Russell Investments Group Ltd. Boosts Stake in Deckers Outdoor Corporation (NYSE:DECK)

Key Points

• Russell Investments Group Ltd. increased its stake in Deckers Outdoor Corporation by 43.7%, owning approximately 0.33% of the company, valued at $56.64 million.
• Multiple hedge funds have significantly boosted their investments in Deckers Outdoor, with Federated Hermes Inc. increasing its holdings by 1,998.7%, amounting to over $130 million.
• Deckers Outdoor reported strong quarterly earnings, achieving $0.93 EPS, exceeding forecasts, and announced a $2.25 billion share buyback authorization, indicating confidence in its stock valuation.

Russell Investments Group Ltd. lifted its stake in Deckers Outdoor Corporation (NYSE:DECK - Free Report) by 43.7% in the 1st quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 506,576 shares of the textile maker's stock after purchasing an additional 154,002 shares during the quarter. Russell Investments Group Ltd. owned about 0.33% of Deckers Outdoor worth $56,639,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently made changes to their positions in the stock. Gerber Kawasaki Wealth & Investment Management grew its position in Deckers Outdoor by 4.6% in the fourth quarter. Gerber Kawasaki Wealth & Investment Management now owns 1,902 shares of the textile maker's stock worth $386,000 after acquiring an additional 84 shares during the period. Cumberland Partners Ltd grew its position in Deckers Outdoor by 0.4% in the first quarter. Cumberland Partners Ltd now owns 27,991 shares of the textile maker's stock worth $3,130,000 after acquiring an additional 98 shares during the period. Utah Retirement Systems grew its position in Deckers Outdoor by 0.4% in the fourth quarter. Utah Retirement Systems now owns 25,136 shares of the textile maker's stock worth $5,105,000 after acquiring an additional 100 shares during the period. Mpwm Advisory Solutions LLC purchased a new position in Deckers Outdoor in the fourth quarter worth approximately $26,000. Finally, Sumitomo Mitsui DS Asset Management Company Ltd grew its position in Deckers Outdoor by 0.8% in the first quarter. Sumitomo Mitsui DS Asset Management Company Ltd now owns 17,106 shares of the textile maker's stock worth $1,913,000 after acquiring an additional 140 shares during the period. Institutional investors and hedge funds own 97.79% of the company's stock.

Insiders Place Their Bets

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

Deckers Outdoor Stock Performance

NYSE DECK traded down $1.05 during trading on Friday, reaching $102.81. 2,655,669 shares of the company's stock were exchanged, compared to its average volume of 3,976,303. The stock has a market cap of $15.25 billion, a P/E ratio of 15.79, a price-to-earnings-growth ratio of 3.91 and a beta of 0.99. The company has a 50 day moving average price of $104.48 and a two-hundred day moving average price of $118.16. Deckers Outdoor Corporation has a 1 year low of $93.72 and a 1 year high of $223.98.

Deckers Outdoor (NYSE:DECK - Get Free Report) last announced its quarterly earnings results on Thursday, July 24th. The textile maker reported $0.93 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.68 by $0.25. The company had revenue of $964.54 million during the quarter, compared to the consensus estimate 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 for the quarter was up 16.9% on a year-over-year basis. During the same period in the previous year, the business earned $4.52 EPS. Research analysts forecast that Deckers Outdoor Corporation will post 5.89 EPS for the current fiscal year.

Deckers Outdoor announced that its board has authorized a stock buyback plan on Thursday, May 22nd that permits the company to repurchase $2.25 billion in shares. This repurchase authorization permits the textile maker to repurchase up to 11.7% of its shares through open market purchases. Shares repurchase plans are often a sign that the company's board believes its shares are undervalued.

Analyst Ratings Changes

Several research analysts recently weighed in on DECK shares. Argus started coverage on Deckers Outdoor in a research report on Friday, June 13th. They issued a "hold" rating for the company. Wells Fargo & Company raised their price target on Deckers Outdoor from $90.00 to $100.00 and gave the stock an "equal weight" rating in a research report on Friday, July 25th. Citigroup lowered their price target on Deckers Outdoor from $215.00 to $150.00 and set a "buy" rating for the company in a research report on Monday, April 28th. UBS Group raised their price target on Deckers Outdoor from $144.00 to $158.00 and gave the stock a "buy" rating in a research report on Friday, July 25th. Finally, TD Securities raised their price target on Deckers Outdoor from $150.00 to $175.00 and gave the stock a "buy" rating in a research report on Tuesday, May 20th. One equities research analyst has rated the stock with a sell rating, fourteen have assigned a hold rating, nine have issued a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Hold" and an average target price of $137.50.

Deckers Outdoor Company Profile

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.