Deckers (DECK) closed the most recent trading day at $389.83, moving -1.28% from the previous trading session. This change lagged the S&P 500’s daily gain of 0.96%. At the same time, the Dow added 0.61%, and the tech-heavy Nasdaq lost 0.04%.
Prior to today’s trading, shares of the maker of Ugg footwear had lost 6.72% over the past month. This has was narrower than the Consumer Discretionary sector’s loss of 7.97% and lagged the S&P 500’s loss of 0.21% in that time.
Deckers will be looking to display strength as it nears its next earnings release. In that report, analysts expect Deckers to post earnings of $8.25 per share. This would mark a year-over-year decline of 8.23%. Our most recent consensus estimate is calling for quarterly revenue of $1.18 billion, up 9.33% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $15.08 per share and revenue of $3.05 billion. These totals would mark changes of +11.95% and +19.82%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Deckers. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company’s business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Deckers currently has a Zacks Rank of #3 (Hold).
In terms of valuation, Deckers is currently trading at a Forward P/E ratio of 26.18. This represents a premium compared to its industry’s average Forward P/E of 21.65.
The Shoes and Retail Apparel industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 237, putting it in the bottom 7% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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