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Bull of the Day: Dick's Sporting Goods (DKS)

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In the post-COVID world, the last place I would look for a great stock is in retail. I mean, it’s pretty obvious that shut-downs would put companies like this on the back foot. They would be reeling for weeks, months, possibly even years, trying to fight back and earn all those lost dollars. So, it was so surprising for me to find that one of these stocks was not only ranked a Zacks Rank #1 (Strong Buy), but that they were positioned to make a mighty come back.

Today’s Bull of the Day is Zacks Rank #1 (Strong Buy) Dick’s Sporting Goods (DKS - Free Report) . DICK'S Sporting Goods, Inc., together with its subsidiaries, operates as a sporting goods retailer primarily in the eastern United States. It provides hardlines, including sporting goods equipment, fitness equipment, golf equipment, and hunting and fishing gear products; apparel; and footwear and accessories. The company also owns and operates Golf Galaxy, Field & Stream, and other specialty concept stores; and e-commerce websites, as well as GameChanger, a youth sports mobile app for scheduling, communications, and live scorekeeping. As of August 01, 2020, it operated 726 DICK'S Sporting Goods stores. 

The reason for the favorable Zacks Rank lies within the series of recent earnings estimates to the upside from analysts all over Wall Street. DKS is in the Retail – Miscellaneous industry which ranks in the Top 18% of our Zacks Industry Rank. In addition to the favorable rank. Dick’s also features a Zacks Momentum Style Score of A and a VGM Composite Score of B.

The rank is so good because over the last week 10 analysts have increased their earnings estimates for the current year as well as next year. The bullish sentiment has pushed up our Zacks Consensus Estimate for next year from $3.92 to $5.85, while next year’s number is up from $4.19 to $5.01.

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