Deckers Outdoor Corporation Set for Earnings Report Amid Strong Stock Performance
Deckers Outdoor Corporation (DECK) is a leading company known for designing, marketing, and distributing innovative footwear and apparel. With a market capitalization of $31.3 billion, Deckers is recognized for its popular brands like UGG, HOKA, and Teva, which appeal to a wide range of consumers globally. Based in Goleta, California, the company will unveil its Q3 earnings on Thursday, February 6.
Analysts Anticipate Minor Earnings Dip in Q3
Analysts predict that DECK will report earnings of $2.49 per share, reflecting a 1.2% decrease from last year’s $2.52. Historically, Deckers has consistently outperformed Wall Street’s earnings per share (EPS) projections over the last four quarters. For example, in the previous quarter, the company’s adjusted earnings reached $1.59 per share, surpassing expectations by an impressive 30.3%. The company’s strong performance can be attributed to high demand for its brands, effective pricing strategies, and operational efficiencies.
Growth Prospects for Fiscal 2025
Looking ahead to fiscal 2025, analysts forecast EPS of $5.55, which marks a 14.2% increase compared to $4.86 in fiscal 2024.
Remarkable Stock Performance
Deckers’ stock has surged by 75% over the last year, greatly exceeding the S&P 500 Index’s 22.1% gain and the Consumer Discretionary Select Sector SPDR Fund’s 27.4% returns in the same timeframe.
Strong Q2 Earnings Boost Investor Confidence
Following the release of its Q2 2025 earnings on October 24, which surpassed Wall Street expectations for both revenue and profit, shares of Deckers soared over 10%. The company reported a 20.1% increase in net sales year-over-year to $1.3 billion. For fiscal year 2025, Deckers forecasts a 12% rise in net sales to $4.8 billion, along with a gross margin projected between 55% and 55.5%. However, these forecasts carry risks from potential economic conditions, supply chain issues, and geopolitical factors.
Analyst Ratings Reflect Positive Sentiment
The overall consensus on DECK stock is moderately bullish, currently rated as a “Moderate Buy.” Among the 20 analysts covering the stock, nine recommend a “Strong Buy,” two suggest a “Moderate Buy,” and nine advise a “Hold.” The average price target stands at $207.12, indicating a slight upside potential from where the stock is currently trading.
On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article are for informational purposes only. For more information, please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
