Dick’s Sporting Goods (DKS) ended the recent trading session at $250.04, demonstrating a +1.81% swing from the preceding day’s closing price. The stock exceeded the S&P 500, which registered a gain of 0.53% for the day. Elsewhere, the Dow gained 0.38%, while the tech-heavy Nasdaq added 0.25%.
The sporting goods retailer’s shares have seen an increase of 7.32% over the last month, surpassing the Retail-Wholesale sector’s gain of 5.57% and the S&P 500’s gain of 1.24%.
Market participants will be closely following the financial results of Dick’s Sporting Goods in its upcoming release. The company is predicted to post an EPS of $3.46, indicating a 10.13% decline compared to the equivalent quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $3.75 billion, down 3.25% from the year-ago period.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $13.89 per share and a revenue of $13.3 billion, representing changes of +7.59% and +2.42%, respectively, from the prior year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Dick’s Sporting Goods. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company’s business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection has moved 0.04% higher. As of now, Dick’s Sporting Goods holds a Zacks Rank of #2 (Buy).
Digging into valuation, Dick’s Sporting Goods currently has a Forward P/E ratio of 17.68. This denotes a premium relative to the industry’s average Forward P/E of 12.36.
One should further note that DKS currently holds a PEG ratio of 2.79. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company’s anticipated earnings growth rate. The Retail – Miscellaneous was holding an average PEG ratio of 1.4 at yesterday’s closing price.
The Retail – Miscellaneous industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 21, finds itself in the top 9% echelons of all 250+ industries.
