Dick's Sporting Goods (DKS) Stock Sinks As Market Gains: What You Should Know

Dick's Sporting Goods (DKS) closed at $118.95 in the latest trading session, marking a -1.47% move from the prior day. This change lagged the S&P 500's 0.37% gain on the day.

Prior to today's trading, shares of the sporting goods retailer had lost 8.94% over the past month. This has lagged the Retail-Wholesale sector's loss of 0.05% and the S&P 500's gain of 2.13% in that time.

DKS will be looking to display strength as it nears its next earnings release. On that day, DKS is projected to report earnings of $1.82 per share, which would represent a year-over-year decline of 9.45%. Our most recent consensus estimate is calling for quarterly revenue of $2.42 billion, up 0.43% from the year-ago period.

DKS's full-year Zacks Consensus Estimates are calling for earnings of $12.89 per share and revenue of $11.69 billion. These results would represent year-over-year changes of +110.62% and +21.97%, respectively.

Any recent changes to analyst estimates for DKS should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 7.16% higher. DKS currently has a Zacks Rank of #2 (Buy).

Investors should also note DKS's current valuation metrics, including its Forward P/E ratio of 9.37. Its industry sports an average Forward P/E of 13.52, so we one might conclude that DKS is trading at a discount comparatively.

It is also worth noting that DKS currently has a PEG ratio of 0.73. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Retail - Miscellaneous stocks are, on average, holding a PEG ratio of 1 based on yesterday's closing prices.

The Retail - Miscellaneous industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 107, which puts it in the top 43% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.

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DICK'S Sporting Goods, Inc. (DKS) : Free Stock Analysis Report
 
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