Short Interest in DICK'S Sporting Goods, Inc. (NYSE:DKS) Rises By 25.8%

Key Points

• DICK'S Sporting Goods experienced a 25.8% increase in short interest in August, with a total of 6,380,000 shares short sold, representing 11.7% of the stock.
• The company reported earnings per share (EPS) of $4.38 for the last quarter, exceeding analyst estimates, and projected FY 2025 EPS guidance between 13.900-14.500.
• A recent dividend of $1.2125 per share has been announced, reflecting an annualized yield of 2.2%.

DICK'S Sporting Goods, Inc. (NYSE:DKS - Get Free Report) was the target of a significant growth in short interest in the month of August. As of August 31st, there was short interest totaling 6,380,000 shares, a growth of 25.8% from the August 15th total of 5,070,000 shares. Approximately 11.7% of the shares of the company are sold short. Based on an average trading volume of 1,660,000 shares, the days-to-cover ratio is presently 3.8 days. Based on an average trading volume of 1,660,000 shares, the days-to-cover ratio is presently 3.8 days. Approximately 11.7% of the shares of the company are sold short.

Analyst Upgrades and Downgrades

Several research analysts have issued reports on DKS shares. Cowen reiterated a "hold" rating on shares of DICK'S Sporting Goods in a research report on Monday, August 18th. JPMorgan Chase & Co. increased their price objective on DICK'S Sporting Goods from $195.00 to $235.00 and gave the stock a "neutral" rating in a research report on Friday, August 29th. Wells Fargo & Company increased their price objective on DICK'S Sporting Goods from $215.00 to $220.00 and gave the stock an "equal weight" rating in a research report on Friday, August 29th. Morgan Stanley raised their price target on DICK'S Sporting Goods from $232.00 to $253.00 and gave the company an "overweight" rating in a research report on Friday, August 29th. Finally, Truist Financial increased their target price on shares of DICK'S Sporting Goods from $230.00 to $248.00 and gave the stock a "buy" rating in a research report on Friday, August 29th. Ten research analysts have rated the stock with a Buy rating and ten have given a Hold rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus price target of $235.83.

Insiders Place Their Bets

In other news, EVP Julie Lodge-Jarrett sold 1,026 shares of the stock in a transaction that occurred on Friday, June 27th. The stock was sold at an average price of $203.50, for a total value of $208,791.00. Following the completion of the sale, the executive vice president directly owned 18,139 shares of the company's stock, valued at approximately $3,691,286.50. This represents a 5.35% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Robert W. Eddy acquired 1,280 shares of the firm's stock in a transaction dated Thursday, June 26th. The stock was purchased at an average cost of $194.99 per share, with a total value of $249,587.20. Following the completion of the acquisition, the director directly owned 6,048 shares of the company's stock, valued at approximately $1,179,299.52. This trade represents a 26.85% increase in their position. The disclosure for this purchase can be found here. In the last three months, insiders sold 69,200 shares of company stock valued at $14,462,923. 32.55% of the stock is owned by insiders.

Hedge Funds Weigh In On DICK'S Sporting Goods

Hedge funds and other institutional investors have recently modified their holdings of the stock. Park Square Financial Group LLC bought a new position in shares of DICK'S Sporting Goods during the 4th quarter worth approximately $27,000. Private Trust Co. NA lifted its holdings in shares of DICK'S Sporting Goods by 54.1% in the first quarter. Private Trust Co. NA now owns 188 shares of the sporting goods retailer's stock valued at $38,000 after purchasing an additional 66 shares in the last quarter. Atlantic Union Bankshares Corp bought a new stake in shares of DICK'S Sporting Goods in the second quarter valued at about $40,000. Golden State Wealth Management LLC lifted its holdings in shares of DICK'S Sporting Goods by 1,435.7% in the first quarter. Golden State Wealth Management LLC now owns 215 shares of the sporting goods retailer's stock valued at $43,000 after purchasing an additional 201 shares in the last quarter. Finally, Bessemer Group Inc. lifted its holdings in shares of DICK'S Sporting Goods by 49.3% in the first quarter. Bessemer Group Inc. now owns 218 shares of the sporting goods retailer's stock valued at $44,000 after purchasing an additional 72 shares in the last quarter. Institutional investors own 89.83% of the company's stock.

DICK'S Sporting Goods Stock Performance

DKS traded down $5.15 during trading on Friday, reaching $222.06. 1,972,666 shares of the company were exchanged, compared to its average volume of 2,312,269. DICK'S Sporting Goods has a 52 week low of $166.37 and a 52 week high of $254.60. The stock has a market cap of $17.79 billion, a P/E ratio of 15.51, a PEG ratio of 3.18 and a beta of 1.02. The firm has a 50 day moving average of $218.01 and a 200 day moving average of $199.83. The company has a current ratio of 1.70, a quick ratio of 0.55 and a debt-to-equity ratio of 0.44.

DICK'S Sporting Goods (NYSE:DKS - Get Free Report) last released its quarterly earnings results on Thursday, August 28th. The sporting goods retailer reported $4.38 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.30 by $0.08. DICK'S Sporting Goods had a return on equity of 36.54% and a net margin of 8.52%.The company had revenue of $3.65 billion during the quarter, compared to analysts' expectations of $3.61 billion. During the same quarter in the prior year, the business posted $4.37 earnings per share. The company's revenue for the quarter was up 5.0% compared to the same quarter last year. DICK'S Sporting Goods has set its FY 2025 guidance at 13.900-14.500 EPS. On average, sell-side analysts forecast that DICK'S Sporting Goods will post 13.89 EPS for the current fiscal year.

DICK'S Sporting Goods Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, September 26th. Stockholders of record on Friday, September 12th will be issued a dividend of $1.2125 per share. The ex-dividend date of this dividend is Friday, September 12th. This represents a $4.85 dividend on an annualized basis and a dividend yield of 2.2%. DICK'S Sporting Goods's dividend payout ratio is currently 33.87%.

About DICK'S Sporting Goods

DICK's Sporting Goods, Inc engages in the retailing of an extensive assortment of authentic sports equipment, apparel, footwear, and accessories. It also offers its products both online and through mobile applications. The company was founded by Richard T. Stack in 1948 and is headquartered in Coraopolis, PA.