increased its target from $75 to $79, while Morgan Stanley upped its projection to $65 from $62. TD Cowen also joined the bullish chorus, lifting its target to $63 from $60. Raymond James and Barclays maintained their positive stance, reiterating Buy ratings with price targets of $66 and $69, respectively.

However, amidst this wave of optimism, Jefferies & Co struck a discordant note. The firm downgraded On Holding AG to Underperform from Hold and significantly lowered its price target to $40 from $50. This contrarian view appears to have overshadowed the positive sentiment, potentially triggering the sell-off. The stark contrast between Jefferies' bearish outlook and the broader market optimism highlights the current uncertainty surrounding On Holding AG's future performance, despite its average Buy rating and mean price target of $66.24 according to FactSet data.