Should you consider DECKERS OUTDOOR CORP (NYSE:DECK) for quality investing?

In this article we will dive into DECKERS OUTDOOR CORP (NYSE:DECK) as a possible candidate for quality investing. Investors should always do their own research, but we noticed DECKERS OUTDOOR CORP showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.

Some of the quality metrics of NYSE:DECK highlighted

• DECKERS OUTDOOR CORP has achieved substantial revenue growth over the past 5 years, with a 13.77% increase. This signifies the company's ability to successfully capture market opportunities and generate sustained revenue growth.
• With a robust ROIC excluding cash and goodwill at 52.09%, DECKERS OUTDOOR CORP showcases its effective allocation of capital and operational excellence. This metric signifies the company's ability to generate attractive returns and supports its long-term financial performance.
• DECKERS OUTDOOR CORP demonstrates a well-balanced Debt/Free Cash Flow Ratio of 0.0, indicating effective debt management and strong cash flow generation. This ratio suggests the company has a sustainable financial position and the capacity to allocate capital efficiently.
• DECKERS OUTDOOR CORP exhibits impressive Profit Quality (5-year) with a 95.9% ratio, reflecting its consistent ability to generate high-quality profits. This metric underscores the company's strong financial performance and commitment to delivering sustainable earnings.
• The 5-year EBIT growth of DECKERS OUTDOOR CORP has been remarkable, with 24.43% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
• DECKERS OUTDOOR CORP has achieved impressive EBIT 5-year growth, surpassing its Revenue 5-year growth. This indicates the company's ability to improve its profitability and operational efficiency, highlighting its strong financial performance.

What is the full fundamental picture of NYSE:DECK telling us.

ChartMill employs a sophisticated system to assign a Fundamental Rating to every stock in its analysis. This rating, which ranges from 0 to 10, is determined by carefully assessing multiple fundamental indicators and properties.

Overall DECK gets a fundamental rating of 7 out of 10. We evaluated DECK against 48 industry peers in the Textiles, Apparel & Luxury Goods industry. DECK has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. DECK shows excellent growth, but is valued quite expensive already. These ratings could make DECK a good candidate for growth and quality investing.

Check the latest full fundamental report of DECK for a complete fundamental analysis.

More ideas for quality investing can be found on ChartMill in our Caviar Cruise screen.

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.