Investor Insights

This summary was created by AI, based on 6 opinions in the last 12 months.

Experts have mixed opinions on Dick's Sporting Goods. While some believe that the company is oversold and showing signs of a strong back-to-school season and positive growth potential, others express concerns about the company's lower growth reflected in its valuation, as well as issues such as theft and margin challenges. The consensus seems to be that the stock is currently undervalued and has potential for recovery, even though it may require patience. Overall, the company is seen as having strengths in areas such as share buybacks, strong cash flows, and new store formats, but also facing challenges in sales trends and margin maintenance.

Consensus
Mixed
Valuation
Undervalued
BUY
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research

DKS tends to grow in the low-single digit range but shares are trading at 11X forward earnings, so this lower growth is reflected in the valuation. What DKS has done really well is with share buybacks, not being a stranger to repurchase nearly 10% of shares in some years. Cash flows are strong and we tend to prefer companies with higher growth rates in general, but we don't have a whole lot to be critical of here. 
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merchandising / lodging
BUY

Is oversold. Expects a strong back to school season, since they move a lot of sporting equipment. They report this week.

merchandising / lodging
BUY

He added more shares. The quarter was pretty good, and their new store format is killing it. They remain partners with Nike. This got oversold and cheap enough to buy. It's bouncing back fairly quickly.

merchandising / lodging
HOLD
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research

DKS is very cheap now at 9X earnings. The dividend of 3.6% has shown good growth. While many retailers are experiencing consumer slowdowns, DKS has a 'theft' issue. Theft is the driving force behind Dick's Sporting Goods' 23% EPS drop in 2Q and lowered guidance for the full year, as sales trends were only slightly below expectations in the quarter. Management's revised outlook for fiscal 2023 non-GAAP EPS suggests growth of about 2.5% in 2H vs. 1H's 4% decline as the retailer remains focused on maintaining elevated gross margin, implements a cost-cutting plan and expands its store footprint. Gains in 2H may be more heavily weighted toward seasonally strong 4Q vs. 3Q. The company's unchanged projection for same-store sales to be flat to 2% higher this fiscal year suggests further deceleration in 2H from 2Q's 1.8%, which marked a four-quarter low, as year-over-year comparisons get tougher. Short sellers do often 'pick on' weakness, and it is likely also a short target just for its consumer exposure, as many short sellers expect a recession. Short interest is 12% now. The balance sheet is fine, and we do not think recent issues are fatal. It is priced well, but a recovery is going to take some patience. We would consider it a HOLD.
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merchandising / lodging
BUY

Shares just slid 25% after a bad quarter. Earnings were down 23% YOY and slashed their earnings forecast 11%, but the stock was oversold. There were positives: they're gaining market share, and July sales were accelerating. Okay, margins were ugly. Excess inventory and theft were to blame. He's happy with the 3.6% dividend. He likes them unveiling House of Sports stores which include batting cages, artificial turf to try on cleat shoes and rock-climbing walls. These stores are experiences. Their golf sales tap into the rise in gold. Their new app for kids, Game-Changer, could become a major money-maker, worth over $1 billion by his research.

merchandising / lodging
BUY

It reports next week. It's one of the best retail stocks. He targets $150, just $4 off, so he might sell before the report. Trades at 10-11x PE, not that cheap, really. Expects a good quarter.

merchandising / lodging
BUY
He got back into it when its numbers began to compare favourably to Target's. It's cheap under 10x earnings, has great managers and apart from one quarter they have executed very well. Compare to Target which missed three straight quarters, but selling at 28x. In retail, they offer the best product pricing at various prices during the holiday season. He's very selective in retail.
merchandising / lodging
BUY
They report tomorrow. They sell the best sporting goods at fine prices. Supply chain should have improved since the last quarter.
merchandising / lodging
SELL
He sold Dick's Sporting Goods because it keep bleeding. It round-tripped for him. He sees the consumer losing spending power due to high inflation.
merchandising / lodging
BUY
Earnings increased, but the stock still got crushed. Their multiple contraction is reversing now. It remains a core position and he's happy to hold.
merchandising / lodging
BUY
They report Tuesday. He expects it to tell great stories and won't terrify with any stories about supply-chain woes.
merchandising / lodging
BUY

He's buying this week's dip. Dick's is down on today's Nike news about supply chain constraints. Dick's stock is very cheap and the managers offered good guidance.

merchandising / lodging
COMMENT
It's up 130% YTD. It's paid a special dividend and laid out a multi-year strategy.
merchandising / lodging
BUY
They report Tuesday and he expects strong numbers and a sunny outlook due to reopening when sporting events return. He likes how the non-essential stores have been trading up lately. The stock should rally after their report.
merchandising / lodging
BUY
They pivoted to curbside pick-up within 48 hours of lockdown orders hit last year. They had already spent years investing in their e-commerce, so they were prepared for Covid. The long-time CEO is changing, but the company remains in good hands (the CEO will stay on board as chief merchant officer). The chain started had two locations in the 1980s and now has over 700 stores. The stock is up 2200% since it IPOd in 2002. The stock is up 55% in the past year.
merchandising / lodging
Showing 1 to 15 of 18 entries

Dick's Sporting Goods(DKS-N) Rating

Ranking : 4 out of 5

Bullish - Buy Signals / Votes : 5

Neutral - Hold Signals / Votes : 1

Bearish - Sell Signals / Votes : 0

Total Signals / Votes : 6

Stockchase rating for Dick's Sporting Goods is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

Dick's Sporting Goods(DKS-N) Frequently Asked Questions

What is Dick's Sporting Goods stock symbol?

Dick's Sporting Goods is a American stock, trading under the symbol DKS-N on the New York Stock Exchange (DKS). It is usually referred to as NYSE:DKS or DKS-N

Is Dick's Sporting Goods a buy or a sell?

In the last year, 6 stock analysts published opinions about DKS-N. 5 analysts recommended to BUY the stock. 0 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Dick's Sporting Goods.

Is Dick's Sporting Goods a good investment or a top pick?

Dick's Sporting Goods was recommended as a Top Pick by on . Read the latest stock experts ratings for Dick's Sporting Goods.

Why is Dick's Sporting Goods stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is Dick's Sporting Goods worth watching?

6 stock analysts on Stockchase covered Dick's Sporting Goods In the last year. It is a trending stock that is worth watching.

What is Dick's Sporting Goods stock price?

On 2024-04-22, Dick's Sporting Goods (DKS-N) stock closed at a price of $198.67.