DECKERS OUTDOOR CORP (DECK) Stock Fundamental Analysis
NYSE:DECK - New York Stock Exchange, Inc. - US2435371073 - Common Stock - Currency: USD
DECK gets a fundamental rating of 8 out of 10. The analysis compared the fundamentals against 50 industry peers in the Textiles, Apparel & Luxury Goods industry. DECK gets an excellent profitability rating and is at the same time showing great financial health properties. DECK is not priced too expensively while it is growing strongly. Keep and eye on this one! With these ratings, DECK could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
In the past year DECK was profitable.
In the past year DECK had a positive cash flow from operations.
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 23.77% is amongst the best of the industry. DECK outperforms 96.00% of its industry peers.
DECK has a better Return On Equity (35.81%) than 90.00% of its industry peers.
The Return On Invested Capital of DECK (30.64%) is better than 96.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for DECK is significantly above the industry average of 13.61%.
The last Return On Invested Capital (30.64%) for DECK is above the 3 year average (26.50%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 23.77% | ||
| ROE | 35.81% | ||
| ROIC | 30.64% |
ROA(3y)21.27%
ROA(5y)19.42%
ROE(3y)31.56%
ROE(5y)29.08%
ROIC(3y)26.5%
ROIC(5y)24.27%
1.3 Margins
DECK's Profit Margin of 19.14% is amongst the best of the industry. DECK outperforms 96.00% of its industry peers.
DECK's Profit Margin has improved in the last couple of years.
DECK has a Operating Margin of 23.51%. This is amongst the best in the industry. DECK outperforms 92.00% of its industry peers.
In the last couple of years the Operating Margin of DECK has grown nicely.
DECK has a better Gross Margin (57.79%) than 70.00% of its industry peers.
DECK's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.51% | ||
| PM (TTM) | 19.14% | ||
| GM | 57.79% |
OM growth 3Y2.13%
OM growth 5Y6.18%
PM growth 3Y5.63%
PM growth 5Y6.25%
GM growth 3Y1.01%
GM growth 5Y1.56%
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.
The number of shares outstanding for DECK has been reduced compared to 5 years ago.
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
DECK has an Altman-Z score of 10.96. This indicates that DECK is financially healthy and has little risk of bankruptcy at the moment.
DECK has a better Altman-Z score (10.96) than 100.00% of its industry peers.
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 | 10.96 |
ROIC/WACC3.08
WACC9.96%
2.3 Liquidity
A Current Ratio of 3.17 indicates that DECK has no problem at all paying its short term obligations.
DECK's Current ratio of 3.17 is amongst the best of the industry. DECK outperforms 90.00% of its industry peers.
DECK has a Quick Ratio of 2.61. This indicates that DECK is financially healthy and has no problem in meeting its short term obligations.
DECK's Quick ratio of 2.61 is amongst the best of the industry. DECK outperforms 96.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.17 | ||
| Quick Ratio | 2.61 |
3. Growth
3.1 Past
DECK shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 33.13%, which is quite impressive.
Measured over the past years, DECK shows a very strong growth in Earnings Per Share. The EPS has been growing by 27.07% on average per year.
Looking at the last year, DECK shows a quite strong growth in Revenue. The Revenue has grown by 19.52% in the last year.
Measured over the past years, DECK shows a quite strong growth in Revenue. The Revenue has been growing by 16.24% on average per year.
EPS 1Y (TTM)33.13%
EPS 3Y29.55%
EPS 5Y27.07%
EPS Q2Q%19.13%
Revenue 1Y (TTM)19.52%
Revenue growth 3Y18.98%
Revenue growth 5Y16.24%
Sales Q2Q%17.1%
3.2 Future
Based on estimates for the next years, DECK will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.73% on average per year.
Based on estimates for the next years, DECK will show a quite strong growth in Revenue. The Revenue will grow by 11.48% on average per year.
EPS Next Y23.48%
EPS Next 2Y18.09%
EPS Next 3Y16.81%
EPS Next 5Y13.73%
Revenue Next Year17.82%
Revenue Next 2Y14.09%
Revenue Next 3Y12.72%
Revenue Next 5Y11.48%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 17.13, the valuation of DECK can be described as rather expensive.
DECK's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of DECK to the average of the S&P500 Index (28.29), we can say DECK is valued slightly cheaper.
DECK is valuated correctly with a Price/Forward Earnings ratio of 15.52.
DECK's Price/Forward Earnings ratio is in line with the industry average.
DECK is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 21.08, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.13 | ||
| Fwd PE | 15.52 |
4.2 Price Multiples
DECK's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as DECK.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.98 | ||
| EV/EBITDA | 11.26 |
4.3 Compensation for Growth
DECK's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
DECK has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as DECK's earnings are expected to grow with 16.81% in the coming years.
PEG (NY)0.73
PEG (5Y)0.63
EPS Next 2Y18.09%
EPS Next 3Y16.81%
5. Dividend
5.1 Amount
No dividends for DECK!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
105.67
+2.65 (+2.57%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners96.4%
Inst Owner Change-0.01%
Ins Owners0.69%
Ins Owner Change-5.38%
Market Cap16.04B
Analysts77.24
Price Target222.91 (110.95%)
Short Float %3.38%
Short Ratio1.6
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)20.5%
Min EPS beat(2)15%
Max EPS beat(2)25.99%
EPS beat(4)4
Avg EPS beat(4)34.12%
Min EPS beat(4)15%
Max EPS beat(4)68.08%
EPS beat(8)8
Avg EPS beat(8)31.2%
EPS beat(12)12
Avg EPS beat(12)31.75%
EPS beat(16)15
Avg EPS beat(16)211.65%
Revenue beat(2)2
Avg Revenue beat(2)5.18%
Min Revenue beat(2)3.58%
Max Revenue beat(2)6.79%
Revenue beat(4)4
Avg Revenue beat(4)4.13%
Min Revenue beat(4)0.15%
Max Revenue beat(4)6.79%
Revenue beat(8)7
Avg Revenue beat(8)4.96%
Revenue beat(12)11
Avg Revenue beat(12)5.85%
Revenue beat(16)13
Avg Revenue beat(16)6.78%
PT rev (1m)-1.87%
PT rev (3m)9.4%
EPS NQ rev (1m)-1.34%
EPS NQ rev (3m)-21.31%
EPS NY rev (1m)0.04%
EPS NY rev (3m)6.65%
Revenue NQ rev (1m)-0.58%
Revenue NQ rev (3m)-5.64%
Revenue NY rev (1m)-0.1%
Revenue NY rev (3m)1.3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.13 | ||
| Fwd PE | 15.52 | ||
| P/S | 3.26 | ||
| P/FCF | 15.98 | ||
| P/OCF | 14.73 | ||
| P/B | 6.1 | ||
| P/tB | 6.17 | ||
| EV/EBITDA | 11.26 |
EPS(TTM)6.17
EY5.84%
EPS(NY)6.81
Fwd EY6.44%
FCF(TTM)6.61
FCFY6.26%
OCF(TTM)7.17
OCFY6.79%
SpS32.44
BVpS17.33
TBVpS17.14
PEG (NY)0.73
PEG (5Y)0.63
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 23.77% | ||
| ROE | 35.81% | ||
| ROCE | 39.49% | ||
| ROIC | 30.64% | ||
| ROICexc | 130.07% | ||
| ROICexgc | 135.93% | ||
| OM | 23.51% | ||
| PM (TTM) | 19.14% | ||
| GM | 57.79% | ||
| FCFM | 20.39% |
ROA(3y)21.27%
ROA(5y)19.42%
ROE(3y)31.56%
ROE(5y)29.08%
ROIC(3y)26.5%
ROIC(5y)24.27%
ROICexc(3y)57.82%
ROICexc(5y)54.45%
ROICexgc(3y)60.8%
ROICexgc(5y)58.11%
ROCE(3y)34.15%
ROCE(5y)31.27%
ROICexcg growth 3Y4.44%
ROICexcg growth 5Y11.35%
ROICexc growth 3Y6.21%
ROICexc growth 5Y12.97%
OM growth 3Y2.13%
OM growth 5Y6.18%
PM growth 3Y5.63%
PM growth 5Y6.25%
GM growth 3Y1.01%
GM growth 5Y1.56%
F-Score9
Asset Turnover1.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 125.77% | ||
| Cap/Sales | 1.73% | ||
| Interest Coverage | 692.76 | ||
| Cash Conversion | 88.87% | ||
| Profit Quality | 106.54% | ||
| Current Ratio | 3.17 | ||
| Quick Ratio | 2.61 | ||
| Altman-Z | 10.96 |
F-Score9
WACC9.96%
ROIC/WACC3.08
Cap/Depr(3y)147.82%
Cap/Depr(5y)121.27%
Cap/Sales(3y)1.98%
Cap/Sales(5y)1.74%
Profit Quality(3y)79.8%
Profit Quality(5y)95.75%
High Growth Momentum
Growth
EPS 1Y (TTM)33.13%
EPS 3Y29.55%
EPS 5Y27.07%
EPS Q2Q%19.13%
EPS Next Y23.48%
EPS Next 2Y18.09%
EPS Next 3Y16.81%
EPS Next 5Y13.73%
Revenue 1Y (TTM)19.52%
Revenue growth 3Y18.98%
Revenue growth 5Y16.24%
Sales Q2Q%17.1%
Revenue Next Year17.82%
Revenue Next 2Y14.09%
Revenue Next 3Y12.72%
Revenue Next 5Y11.48%
EBIT growth 1Y30.08%
EBIT growth 3Y21.51%
EBIT growth 5Y23.42%
EBIT Next Year35.07%
EBIT Next 3Y19.25%
EBIT Next 5Y12.51%
FCF growth 1Y181.1%
FCF growth 3Y18.72%
FCF growth 5Y23.36%
OCF growth 1Y157.49%
OCF growth 3Y20.11%
OCF growth 5Y23.51%