Deckers Outdoor stock price target raised to $154 from $147 at TD Cowen

Investing.com - TD Cowen raised its price target on Deckers Outdoor (NYSE:DECK) to $154.00 from $147.00 on Friday, while maintaining a Buy rating on the footwear company’s stock. According to InvestingPro data, the stock currently trades at an attractive P/E ratio of 16x, suggesting potential upside based on its Fair Value analysis.

The firm cited Deckers’ strong first-quarter performance, which exceeded consensus expectations with earnings per share beating estimates by 21% when excluding shifts, and sales surpassing forecasts by 7%.

TD Cowen noted that while U.S. sales decreased by 3% year-over-year in the first quarter, international sales grew by 50%, indicating significant expansion potential for the company’s HOKA and UGG brands in global markets.

The research firm increased its fiscal year 2026 earnings per share estimate by 3% to $6.45 and set its fiscal year 2027 earnings per share projection at $7.32, compared to the consensus estimate of $6.71.

TD Cowen’s proprietary research indicated meaningful average unit revenue gains for the HOKA brand through July, with the firm describing Deckers as "one of the highest quality businesses and financial models in the sector."

In other recent news, Deckers Outdoor reported impressive first-quarter fiscal 2026 results, with revenue reaching $965 million, surpassing expectations of $900.31 million. Earnings per share also exceeded forecasts, coming in at $0.93 against the anticipated $0.68. This positive performance prompted Raymond (NSE:RYMD) James to raise its price target for Deckers Outdoor to $137, maintaining a Strong Buy rating. Similarly, Evercore ISI increased its price target to $115, noting that a significant portion of the revenue beat was due to wholesale timing shifts. The company’s HOKA and UGG brands performed well, although HOKA’s U.S. direct-to-consumer business faced some challenges. Additionally, Deckers Brands announced the nomination of Patrick J. Grismer to its Board of Directors, following the retirement of Dave Powers. Grismer brings extensive financial leadership experience from his roles at major consumer companies. These developments reflect the company’s ongoing strategic adjustments and market performance.

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