DECKERS OUTDOOR CORP (DECK) Stock Fundamental Analysis
NYSE:DECK - New York Stock Exchange, Inc. - US2435371073 - Common Stock - Currency: USD
Overall DECK gets a fundamental rating of 7 out of 10. We evaluated DECK against 49 industry peers in the Textiles, Apparel & Luxury Goods industry. DECK scores excellent points on both the profitability and health parts. This is a solid base for a good stock. DECK has a correct valuation and a medium growth rate. These ratings could make DECK a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
In the past year DECK was profitable.
DECK had a positive operating cash flow in the past year.
Each year in the past 5 years DECK has been profitable.
DECK had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
DECK's Return On Assets of 27.06% is amongst the best of the industry. DECK outperforms 100.00% of its industry peers.
DECK's Return On Equity of 38.44% is amongst the best of the industry. DECK outperforms 91.67% of its industry peers.
The Return On Invested Capital of DECK (32.69%) is better than 100.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for DECK is significantly above the industry average of 11.45%.
The 3 year average ROIC (29.23%) for DECK is below the current ROIC(32.69%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 27.06% | ||
| ROE | 38.44% | ||
| ROIC | 32.69% |
ROA(3y)23.83%
ROA(5y)21.71%
ROE(3y)34.58%
ROE(5y)31.92%
ROIC(3y)29.23%
ROIC(5y)27.24%
1.3 Margins
DECK's Profit Margin of 19.38% is amongst the best of the industry. DECK outperforms 97.92% of its industry peers.
DECK's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 23.65%, DECK belongs to the best of the industry, outperforming 95.83% of the companies in the same industry.
DECK's Operating Margin has improved in the last couple of years.
The Gross Margin of DECK (57.88%) is better than 68.75% of its industry peers.
DECK's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.65% | ||
| PM (TTM) | 19.38% | ||
| GM | 57.88% |
OM growth 3Y9.57%
OM growth 5Y8.3%
PM growth 3Y10.54%
PM growth 5Y8.4%
GM growth 3Y4.29%
GM growth 5Y2.26%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), DECK is creating value.
The number of shares outstanding for DECK has been reduced compared to 1 year ago.
Compared to 5 years ago, DECK has less shares outstanding
There is no outstanding debt for DECK. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
An Altman-Z score of 13.10 indicates that DECK is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 13.10, DECK belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
DECK has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 13.1 |
ROIC/WACC3.21
WACC10.17%
2.3 Liquidity
DECK has a Current Ratio of 3.72. This indicates that DECK is financially healthy and has no problem in meeting its short term obligations.
DECK's Current ratio of 3.72 is amongst the best of the industry. DECK outperforms 91.67% of its industry peers.
A Quick Ratio of 3.07 indicates that DECK has no problem at all paying its short term obligations.
The Quick ratio of DECK (3.07) is better than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.72 | ||
| Quick Ratio | 3.07 |
3. Growth
3.1 Past
DECK shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 29.94%, which is quite impressive.
DECK shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 31.31% yearly.
Looking at the last year, DECK shows a quite strong growth in Revenue. The Revenue has grown by 16.28% in the last year.
The Revenue has been growing by 18.51% on average over the past years. This is quite good.
EPS 1Y (TTM)29.94%
EPS 3Y32.67%
EPS 5Y31.31%
EPS Q2Q%21.21%
Revenue 1Y (TTM)16.28%
Revenue growth 3Y16.53%
Revenue growth 5Y18.51%
Sales Q2Q%6.46%
3.2 Future
DECK is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.07% yearly.
The Revenue is expected to grow by 7.56% on average over the next years.
EPS Next Y-1.52%
EPS Next 2Y4.04%
EPS Next 3Y7.63%
EPS Next 5Y9.07%
Revenue Next Year8.6%
Revenue Next 2Y8.23%
Revenue Next 3Y8.98%
Revenue Next 5Y7.56%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 16.75 indicates a correct valuation of DECK.
Based on the Price/Earnings ratio, DECK is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of DECK to the average of the S&P500 Index (27.45), we can say DECK is valued slightly cheaper.
With a Price/Forward Earnings ratio of 17.00, DECK is valued on the expensive side.
Compared to the rest of the industry, the Price/Forward Earnings ratio of DECK is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 21.90. DECK is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.75 | ||
| Fwd PE | 17 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as DECK.
Based on the Price/Free Cash Flow ratio, DECK is valued a bit cheaper than the industry average as 64.58% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.56 | ||
| EV/EBITDA | 11.2 |
4.3 Compensation for Growth
DECK has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.54
EPS Next 2Y4.04%
EPS Next 3Y7.63%
5. Dividend
5.1 Amount
DECK does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
106.2
-0.06 (-0.06%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners101.61%
Inst Owner Change4.07%
Ins Owners0.61%
Ins Owner Change-6.93%
Market Cap15.87B
Analysts76
Price Target130.24 (22.64%)
Short Float %4.16%
Short Ratio1.88
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)38.93%
Min EPS beat(2)15%
Max EPS beat(2)62.86%
EPS beat(4)4
Avg EPS beat(4)32.81%
Min EPS beat(4)15%
Max EPS beat(4)62.86%
EPS beat(8)8
Avg EPS beat(8)35.68%
EPS beat(12)12
Avg EPS beat(12)29.77%
EPS beat(16)15
Avg EPS beat(16)210.52%
Revenue beat(2)1
Avg Revenue beat(2)1.58%
Min Revenue beat(2)-0.41%
Max Revenue beat(2)3.58%
Revenue beat(4)3
Avg Revenue beat(4)2.53%
Min Revenue beat(4)-0.41%
Max Revenue beat(4)6.79%
Revenue beat(8)6
Avg Revenue beat(8)4.07%
Revenue beat(12)10
Avg Revenue beat(12)4.74%
Revenue beat(16)12
Avg Revenue beat(16)5.14%
PT rev (1m)-25.32%
PT rev (3m)-42.66%
EPS NQ rev (1m)-16.61%
EPS NQ rev (3m)-17.85%
EPS NY rev (1m)-5.05%
EPS NY rev (3m)-8.13%
Revenue NQ rev (1m)-3.52%
Revenue NQ rev (3m)-4.01%
Revenue NY rev (1m)-1.43%
Revenue NY rev (3m)-2.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.75 | ||
| Fwd PE | 17 | ||
| P/S | 3.18 | ||
| P/FCF | 16.56 | ||
| P/OCF | 15.19 | ||
| P/B | 6.32 | ||
| P/tB | 6.39 | ||
| EV/EBITDA | 11.2 |
EPS(TTM)6.34
EY5.97%
EPS(NY)6.25
Fwd EY5.88%
FCF(TTM)6.41
FCFY6.04%
OCF(TTM)6.99
OCFY6.58%
SpS33.36
BVpS16.82
TBVpS16.62
PEG (NY)N/A
PEG (5Y)0.54
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 27.06% | ||
| ROE | 38.44% | ||
| ROCE | 42.11% | ||
| ROIC | 32.69% | ||
| ROICexc | 100.48% | ||
| ROICexgc | 103.87% | ||
| OM | 23.65% | ||
| PM (TTM) | 19.38% | ||
| GM | 57.88% | ||
| FCFM | 19.22% |
ROA(3y)23.83%
ROA(5y)21.71%
ROE(3y)34.58%
ROE(5y)31.92%
ROIC(3y)29.23%
ROIC(5y)27.24%
ROICexc(3y)75.95%
ROICexc(5y)68.18%
ROICexgc(3y)79.12%
ROICexgc(5y)71.99%
ROCE(3y)37.65%
ROCE(5y)35.08%
ROICexcg growth 3Y28.26%
ROICexcg growth 5Y24.35%
ROICexc growth 3Y29.34%
ROICexc growth 5Y25.51%
OM growth 3Y9.57%
OM growth 5Y8.3%
PM growth 3Y10.54%
PM growth 5Y8.4%
GM growth 3Y4.29%
GM growth 5Y2.26%
F-Score9
Asset Turnover1.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 124.25% | ||
| Cap/Sales | 1.73% | ||
| Interest Coverage | 659.08 | ||
| Cash Conversion | 83.67% | ||
| Profit Quality | 99.2% | ||
| Current Ratio | 3.72 | ||
| Quick Ratio | 3.07 | ||
| Altman-Z | 13.1 |
F-Score9
WACC10.17%
ROIC/WACC3.21
Cap/Depr(3y)149.58%
Cap/Depr(5y)129.44%
Cap/Sales(3y)2.02%
Cap/Sales(5y)1.79%
Profit Quality(3y)103.92%
Profit Quality(5y)97.21%
High Growth Momentum
Growth
EPS 1Y (TTM)29.94%
EPS 3Y32.67%
EPS 5Y31.31%
EPS Q2Q%21.21%
EPS Next Y-1.52%
EPS Next 2Y4.04%
EPS Next 3Y7.63%
EPS Next 5Y9.07%
Revenue 1Y (TTM)16.28%
Revenue growth 3Y16.53%
Revenue growth 5Y18.51%
Sales Q2Q%6.46%
Revenue Next Year8.6%
Revenue Next 2Y8.23%
Revenue Next 3Y8.98%
Revenue Next 5Y7.56%
EBIT growth 1Y26.01%
EBIT growth 3Y27.68%
EBIT growth 5Y28.34%
EBIT Next Year9.28%
EBIT Next 3Y9.84%
EBIT Next 5Y7.28%
FCF growth 1Y1.54%
FCF growth 3Y99.15%
FCF growth 5Y30.43%
OCF growth 1Y1.1%
OCF growth 3Y82.32%
OCF growth 5Y29.54%