Evaluating DECKERS OUTDOOR CORP (NYSE:DECK) using Peter Lynch’s legendary strategy

Known for his philosophy of investing in what you know, Peter Lynch looked for companies with consistent earnings growth, low debt, and a competitive edge. Does DECKERS OUTDOOR CORP (NYSE:DECK) meet these key criteria? Let’s find out.

How does DECKERS OUTDOOR CORP (NYSE:DECK) stack up against Peter Lynch’s investment principles?

• DECK has achieved an impressive Return on Equity (ROE) of 35.81%, showcasing its ability to generate favorable returns for shareholders.
• A Debt/Equity ratio of 0.0 suggests that DECK is managing its debt levels responsibly.
• DECK has experienced 27.07 growth in EPS over a 5-year period, demonstrating its ability to generate sustained and positive earnings momentum.
• Considering its PEG ratio of 0.76, DECK may be an undervalued growth opportunity.
• A Current Ratio of 3.17 suggests that DECK has sufficient assets to cover its short-term liabilities.

Fundamental Analysis Observations

ChartMill assigns a proprietary Fundamental Rating to each stock. The score is computed daily by evaluating various fundamental indicators and properties. The score ranges from 0 to 10.

We assign a fundamental rating of 8 out of 10 to DECK. DECK was compared to 49 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 is growing strongly while it is still valued neutral. This is a good combination! With these ratings, DECK could be worth investigating further for growth and quality investing!.

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

More Affordable Growth stocks can be found in our Peter Lynch screener.

Keep in mind

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.