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Here's How Much a $1000 Investment in Dick's Sporting Goods Made 10 Years Ago Would Be Worth Today

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For most investors, how much a stock's price changes over time is important. This factor can impact your investment portfolio as well as help you compare investment results across sectors and industries.

Another thing that can drive investing is the fear of missing out, or FOMO. This particularly applies to tech giants and popular consumer-facing stocks.

What if you'd invested in Dick's Sporting Goods (DKS - Free Report) ten years ago? It may not have been easy to hold on to DKS for all that time, but if you did, how much would your investment be worth today?

Dick's Sporting Goods' Business In-Depth

With that in mind, let's take a look at Dick's Sporting Goods' main business drivers.

DICK’S Sporting Goods Inc. was founded in 1948 in New York under the labels Dick's Clothing and Sporting Goods, Inc. It was earlier reincorporated as a Delaware corporation and changed our name to Dick's Sporting Goods, Inc. in April 1999. The company’s executive office is located in Coraopolis, Pennsylvania.

The company operates as a major omni-channel sporting goods retailer, offering athletic shoes, apparel, accessories and a broad selection of outdoor and athletic equipment for team sports, fitness, camping, fishing, tennis, golf, water sports, etc.

DICK’S Sporting offers these items through a blend of associates, in-store services and unique specialty shop-in-shops. DICK’S Sporting also owns operates Golf Galaxy and Field & Stream stores as well as Team Sports HQ. It also operates all-in-one youth sports digital platform, which offer scheduling, communications and live scorekeeping via the GameChanger mobile apps, free league management services, custom uniforms and fan wear.

The company also operates through its e-commerce websites and catalog operations. The company operates 4 kinds of stores – a) single-level DICK’S Sporting stores of approximately 50,000 square feet, b) two-level DICK’S Sporting store of approximately 80,000 square feet, c) DICK’S Sporting stores for smaller markets of about 35,000–40,000 square feet, and d) 13,000–18,000 square feet Golf Galaxy stores.

DICK’s Sporting stocks nationally recognized brands such as Callaway Golf, adidas, TaylorMade-adidas Golf, The North Face, Asics, Under Armour, Nike, Columbia and Remington.

Bottom Line

While anyone can invest, building a lucrative investment portfolio takes research, patience, and a little bit of risk. If you had invested in Dick's Sporting Goods ten years ago, you're probably feeling pretty good about your investment today.

A $1000 investment made in February 2013 would be worth $2,808.35, or a 180.84% gain, as of February 2, 2023, according to our calculations. Investors should note that this return excludes dividends but includes price increases.

Compare this to the S&P 500's rally of 172.22% and gold's return of 12.52% over the same time frame.

Looking ahead, analysts are expecting more upside for DKS.

Shares of DICK’S Sporting have outpaced the industry in the past year. The stock’s bullish run on the bourses can be attributable to robust surprise trend, which continued in third-quarter fiscal 2022. This marked the 10th straight quarter of earnings and sales beat. The company witnessed growth on a two-year basis, driven by strength in its core strategies. As a result, it raised fiscal 2022 view. For fiscal 2022, the company expects a comp to be negative 1.5-3%, which is in sync with our comps estimate of negative 2.2%. Its store expansion initiatives, driven by DICK'S House of Sport, Golf Galaxy Performance Center, Public Lands and Going, Going, Gone! Stores, bode well. However, earnings declined year over year. Gross margin were hurt by higher promotional activities and investment to support growth strategies.

The stock has jumped 8.60% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 2 higher, for fiscal 2023; the consensus estimate has moved up as well.

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