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Analyzing the Quality Characteristics of DECKERS OUTDOOR CORP (NYSE:DECK).

By Mill Chart

Last update: Jun 25, 2024

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if DECKERS OUTDOOR CORP (NYSE:DECK) is suited for quality investing. Investors should of course do their own research, but we spotted DECKERS OUTDOOR CORP showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.


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Looking into the quality metrics of DECKERS OUTDOOR CORP

  • Over the past 5 years, DECKERS OUTDOOR CORP has experienced impressive revenue growth, with 16.24% increase. This demonstrates the company's ability to effectively expand its top line and suggests a positive outlook for future revenue generation.
  • With a robust ROIC excluding cash and goodwill at 83.21%, DECKERS OUTDOOR CORP showcases its effective allocation of capital and operational excellence. This metric signifies the company's ability to generate attractive returns and supports its long-term financial performance.
  • DECKERS OUTDOOR CORP maintains a healthy Debt/Free Cash Flow Ratio of 0.0, indicating a strong financial position and prudent debt management. This ratio suggests the company has sufficient free cash flow to cover its debt obligations and highlights its ability to generate cash from operations.
  • DECKERS OUTDOOR CORP demonstrates consistent Profit Quality over the past 5 years, with a strong 95.75%. This indicates the company's ability to generate sustainable and reliable profits, showcasing its long-term profitability and financial stability.
  • DECKERS OUTDOOR CORP has consistently achieved strong EBIT growth over the past 5 years, with a 23.42% increase. This underscores the company's effective management of its operating income and suggests a positive outlook for future profitability.
  • With EBIT 5-year growth outpacing its Revenue 5-year growth, DECKERS OUTDOOR CORP showcases its effective cost management and enhanced operational performance. This suggests the company's ability to generate higher earnings from its revenue streams.

How does the complete fundamental picture look for NYSE:DECK?

Every day, ChartMill assigns a Fundamental Rating to each stock, providing a score ranging from 0 to 10. This rating is determined by evaluating various fundamental indicators and properties.

DECK gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 51 industry peers in the Textiles, Apparel & Luxury Goods industry. DECK has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. DECK is valued quite expensive, but it does show an excellent growth. With these ratings, DECK could be worth investigating further for growth and quality investing!.

Check the latest full fundamental report of DECK for a complete fundamental analysis.

Our Caviar Cruise screen will find you more ideas suited for quality investing.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.

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