Deckers Outdoor (NYSE:DECK) Shares Gap Up After Better-Than-Expected Earnings

Deckers Outdoor Corporation (NYSE:DECK)’s share price gapped up before the market opened on Friday after the company announced better than expected quarterly earnings. The stock had previously closed at $99.90, but opened at $114.90. Deckers Outdoor shares last traded at $112.2220, with a volume of 1,653,332 shares.

The textile maker reported $3.33 earnings per share for the quarter, beating the consensus estimate of $2.77 by $0.56. Deckers Outdoor had a net margin of 19.46% and a return on equity of 42.13%. The firm had revenue of $1.96 billion for the quarter, compared to analysts’ expectations of $1.87 billion. During the same quarter in the previous year, the company posted $3.00 EPS. The company’s revenue was up 7.1% compared to the same quarter last year.

Key Headlines Impacting Deckers Outdoor

Here are the key news stories impacting Deckers Outdoor this week:

• Positive Sentiment: Q3 beat and raised FY26 guidance — DECK reported EPS $3.33 vs. $2.77 expected and revenue $1.96B vs. $1.87B; management raised FY26 EPS and net sales guidance, which is the primary driver of the rally. DECK Stock Jumps on Q3 Earnings Beat & Raised FY26 Guidance
• Positive Sentiment: HOKA and UGG drove revenue strength — HOKA grew in the high-teens (~$629M) and UGG sales beat estimates, underpinning top-line momentum and margin resiliency. Deckers Outdoors raises annual sales and profit forecasts
• Positive Sentiment: Analysts raising targets / buy ratings — Several firms lifted price targets (examples include Stifel and Needham), signaling re‑pricing by the Street after the beat-and-raise. DECK price target raised at Stifel
• Positive Sentiment: Unusual options flow — Large call buying ahead of/around the release suggests active bullish positioning by traders (elevates intraday demand).
• Neutral Sentiment: Street may re-price but stay cautious — Coverage notes the beat is significant, but some analysts view the raise as measured given scale and reinvestment plans; multiple expansion may be gradual. DECK Q3 earnings report
• Neutral Sentiment: Mixed analyst stances — a few firms reaffirmed holds or gave conservative views prior to the print, so expect divergent post-earnings opinions. Jefferies reaffirms hold
• Negative Sentiment: Tariff headwinds remain material — Management quantified roughly $110M of tariff cost for FY26 and said Q4 could carry the full 20% burden; this caps margin upside until resolved. Deckers surprise blowout and tariff discussion
• Negative Sentiment: UGG shows signs of slowing — some commentary and transcripts flag a normalization in UGG demand versus prior outsized growth, which could moderate overall company growth going forward. Deckers: HOKA Is Still Sprinting Forward

Analyst Ratings Changes

Several analysts have recently commented on the stock. Piper Sandler reaffirmed an “underweight” rating and set a $95.00 price target (up previously from $85.00) on shares of Deckers Outdoor in a research report on Friday. Zacks Research cut Deckers Outdoor from a “strong-buy” rating to a “hold” rating in a research note on Monday, November 10th. TD Cowen restated a “buy” rating on shares of Deckers Outdoor in a research report on Friday, October 24th. Guggenheim started coverage on Deckers Outdoor in a report on Tuesday, December 9th. They set a “neutral” rating for the company. Finally, Stifel Nicolaus raised their price objective on Deckers Outdoor from $117.00 to $140.00 and gave the stock a “buy” rating in a research report on Friday. Two equities research analysts have rated the stock with a Strong Buy rating, nine have assigned a Buy rating, eleven have given a Hold rating and three have issued a Sell rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $125.20.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. Geode Capital Management LLC boosted its holdings in Deckers Outdoor by 2.7% in the second quarter. Geode Capital Management LLC now owns 4,427,639 shares of the textile maker’s stock valued at $454,662,000 after purchasing an additional 114,779 shares during the period. Invesco Ltd. grew its position in Deckers Outdoor by 19.4% during the 2nd quarter. Invesco Ltd. now owns 2,781,218 shares of the textile maker’s stock worth $286,660,000 after purchasing an additional 452,081 shares during the last quarter. Norges Bank purchased a new position in shares of Deckers Outdoor in the 2nd quarter valued at approximately $223,036,000. Viking Global Investors LP acquired a new stake in shares of Deckers Outdoor in the 3rd quarter worth $175,058,000. Finally, Northern Trust Corp lifted its holdings in shares of Deckers Outdoor by 3.6% in the 3rd quarter. Northern Trust Corp now owns 1,721,542 shares of the textile maker’s stock valued at $174,513,000 after buying an additional 60,029 shares during the period. Hedge funds and other institutional investors own 97.79% of the company’s stock.

Deckers Outdoor Price Performance

The company’s 50 day moving average is $100.19 and its 200 day moving average is $101.54. The stock has a market cap of $17.36 billion, a price-to-earnings ratio of 16.82, a PEG ratio of 4.50 and a beta of 1.15.

Deckers Outdoor Company Profile

Deckers Outdoor Corporation is a global designer, marketer and distributor of footwear, apparel and accessories. The company’s product portfolio includes well‐known brands such as UGG, HOKA, Teva, Sanuk and Koolaburra by UGG, spanning a range of lifestyle, performance and outdoor categories. Deckers leverages a blend of proprietary manufacturing, strategic brand storytelling and direct‐to‐consumer retail to serve both fashion‐focused and performance‐oriented customers.

Founded in 1973 by Doug Otto and Karl F.