Dick's Sporting Goods (DKS) ended the recent trading session at $234.20, demonstrating a +1.71% change from the preceding day's closing price. The stock outpaced the S&P 500's daily gain of 0.4%. At the same time, the Dow lost 0.04%, and the tech-heavy Nasdaq gained 0.66%.
Shares of the sporting goods retailer witnessed a gain of 3.41% over the previous month, beating the performance of the Retail-Wholesale sector with its loss of 3.61%, and the S&P 500's gain of 1.02%.
The investment community will be closely monitoring the performance of Dick's Sporting Goods in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $2.71, reflecting a 1.45% decrease from the same quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $3.18 billion, up 3.94% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $14.39 per share and revenue of $13.98 billion, indicating changes of +2.42% and +4.02%, respectively, compared to the previous year.
Investors might also notice recent changes to analyst estimates for Dick's Sporting Goods. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.09% upward. Dick's Sporting Goods is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Dick's Sporting Goods is currently trading at a Forward P/E ratio of 16. This indicates a premium in contrast to its industry's Forward P/E of 15.51.
We can additionally observe that DKS currently boasts a PEG ratio of 3.3. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. Retail - Miscellaneous stocks are, on average, holding a PEG ratio of 2.52 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 31, putting it in the top 13% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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DICK'S Sporting Goods, Inc. (DKS): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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