Back to top

Image: Bigstock

Dick's Sporting Goods (DKS) Stock Moves -0.21%: What You Should Know

Read MoreHide Full Article

In the latest trading session, Dick's Sporting Goods (DKS - Free Report) closed at $83.77, marking a -0.21% move from the previous day. This change was narrower than the S&P 500's daily loss of 1.15%. Elsewhere, the Dow lost 0.52%, while the tech-heavy Nasdaq lost 0.34%.

Heading into today, shares of the sporting goods retailer had gained 8.32% over the past month, outpacing the Retail-Wholesale sector's loss of 3.17% and the S&P 500's loss of 5.08% in that time.

Investors will be hoping for strength from Dick's Sporting Goods as it approaches its next earnings release. In that report, analysts expect Dick's Sporting Goods to post earnings of $3.52 per share. This would mark a year-over-year decline of 30.71%. Meanwhile, our latest consensus estimate is calling for revenue of $3.08 billion, down 6.04% from the prior-year quarter.

DKS's full-year Zacks Consensus Estimates are calling for earnings of $10.81 per share and revenue of $11.84 billion. These results would represent year-over-year changes of -31.15% and -3.71%, respectively.

Any recent changes to analyst estimates for Dick's Sporting Goods should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 1.14% lower. Dick's Sporting Goods is currently a Zacks Rank #3 (Hold).

Looking at its valuation, Dick's Sporting Goods is holding a Forward P/E ratio of 7.77. For comparison, its industry has an average Forward P/E of 13.07, which means Dick's Sporting Goods is trading at a discount to the group.

Investors should also note that DKS has a PEG ratio of 1.55 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Retail - Miscellaneous stocks are, on average, holding a PEG ratio of 1.37 based on yesterday's closing prices.

The Retail - Miscellaneous industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 213, putting it in the bottom 16% 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.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


DICK'S Sporting Goods, Inc. (DKS) - free report >>

Published in