Stern Agee Analyst Upgrades Deckers
By The Associated Press April 18, 2012 2:28 PM
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A Sterne Agee analyst upgraded his rating on shares of Deckers Outdoor Corp. Wednesday but remained wary of buying any of the stock until the shoe maker’s future becomes clearer.
THE OPINION: Analyst Sam Poser now rates the shares “Neutral,” up from “Underperform.” He said the company’s stock price has been within striking distance of his recent price target of $60.
But he said he is concerned about the company’s earnings potential and about weak sales of its Ugg shoes and boots — and he wouldn’t buy the shares yet. ugg boots cheap maroon mens
Deckers, which also makes Teva sandals, Sanuk and other casual and outdoor shoes, expects most of its annual sales and earnings in the second half of its fiscal year. Poser said information about the strength of its key Ugg brand won’t be available until late July at the wholesale ugg mocha tall boots 5163 shop earliest. That’s when Nordstrom holds its “anniversary” sale.
“It continues to be clear to us that for sales ugg adirondack boots shop the first time in over eight years, supply of Ugg boots has met demand for UGG boots,” Poser wrote in his note.
Historically, some UGG boots have sold out around February and weren’t available again until late July, which meant demand built each year. But this year, there is a glut because Deckers made more Uggs and consumers have bought fewer due to higher prices and an unusually ugg boots danton deguia warm winter.
THE STOCK: ugg boots hot sale items Shares of Deckers sales ugg sundance limited edition 5728 cheap rose $1.59, or 2.5 percent, to $66.59 by mid-afternoon. They are trading near their low of $61.08 for the year and have fallen ugg boots aus uk zoll more than 40 percent from an all-time closing high of $115.24 in October, but the first time shares of Deckers ever traded above $60 was late 2010.
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