Cynosure Group LLC Increases Stake in Deckers Outdoor Corporation (NYSE:DECK)

Key Points

• Cynosure Group LLC increased its investment in Deckers Outdoor Corporation by 419.3% in Q1, holding a total of 15,256 shares worth approximately $1.71 million.
• Deckers' stock price objectives have been elevated by various brokerages, with TD Securities setting a new target of $175.00 and assigning a "buy" rating.
• The company has authorized a $2.25 billion share buyback program, indicating management's belief that the stock may be undervalued.

Cynosure Group LLC raised its stake in shares of Deckers Outdoor Corporation (NYSE:DECK - Free Report) by 419.3% during the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 15,256 shares of the textile maker's stock after acquiring an additional 12,318 shares during the period. Cynosure Group LLC's holdings in Deckers Outdoor were worth $1,706,000 as of its most recent SEC filing.

Other hedge funds have also recently bought and sold shares of the company. Federated Hermes Inc. raised its stake in shares of Deckers Outdoor by 1,998.7% during the 1st quarter. Federated Hermes Inc. now owns 1,163,977 shares of the textile maker's stock valued at $130,144,000 after purchasing an additional 1,108,516 shares during the period. Pacer Advisors Inc. grew its stake in Deckers Outdoor by 4,770.0% during the first quarter. Pacer Advisors Inc. now owns 641,082 shares of the textile maker's stock valued at $71,679,000 after acquiring an additional 627,918 shares in the last quarter. Jacobs Levy Equity Management Inc. grew its stake in Deckers Outdoor by 204.8% during the fourth quarter. Jacobs Levy Equity Management Inc. now owns 889,624 shares of the textile maker's stock valued at $180,674,000 after acquiring an additional 597,743 shares in the last quarter. AMF Tjanstepension AB boosted its holdings in Deckers Outdoor by 1,037.7% in the 1st quarter. AMF Tjanstepension AB now owns 596,735 shares of the textile maker's stock valued at $66,721,000 after purchasing an additional 544,283 shares during the period. Finally, Jupiter Asset Management Ltd. bought a new position in shares of Deckers Outdoor in the first quarter worth $49,775,000. 97.79% of the stock is owned by hedge funds and other institutional investors.

Deckers Outdoor Trading Up 2.3%

Shares of NYSE DECK traded up $2.39 during trading hours on Wednesday, hitting $106.13. 1,201,933 shares of the company traded hands, compared to its average volume of 3,422,202. The company's 50 day moving average price is $104.68 and its 200 day moving average price is $120.48. Deckers Outdoor Corporation has a 12 month low of $93.72 and a 12 month high of $223.98. The stock has a market capitalization of $15.74 billion, a price-to-earnings ratio of 16.27, a price-to-earnings-growth ratio of 3.82 and a beta of 0.99.

Deckers Outdoor (NYSE:DECK - Get Free Report) last posted its quarterly earnings data on Thursday, July 24th. The textile maker reported $0.93 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.68 by $0.25. The company had revenue of $964.54 million during the quarter, compared to analysts' expectations of $901.45 million. Deckers Outdoor had a return on equity of 40.49% and a net margin of 19.42%. Deckers Outdoor's revenue was up 16.9% compared to the same quarter last year. During the same quarter in the previous year, the business earned $4.52 EPS. Equities analysts anticipate that Deckers Outdoor Corporation will post 5.89 EPS for the current year.

Deckers Outdoor declared that its Board of Directors has authorized a stock buyback program on Thursday, May 22nd that allows the company to buyback $2.25 billion in outstanding shares. This buyback authorization allows the textile maker to purchase up to 11.7% of its stock through open market purchases. Stock buyback programs are generally an indication that the company's board of directors believes its shares are undervalued.

Analyst Ratings Changes

A number of equities research analysts recently weighed in on the stock. Citigroup lowered their target price on shares of Deckers Outdoor from $215.00 to $150.00 and set a "buy" rating on the stock in a research note on Monday, April 28th. Robert W. Baird lifted their price objective on shares of Deckers Outdoor from $140.00 to $150.00 and gave the stock an "outperform" rating in a report on Friday, July 25th. TD Securities increased their target price on Deckers Outdoor from $150.00 to $175.00 and gave the company a "buy" rating in a research note on Tuesday, May 20th. The Goldman Sachs Group dropped their price target on Deckers Outdoor from $90.00 to $87.00 and set a "sell" rating for the company in a research note on Tuesday, July 22nd. Finally, Truist Financial increased their price objective on Deckers Outdoor from $130.00 to $145.00 and gave the company a "buy" rating in a research report on Friday, July 25th. One analyst has rated the stock with a sell rating, fourteen have given a hold rating, nine have assigned a buy rating and one has issued a strong buy rating to the company's stock. According to MarketBeat, the company presently has a consensus rating of "Hold" and a consensus target price of $137.50.

Insider Activity

In other Deckers Outdoor news, insider Angela Ogbechie sold 6,244 shares of the company's stock in a transaction on Monday, June 2nd. The stock was sold at an average price of $103.89, for a total value of $648,689.16. Following the completion of the sale, the insider directly owned 19,980 shares in the company, valued at approximately $2,075,722.20. This represents a 23.81% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Cindy L. Davis purchased 1,825 shares of the business's stock in a transaction dated Friday, June 6th. The shares were purchased at an average price of $109.76 per share, for a total transaction of $200,312.00. Following the purchase, the director owned 13,340 shares of the company's stock, valued at approximately $1,464,198.40. This trade represents a 15.85% increase in their position. The disclosure for this purchase can be found here. Insiders own 0.40% of the company's stock.

About Deckers Outdoor

Deckers Outdoor Corporation, together with its subsidiaries, designs, markets, and distributes footwear, apparel, and accessories for casual lifestyle use and high-performance activities in the United States and internationally. The company offers premium footwear, apparel, and accessories under the UGG brand name; footwear, apparel, and accessories for ultra-runners and athletes under the HOKA brand name; and sandals, shoes, and boots under the Teva brand name.