Dick’s Sporting Items (DKS) Inventory Sinks As Market Features: What You Ought to Know

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Dick’s Sporting Goods (DKS) closed the last trading day at USD 104.01, down -0.38% from the previous trading session. That move fell short of the S&P 500’s daily gain of 0.24%.

Ahead of today’s trading, the sporting goods retailer’s stock was up 3.16% last month. This outperformed the retail and wholesale sector’s 0.22% gain and lagged the S&P 500’s 4.09% gain over the period.

Investors will be hoping for strength from DKS as it nears its next earnings release. In this report, analysts expect DKS to report earnings of $ 2.60 per share. This would mean a decrease of 19% compared to the previous year. Meanwhile, the Zacks Consensus Estimate is forecasting net sales of $ 2.81 billion, up 3.46% from the same period last year.

DKS’s Zacks Consensus Estimates for the full year project earnings per share of $ 8.92 and sales of $ 10.82 billion. These results would represent changes of + 45.75% and + 12.92% respectively compared to the previous year.

Investors might also notice the recent changes in analysts’ estimates for DKS. These revisions help highlight the ever-changing nature of short-term business trends. Therefore, positive estimate revisions reflect analysts’ optimism about the company’s business and profitability.

Our research shows that these changes in estimates correlate directly with short-term stock prices. To take advantage of this, we developed the Zacks Rank, a proprietary model that takes these estimation changes into account and provides an actionable rating system.

The Zacks Rank system, which ranges from # 1 (Strong Buy) to # 5 (Strong Sell), has had impressive, externally audited outperformance, with # 1 stocks seeing an average annual return of + 25% since 1988 In the last 30 days, our consensus EPS forecast has increased by 4.28%. DKS is currently Zacks Rank # 1 (Strong Buy).

Taking into account the valuation, DKS currently has a forward P / E ratio of 11.71. This valuation is a discount to the industry’s average forward P / E of 15.68.

The story goes on

It is also noteworthy that DKS currently has a PEG ratio of 1.65. This popular metric is similar to the widely known P / E ratio, except that the PEG ratio also takes into account the company’s expected earnings growth rate. Retail – Various stocks hold a PEG ratio of 1.49 on average based on yesterday’s closing prices.

The Retail-Other industry is part of the Retail-Wholesale sector. This group has a Zacks industry ranking of 43, making it one of the top 17% of all over 250 industries.

The Zacks Industry Rank is a best-to-worst ranking based on the average Zacks rank of each company in each of those sectors. Our research shows that the top-rated 50% of industries outperform the bottom half by a factor of 2 to 1.

For more information on all of these metrics and more, visit Zacks.com.

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