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Investing.com - Truist Securities raised its price target on Deckers Outdoor (NYSE:DECK) to $145.00 from $130.00 on Friday, while maintaining a Buy rating on the stock. The company, currently trading at a PEG ratio of 0.71 and showing revenue growth of 15.49%, has received positive attention from Wall Street analysts. According to InvestingPro data, 17 analysts have recently revised their earnings estimates upward for the upcoming period.
The price target increase follows Deckers’ fiscal first quarter results, which showed HOKA brand sales beating Street expectations. The company’s shares rose by double digits in after-market trading following the announcement, contributing to an impressive 14.66% return over the past week.
Truist noted that HOKA reaccelerated on wholesale and international strength, while direct-to-consumer (DTC) clarity is improving from trough levels. The firm highlighted that management has not seen any pushback on higher prices, and sell-out trends continue to outpace sell-in despite expanding presence.
Deckers management continues to hold off on providing full-year guidance due to broader macroeconomic uncertainty. Despite this caution, retailer interest in upcoming product launches remains robust, according to Truist’s analysis.
While some of the first quarter outperformance was attributed to timing factors, Truist indicated that second quarter expectations remain in line with Street consensus, with opportunities to outperform given management’s historically conservative approach.
In other recent news, Deckers Outdoor Corporation reported a robust first quarter for fiscal year 2026, with earnings per share reaching $0.93, significantly surpassing the forecasted $0.68 by 36.76%. The company’s revenue also exceeded expectations, totaling $965 million against the anticipated $900.31 million. Analysts from TD Cowen, Evercore ISI, and Raymond (NSE:RYMD) James responded positively to these results, raising their price targets for Deckers Outdoor. TD Cowen increased its target to $154, maintaining a Buy rating, while Evercore ISI set a new target of $115, keeping an "In Line" rating. Raymond James elevated its price target to $137, reiterating a Strong Buy rating.
Despite these positive earnings and revenue figures, Deckers Outdoor faced some challenges, particularly with HOKA’s U.S. direct-to-consumer business, which experienced a year-over-year decline. In governance updates, Deckers Brands nominated Patrick J. Grismer to its Board of Directors, as Dave Powers announced his retirement after over nine years of service. Grismer brings extensive financial leadership experience from roles at major consumer companies, including Starbucks (NASDAQ:SBUX) and Yum! Brands (NYSE:YUM). These developments highlight significant changes and achievements for Deckers Outdoor in recent times.
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