Deckers Brands Proving Popular

Apparel company DECK designs, markets, and distributes everyday footwear and apparel products. The company has grown globally as its products have proven popular across a range of consumer demographics. DECK has also shown a commitment to product innovation, and its direct-to-consumer channel is driving revenue growth.

Financially, DECK’s last earnings report showed the company grew revenue to over $1.3 billion, which is a year-over-year change of 20.1%. As for earnings, Deckers’ per-share earnings came in at $1.59 in its last reported quarter, which was a jump over the previous EPS of $1.14. The consensus estimate for Deckers’ sales and EPS suggests growth of 13.6% and 12.6%, respectively, from a year prior.

It’s no wonder DECK shares are up 80% this year – and they could rise more. MAPsignals data shows how Big Money investors are betting heavily on the forward picture of the stock.

Big Money All Over Deckers

Institutional volumes reveal plenty. Recently, DECK has enjoyed strong investor demand, which we believe to be institutional support.

Each green bar signals unusually large volumes in DECK shares. They reflect our proprietary inflow signal, pushing the stock higher:

Plenty of discretionary names are under accumulation right now. But there’s a powerful fundamental story happening with Deckers.

Deckers Fundamental Analysis

Institutional support and a healthy fundamental backdrop make this company worth investigating. As you can see, DECK has had strong sales and earnings growth:

• 3-year sales growth rate (+19%)
• 3-year earnings growth rate (+29.9%)

Source: FactSet

Also, EPS is estimated to ramp higher this year by +13.8%.

Now it makes sense why the stock has been powering to new heights. DECK has a track record of strong financial performance.

Marrying great fundamentals with our proprietary software has found some big winning stocks over the long term.

Deckers has been a top-rated stock at MAPsignals. That means the stock has unusual buy pressure and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

It’s made the rare Top 20 report multiple times in the last five years. The blue bars below show when DECK was a top pick…with shares rising over time:

Tracking unusual volumes reveals the power of money flows.

This is a trait that most outlier stocks exhibit…the best of the best. Big Money demand drives stocks upward.

Deckers Price Prediction

The DECK rally isn’t new at all. Big Money buying in the shares is signaling to take notice. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no position in DECK at the time of publication.

If you are a Registered Investment Advisor (RIA) or are a serious investor, take your investing to the next level, learn more about the MAPsignals process here.