Federated Hermes Inc. Purchases 1,108,516 Shares of Deckers Outdoor Corporation (NYSE:DECK)

Key Points

• Federated Hermes Inc. significantly increased its stake in Deckers Outdoor Corporation by 1,998.7%, acquiring a total of approximately 1,163,977 shares, valued at around $130 million.
• According to analysts, Deckers Outdoor has a consensus rating of "Hold" with an average target price of $137.50, reflecting mixed sentiments regarding its future stock performance.
• Deckers Outdoor declared a $2.25 billion stock repurchase plan, indicating the board's belief that its shares are undervalued, allowing the company to buy back up to 11.7% of its shares.

Federated Hermes Inc. increased its stake in Deckers Outdoor Corporation (NYSE:DECK - Free Report) by 1,998.7% in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 1,163,977 shares of the textile maker's stock after purchasing an additional 1,108,516 shares during the period. Federated Hermes Inc. owned approximately 0.77% of Deckers Outdoor worth $130,144,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other institutional investors and hedge funds have also recently added to or reduced their stakes in the stock. Geode Capital Management LLC boosted its stake in Deckers Outdoor by 1.1% in the 4th quarter. Geode Capital Management LLC now owns 4,104,954 shares of the textile maker's stock worth $831,723,000 after purchasing an additional 45,035 shares during the period. Northern Trust Corp lifted its position in Deckers Outdoor by 13.9% during the 4th quarter. Northern Trust Corp now owns 1,581,702 shares of the textile maker's stock worth $321,228,000 after buying an additional 192,469 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its position in Deckers Outdoor by 11.4% during the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 1,423,149 shares of the textile maker's stock worth $289,027,000 after buying an additional 145,794 shares in the last quarter. Deutsche Bank AG lifted its position in Deckers Outdoor by 19.2% during the 4th quarter. Deutsche Bank AG now owns 1,114,739 shares of the textile maker's stock worth $226,392,000 after buying an additional 179,485 shares in the last quarter. Finally, Wellington Management Group LLP lifted its position in Deckers Outdoor by 24.7% during the 4th quarter. Wellington Management Group LLP now owns 1,100,236 shares of the textile maker's stock worth $223,447,000 after buying an additional 217,887 shares in the last quarter. 97.79% of the stock is owned by institutional investors and hedge funds.

Insider Transactions at Deckers Outdoor

In other news, insider Angela Ogbechie sold 6,244 shares of the firm's stock in a transaction that occurred on Monday, June 2nd. The shares were sold at an average price of $103.89, for a total transaction of $648,689.16. Following the transaction, the insider directly owned 19,980 shares of the company's stock, valued at approximately $2,075,722.20. This trade represents a 23.81% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Maha Saleh Ibrahim sold 300 shares of the firm's stock in a transaction that occurred on Friday, June 6th. The stock was sold at an average price of $109.08, for a total transaction of $32,724.00. Following the transaction, the director directly owned 10,681 shares in the company, valued at $1,165,083.48. This represents a 2.73% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 0.40% of the company's stock.

Wall Street Analyst Weigh In

Several equities research analysts have commented on the stock. Wells Fargo & Company boosted their price target on shares of Deckers Outdoor from $90.00 to $100.00 and gave the stock an "equal weight" rating in a research report on Friday, July 25th. KeyCorp reissued a "sector weight" rating and set a $150.00 price target on shares of Deckers Outdoor in a research report on Friday, May 23rd. Bank of America cut their price target on shares of Deckers Outdoor from $128.00 to $114.00 and set a "neutral" rating on the stock in a research report on Thursday, July 17th. Cowen reissued a "buy" rating on shares of Deckers Outdoor in a research report on Tuesday, May 20th. Finally, Robert W. Baird boosted their price target on shares of Deckers Outdoor from $140.00 to $150.00 and gave the stock an "outperform" rating in a research report on Friday, July 25th. One equities research analyst has rated the stock with a sell rating, fourteen have issued a hold rating, nine have assigned a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat, the company currently has an average rating of "Hold" and an average target price of $137.50.

Deckers Outdoor Stock Performance

DECK traded down $2.91 on Friday, reaching $103.26. The company had a trading volume of 2,127,247 shares, compared to its average volume of 3,480,106. Deckers Outdoor Corporation has a fifty-two week low of $93.72 and a fifty-two week high of $223.98. The stock has a market cap of $15.34 billion, a P/E ratio of 15.85, a P/E/G ratio of 7.01 and a beta of 0.99. The company's fifty day moving average is $104.90 and its 200 day moving average is $127.07.

Deckers Outdoor (NYSE:DECK - Get Free Report) last announced its quarterly earnings results on Thursday, July 24th. The textile maker reported $0.93 EPS for the quarter, beating analysts' consensus estimates of $0.68 by $0.25. Deckers Outdoor had a net margin of 19.42% and a return on equity of 40.49%. The business had revenue of $964.54 million for the quarter, compared to analyst estimates of $901.45 million. During the same quarter in the prior year, the business earned $4.52 EPS. Deckers Outdoor's quarterly revenue was up 16.9% on a year-over-year basis. On average, sell-side analysts expect that Deckers Outdoor Corporation will post 5.89 EPS for the current year.

Deckers Outdoor declared that its Board of Directors has approved 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 shares through open market purchases. Shares buyback programs are typically a sign that the company's management believes its shares are undervalued.

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.