Truist Securities boosted its stock price target for Deckers Outdoor (NYSE: DECK) to $132 from $115, keeping a Buy rating on the footwear and apparel maker. The move follows the company’s fiscal third-quarter performance, which prompted an approximate 12% rise in the stock in after-hours trading when results were released.
Both of Deckers’ principal brands, HOKA and UGG, outperformed expectations in the quarter. Truist pointed to a marked acceleration in direct-to-consumer (DTC) sales and stronger-than-anticipated U.S. trends for both brands as the main drivers behind the results. Those strengths alleviated two specific bearish concerns that had recently weighed on the shares.
Market metrics and model-based valuation underpin part of Truist’s view. Deckers is trading at a trailing price-to-earnings ratio of 17.09 compared with near-term earnings growth, and shows a favorable price/earnings-to-growth (PEG) ratio of 0.76, according to InvestingPro data. InvestingPro’s Fair Value model also indicates the stock appears slightly undervalued, even after the company’s share price has fallen more than 55% over the past year.
InvestingPro’s assessments highlight solid balance-sheet and profitability metrics: Deckers earns an overall financial-health score of 3.39, classified as "GREAT" in that system, and the company reportedly holds more cash than debt while delivering a 43% return on equity. Additional operational details noted in coverage include revenue growth of 12.62% over the last twelve months and active share repurchases by management.
Truist’s commentary singled out the HOKA brand in particular. The firm suggested that pressures observed in 2025 were largely attributable to temporary disruptions and growing pains tied to upgrade cycles for two key product franchises, together with uncertainty linked to tariffs the prior year. Truist sees those factors as transitory, creating a favorable near-term setup as management executes on longer-term growth initiatives and international momentum remains strong.
Deckers’ fiscal third-quarter 2026 results also exceeded consensus estimates across the board. The company reported revenue growth of 7% for the quarter and earnings per share of $3.33, versus consensus expectations of 2% revenue growth and $2.77 in EPS. Following the quarter, Deckers raised its full-year 2026 guidance.
Analysts across the street adjusted their targets and ratings in response to the results. Williams Trading increased its target to $160 and kept a Buy rating. Piper Sandler raised its target to $95 but retained an Underweight rating. Bernstein lifted its price target to $90 and maintained an Underperform stance while citing strong sales and gross margins. Needham raised its target to $138, preserving a Buy rating on the strength of robust earnings. BTIG continued to carry a Neutral rating, noting balanced growth and a positive re-inflection in Deckers’ DTC channels.
While the recent analyst activity and improved underlying metrics support a more constructive view on Deckers, the company’s sizeable share-price decline over the past year and prior brand-specific pressures are relevant considerations for investors evaluating exposure to the consumer discretionary and retail footwear sectors.
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