For most investors, how much a stock's price changes over time is important. This factor can impact your investment portfolio as well as help you compare investment results across sectors and industries.

Another thing that can drive investing is the fear of missing out, or FOMO. This particularly applies to tech giants and popular consumer-facing stocks.

What if you'd invested in Dick's Sporting Goods (DKS Quick QuoteDKS - Free Report) ten years ago? It may not have been easy to hold on to DKS for all that time, but if you did, how much would your investment be worth today?

Dick's Sporting Goods' Business In-Depth

With that in mind, let's take a look at Dick's Sporting Goods' main business drivers.

DICK’S Sporting Goods Inc. was founded in 1948 in New York under the labels Dick's Clothing and Sporting Goods, Inc. It was earlier reincorporated as a Delaware corporation and changed our name to Dick's Sporting Goods, Inc. in April 1999. The company’s executive office is located in Coraopolis, Pennsylvania.

The company operates as a major omni-channel sporting goods retailer, offering athletic shoes, apparel, accessories and a broad selection of outdoor and athletic equipment for team sports, fitness, camping, fishing, tennis, golf, water sports, etc.

DICK’S Sporting offers these items through a blend of associates, in-store services and unique specialty shop-in-shops. DICK’S Sporting also owns operates Golf Galaxy and Field & Stream stores as well as Team Sports HQ. It also operates all-in-one youth sports digital platform, which offer scheduling, communications and live scorekeeping via the GameChanger mobile apps, free league management services, custom uniforms and fan wear.

The company also operates through its e-commerce websites and catalog operations. The company operates 4 kinds of stores – a) single-level DICK’S Sporting stores of approximately 50,000 square feet, b) two-level DICK’S Sporting store of approximately 80,000 square feet, c) DICK’S Sporting stores for smaller markets of about 35,000–40,000 square feet, and d) 13,000–18,000 square feet Golf Galaxy stores.

DICK’s Sporting stocks nationally recognized brands such as Callaway Golf, adidas, TaylorMade-adidas Golf, The North Face, Asics, Under Armour, Nike, Columbia and Remington.

Bottom Line

Anyone can invest, but building a successful investment portfolio requires research, patience, and a little bit of risk. So, if you had invested in Dick's Sporting Goods ten years ago, you're likely feeling pretty good about your investment today.

A $1000 investment made in December 2013 would be worth $2,590.86, or a 159.09% gain, as of December 5, 2023, according to our calculations. Investors should note that this return excludes dividends but includes price increases.

The S&P 500 rose 154.89% and the price of gold increased 58.80% over the same time frame in comparison.

Analysts are forecasting more upside for DKS too.

Shares of DICK’S Sporting have outperformed the industry in the past three months. The company has been gaining from strong back-to-school season and continued market share gains. This led to a robust top-line performance in third-quarter fiscal 2023. Also, strong comparable store sales (comps) and healthy transaction growth acted as tailwinds. For fiscal 2023, the company expects comps growth of 0.5-2%. Also, its store expansion initiatives, driven by DICK'S House of Sport, Golf Galaxy Performance Center, Public Lands and Going, Going, Gone! Stores, bode well. However, it has been witnessing an uncertain macroeconomic environment. Also, higher wage rate, and increased investments in talent, technology and marketing led to elevated costs in the fiscal third quarter.

Over the past four weeks, shares have rallied 23.25%, and there have been 9 higher earnings estimate revisions in the past two months for fiscal 2024 compared to none lower. The consensus estimate has moved up as well.