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Will HOKA & UGG's Global Surge Propel DECK's Sales Mix Toward 50%?

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Key Takeaways

  • Deckers posted 49.7% international revenue growth in Q1, led by strong brand momentum abroad.
  • HOKA drove gains through EMEA reorders, China demand, and new partner and owned stores.
  • UGG expanded year-round appeal with sandals, sneakers and new styles, boosting global traction.

Deckers Outdoor Corporation’s (DECK - Free Report) international business has become a core growth engine, with HOKA and UGG delivering exceptional momentum abroad. In the first quarter of fiscal 2026, international revenues rose 49.7% year over year to $463.3 million, far surpassing U.S. performance and highlighting the strength of the company’s global strategy.

HOKA’s international business is driving strong growth across DTC and wholesale, led by EMEA with record European reorders and robust consumer acquisition. Bondi, Clifton and Arahi perform strongly, with Bondi and Clifton topping U.S. running franchises, leading sales in EMEA and doubling China volumes for spring/summer ’2025. 

UGG also advanced strongly in international markets, with Europe and China leading growth. The brand’s 365 strategy broadened its appeal beyond cold-weather items, with sandals, sneakers, and men’s footwear gaining traction. New styles like the PeakMod clog became global favorites, supported by curated marketing campaigns and wholesale momentum, underscoring UGG’s positioning as a year-round lifestyle brand.

To support rising demand, Deckers invested in infrastructure, including transitioning its EMEA logistics provider, and opening stores in Berlin, Milan, and cities in China. These moves aim to strengthen retail presence, deepen consumer connections and build long-term global brand equity.

Looking ahead, management expects international markets to consistently outpace U.S. growth. HOKA is positioned as the fastest-growing brand, while UGG builds on its expanding seasonal and demographic reach. With an ambition to lift international sales toward 50% of total revenues, Deckers is creating a more globally balanced and resilient business model.

DECK’s International Performance Compared With SHOO & WWW

Steven Madden, Ltd. (SHOO - Free Report) and Wolverine World Wide, Inc. (WWW - Free Report) are the key footwear companies competing with Deckers in the global arena.

Steven Madden delivered solid international growth in the second quarter of 2025, with revenues rising 8% year over year, or 10% on a constant-currency basis, excluding Kurt Geiger. Steven Madden also leveraged Kurt Geiger’s platform to accelerate expansion in Europe, Mexico, and Asia, strengthening global momentum and diversification.

Wolverine posted strong international growth in second-quarter 2025, with revenues rising 15.7% year over year to $250 million, outpacing U.S. sales. Wolverine’s brands Saucony and Merrell fueled gains through flagship stores, city activations, and sponsorships. Its asset-light distribution model across 170 countries supports efficient expansion in both developed and emerging markets.

DECK’s Price Performance, Valuation & Estimates

Shares of Deckers have lost 46.3% year to date compared with the industry’s decline of 9.6%.

 

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From a valuation standpoint, DECK trades at a forward price-to-earnings ratio of 16.80X, down from the industry’s average of 18.22X. It has a Value Score of B.

 

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Image Source: Zacks Investment Research

 

The Zacks Consensus Estimate for Deckers’ fiscal 2026 earnings implies a year-over-year decline of 0.6%, whereas the same for fiscal 2027 indicates an uptick of 8.3%. The estimates for fiscal 2026 and 2027 have been revised upward by 25 cents and 22 cents, respectively, in the past 30 days.

 

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Image Source: Zacks Investment Research

 

DECK currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.


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