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Here's How Much You'd Have If You Invested $1000 in Deckers a Decade Ago
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How much a stock's price changes over time is a significant driver for most investors. Not only can price performance impact your portfolio, but it can help you compare investment results across sectors and industries as well.
The fear of missing out, or FOMO, also plays a factor in investing, especially with particular tech giants, as well as popular consumer-facing stocks.
What if you'd invested in Deckers (DECK - Free Report) ten years ago? It may not have been easy to hold on to DECK for all that time, but if you did, how much would your investment be worth today?
Deckers' Business In-Depth
With that in mind, let's take a look at Deckers' main business drivers.
Founded in 1973 and headquartered in Goleta, California, Deckers Outdoor Corporation is a leading designer, producer, and brand manager of innovative, niche footwear and accessories developed for outdoor sports, and other lifestyle-related activities. The company sell products primarily under five proprietary brands — UGG, HOKA, Teva, Sanuk, and Koolaburra.
Its products are sold through specialty domestic retailers, international distributors and directly to end-users through its websites and catalogs. The company sell directly to global consumers through Direct-to-Consumer (DTC) channel, which is comprised of e-commerce websites and retail stores. The brands are sold worldwide, including in the United States, Canada, Europe, Asia-Pacific and Latin America.
The UGG brand has proven to be a highly resilient line of premium footwear, apparel, and accessories with expanded product offerings. The company intends to continue diversifying the brand to drive year-round product sales, through expansion of women’s spring and summer footwear, men’s products, and apparel, home goods, and accessories. The HOKA brand is an authentic, premium line of year-round performance footwear and apparel. The Teva brand’s product line includes sandals, shoes, and boots. The Sanuk brand has manifested into a lifestyle brand with a presence in the relaxed casual shoe and sandal categories. The company's KOOLABURRA brand is a casual footwear fashion line using sheepskin and other plush materials.
Bottom Line
While anyone can invest, building a lucrative investment portfolio takes research, patience, and a little bit of risk. If you had invested in Deckers ten years ago, you're probably feeling pretty good about your investment today.
According to our calculations, a $1000 investment made in January 2013 would be worth $10,196.27, or a gain of 919.63%, as of January 30, 2023, and this return excludes dividends but includes price increases.
Compare this to the S&P 500's rally of 170.84% and gold's return of 10.50% over the same time frame.
Analysts are forecasting more upside for DECK too.
Shares of Deckers have risen and outpaced the industry in the past six months. The company put up another spectacular show in second-quarter fiscal 2023. The quarter marked the fourth straight positive sales and earnings surprise. Both the top and bottom lines grew year over year. Strength in HOKA brand contributed to the results. We believe that management’s focus on ramping up inventory, optimizing channel mix to fulfill consumer demand, scaling production to support the growth of brands and implementing targeted price increases should well position Deckers. Management reaffirmed its fiscal 2023 sales and earnings view. However, margins still remain an area to watch. Also, adverse exchange rates and geopolitical tensions remain concerns. Deckers expects foreign currency headwinds to impact second-half revenues by about $70 million.
The stock has jumped 6.85% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 2 higher, for fiscal 2022; the consensus estimate has moved up as well.
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Here's How Much You'd Have If You Invested $1000 in Deckers a Decade Ago
How much a stock's price changes over time is a significant driver for most investors. Not only can price performance impact your portfolio, but it can help you compare investment results across sectors and industries as well.
The fear of missing out, or FOMO, also plays a factor in investing, especially with particular tech giants, as well as popular consumer-facing stocks.
What if you'd invested in Deckers (DECK - Free Report) ten years ago? It may not have been easy to hold on to DECK for all that time, but if you did, how much would your investment be worth today?
Deckers' Business In-Depth
With that in mind, let's take a look at Deckers' main business drivers.
Founded in 1973 and headquartered in Goleta, California, Deckers Outdoor Corporation is a leading designer, producer, and brand manager of innovative, niche footwear and accessories developed for outdoor sports, and other lifestyle-related activities. The company sell products primarily under five proprietary brands — UGG, HOKA, Teva, Sanuk, and Koolaburra.
Its products are sold through specialty domestic retailers, international distributors and directly to end-users through its websites and catalogs. The company sell directly to global consumers through Direct-to-Consumer (DTC) channel, which is comprised of e-commerce websites and retail stores. The brands are sold worldwide, including in the United States, Canada, Europe, Asia-Pacific and Latin America.
The UGG brand has proven to be a highly resilient line of premium footwear, apparel, and accessories with expanded product offerings. The company intends to continue diversifying the brand to drive year-round product sales, through expansion of women’s spring and summer footwear, men’s products, and apparel, home goods, and accessories. The HOKA brand is an authentic, premium line of year-round performance footwear and apparel. The Teva brand’s product line includes sandals, shoes, and boots. The Sanuk brand has manifested into a lifestyle brand with a presence in the relaxed casual shoe and sandal categories. The company's KOOLABURRA brand is a casual footwear fashion line using sheepskin and other plush materials.
Bottom Line
While anyone can invest, building a lucrative investment portfolio takes research, patience, and a little bit of risk. If you had invested in Deckers ten years ago, you're probably feeling pretty good about your investment today.
According to our calculations, a $1000 investment made in January 2013 would be worth $10,196.27, or a gain of 919.63%, as of January 30, 2023, and this return excludes dividends but includes price increases.
Compare this to the S&P 500's rally of 170.84% and gold's return of 10.50% over the same time frame.
Analysts are forecasting more upside for DECK too.
Shares of Deckers have risen and outpaced the industry in the past six months. The company put up another spectacular show in second-quarter fiscal 2023. The quarter marked the fourth straight positive sales and earnings surprise. Both the top and bottom lines grew year over year. Strength in HOKA brand contributed to the results. We believe that management’s focus on ramping up inventory, optimizing channel mix to fulfill consumer demand, scaling production to support the growth of brands and implementing targeted price increases should well position Deckers. Management reaffirmed its fiscal 2023 sales and earnings view. However, margins still remain an area to watch. Also, adverse exchange rates and geopolitical tensions remain concerns. Deckers expects foreign currency headwinds to impact second-half revenues by about $70 million.
The stock has jumped 6.85% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 2 higher, for fiscal 2022; the consensus estimate has moved up as well.