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In the latest trading session, Dick's Sporting Goods (DKS) closed at $111.92, marking a -1.61% move from the previous day. This move lagged the S&P 500's daily loss of 0.54%. Elsewhere, the Dow lost 0.02%, while the tech-heavy Nasdaq lost 0.12%.
Prior to today's trading, shares of the sporting goods retailer had gained 1.72% over the past month. This has outpaced the Retail-Wholesale sector's loss of 12.57% and the S&P 500's loss of 7.87% in that time.
Dick's Sporting Goods will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $3.38, up 39.09% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $3.31 billion, up 6% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $15.40 per share and revenue of $12.25 billion, which would represent changes of +151.63% and +27.78%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Dick's Sporting Goods. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. The Zacks Consensus EPS estimate has moved 5.36% higher within the past month. Dick's Sporting Goods currently has a Zacks Rank of #1 (Strong Buy).
Digging into valuation, Dick's Sporting Goods currently has a Forward P/E ratio of 7.38. This valuation marks a discount compared to its industry's average Forward P/E of 13.62.
It is also worth noting that DKS currently has a PEG ratio of 0.63. 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 0.64 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 46, which puts it in the top 19% of all 250+ industries.