Vanguard Group Inc. Increases Holdings in Deckers Outdoor Corporation (NYSE:DECK)

Key Points

• Vanguard Group Inc. has increased its holdings in Deckers Outdoor Corporation by 0.6%, bringing its total ownership to approximately $1.98 billion, or 11.69% of the company.
• Deckers Outdoor reported a quarterly earnings per share (EPS) of $0.93, exceeding analyst expectations of $0.68, with revenue of $964.54 million, a 16.9% increase year-over-year.
• The company has authorized a $2.25 billion stock buyback program, indicating management's belief that its stock is undervalued.

Vanguard Group Inc. lifted its stake in shares of Deckers Outdoor Corporation (NYSE:DECK - Free Report) by 0.6% during the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 17,747,418 shares of the textile maker's stock after buying an additional 107,635 shares during the period. Vanguard Group Inc. owned about 11.69% of Deckers Outdoor worth $1,984,339,000 at the end of the most recent quarter.

Other hedge funds also recently modified their holdings of the company. Mpwm Advisory Solutions LLC purchased a new position in shares of Deckers Outdoor in the 4th quarter worth approximately $26,000. Vega Investment Solutions purchased a new position in Deckers Outdoor in the fourth quarter valued at approximately $29,000. Mountain Hill Investment Partners Corp. purchased a new position in Deckers Outdoor in the first quarter valued at approximately $34,000. Fourth Dimension Wealth LLC purchased a new position in Deckers Outdoor in the fourth quarter valued at approximately $41,000. Finally, Itau Unibanco Holding S.A. lifted its stake in Deckers Outdoor by 352.1% in the fourth quarter. Itau Unibanco Holding S.A. now owns 217 shares of the textile maker's stock valued at $44,000 after purchasing an additional 169 shares during the last quarter. Hedge funds and other institutional investors own 97.79% of the company's stock.

Insider Transactions at Deckers Outdoor

In other Deckers Outdoor 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 completion of the transaction, the insider 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 is accessible through this link. Also, Director Maha Saleh Ibrahim sold 300 shares of the firm's stock in a transaction that occurred on Friday, June 6th. The shares were 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 of the company's stock, valued at $1,165,083.48. This represents a 2.73% decrease in their position. The disclosure for this sale can be found here. 0.40% of the stock is currently owned by company insiders.

Analysts Set New Price Targets

Several equities analysts recently commented on the company. The Goldman Sachs Group dropped their price objective on Deckers Outdoor from $90.00 to $87.00 and set a "sell" rating on the stock in a research note on Tuesday, July 22nd. Telsey Advisory Group reiterated a "market perform" rating and issued a $120.00 price objective on shares of Deckers Outdoor in a research note on Friday, July 25th. Citigroup dropped their price objective on Deckers Outdoor from $215.00 to $150.00 and set a "buy" rating on the stock in a research note on Monday, April 28th. Needham & Company LLC reissued a "buy" rating and set a $128.00 target price (up previously from $120.00) on shares of Deckers Outdoor in a report on Wednesday, July 23rd. Finally, Raymond James Financial increased their target price on Deckers Outdoor from $123.00 to $137.00 and gave the stock a "strong-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 assigned a strong buy rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Hold" and an average target price of $137.50.

Deckers Outdoor Trading Down 2.5%

Shares of NYSE:DECK traded down $2.68 on Thursday, reaching $103.81. 2,470,871 shares of the company traded hands, compared to its average volume of 3,422,898. The business's 50-day simple moving average is $104.70 and its 200 day simple moving average is $120.39. The stock has a market capitalization of $15.40 billion, a P/E ratio of 15.92, a price-to-earnings-growth ratio of 3.94 and a beta of 0.99. Deckers Outdoor Corporation has a 52 week low of $93.72 and a 52 week high of $223.98.

Deckers Outdoor (NYSE:DECK - Get Free Report) last posted its earnings results on Thursday, July 24th. The textile maker reported $0.93 earnings per share 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 analyst estimates of $901.45 million. Deckers Outdoor had a net margin of 19.42% and a return on equity of 40.49%. Deckers Outdoor's revenue for the quarter was up 16.9% on a year-over-year basis. During the same period in the prior year, the business posted $4.52 earnings per share. Sell-side analysts expect that Deckers Outdoor Corporation will post 5.89 EPS for the current fiscal year.

Deckers Outdoor announced that its board has approved a stock buyback program on Thursday, May 22nd that authorizes the company to repurchase $2.25 billion in outstanding shares. This repurchase authorization authorizes the textile maker to repurchase up to 11.7% of its shares through open market purchases. Shares repurchase programs are typically a sign that the company's management believes its stock is 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.