DECKERS OUTDOOR CORP (NYSE:DECK) Exhibits Quality Stock Traits. Here's Why.

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if DECKERS OUTDOOR CORP (NYSE:DECK) is suited for quality investing. Investors should of course do their own research, but we spotted DECKERS OUTDOOR CORP showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

A Deep Dive into DECKERS OUTDOOR CORP's Quality Metrics.

• DECK has demonstrated significant revenue growth over the past 5 years, with a 16.24% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
• With a notable ROIC excluding cash and goodwill at 136.0%, DECK demonstrates its commitment to generating sustainable returns for shareholders. This metric emphasizes the company's effective use of capital and its ability to deliver long-term value.
• With a Debt/Free Cash Flow Ratio of 0.0, DECK exhibits solid financial health and responsible debt management practices. This ratio indicates the company's ability to generate ample free cash flow to meet its debt obligations and pursue growth opportunities.
• With a favorable Profit Quality (5-year) ratio of 95.75%, DECK showcases its ability to consistently deliver high-quality profits. This metric signifies the company's financial strength and its capacity to generate sustainable earnings over an extended period.
• The 5-year EBIT growth of DECK has been remarkable, with 23.42% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
• DECK demonstrates a remarkable trend where its EBIT 5-year growth exceeds its Revenue 5-year growth. This indicates the company's ability to enhance its profitability through improved cost control and operational efficiency.

Zooming in on the fundamentals.

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 50 industry peers in the Textiles, Apparel & Luxury Goods industry. DECK gets an excellent profitability rating and is at the same time showing great financial health properties. DECK is growing strongly while it is still valued neutral. This is a good combination! 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.

Our Caviar Cruise screen will find you more ideas suited for quality investing.

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.