DKS Stock Forecast: Dicks Sporting Goods Inc.
Dick’s Sporting Goods has experienced tremendous growth in recent years. As the largest sporting goods retailer in the United States, Dick’s has over 854 stores and more than 50,000 employees. This alone is causing investors to watch the current DKS stock forecast to see if it is a smart investment.
In March 2020, while other stocks were being decimated, Dick’s began a slow and steady climb from a low of $16.81 to a high of $147.39 in September 2021. Since then, the stock is up more than 50% Fallen from May 2022 low of $71.24. However, in recent months, the stock has started another impressive climb. Is the recent upleg short-lived or will the rise continue?
If there’s one word that sums up the future of a particular stock, it might just be “expectations.” Consensus earnings estimates play a big part in evaluating a stock, though they often miss their mark. Analysts look at earnings and historical performance to make their assessment. From there, they try to forecast upcoming earnings per share (EPS). Consensus earnings estimates are typically the average or median of all the different analysts’ forecasts.
Typically, when news of the earnings announcement comes out, you will see the market react positively or negatively given the nature of the forthcoming report. Next, when actual earnings numbers are released, one could see the stock continue to rise or fall depending on how close analysts’ forecasts are to reality. When expectations and forecasts are high and earnings are well below the mark, you’re likely to see a sell-off. For our DKS stock forecast, we look forward to the earnings announcement next week.
DKS Stock Forecast – Earnings Announcement: Tuesday, August 23, 2022
Dick’s Sporting Goods Inc* is expected to report earnings on 08/23/2022 before the market opens. The report is prepared for the fiscal quarter ended July 2022. According to Zacks Investment Research, based on the forecasts of 10 analysts, the consensus EPS forecast for the quarter is $3.51. Reported earnings per share for the same quarter last year were $5.08.
A conference call will be held that day at 10:00 am to discuss the results ET. The conference call will be webcast and available on DICK’S Sporting Goods’ Investor Relations website at investors.dicks.com. To listen to the live call, please go to the website at least 15 minutes early to register and download and install the required audio software. A replay of the conference call will be archived on the company’s website for approximately twelve months.
Over the past few months, the DKS stock forecast has looked more benign, helping the stock rebound to $112 and rising from $71.24 in May. DKS stock has outperformed the retail and wholesale sectors overall during this period.
Just a few months ago, insiders and hedge funds alike were bullish on their DKS stock forecast. However, many analysts are now labeling DKS stock a sell. Notwithstanding, the company aims to remain strong in its earnings release next week. The expected $3.51 per share would reflect a more than 30% year-over-year decline. Dick’s is also expected to post net sales of $3.07 billion, down 6.16% from the same period last year. DKS stock currently has a forward P/E of 9.96.
Dick’s sporting goods – summarized
Investors will be eagerly awaiting the company’s earnings announcement on Tuesday, August 23rd. Outdoor activity has increased recently, which is always great for DKS stocks. Despite what this latest earnings report says, Dick’s Sporting Goods stock has shown strong resilience over the long term. So even if the stock falls, it can still be a good buy the dip candidate.
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Ben Broadwater is the Director of Investment U. He has over 15 years of content creation experience. He has worked and written for numerous financial publishing companies including Charles Street Research, The Oxford Club and now Investment U. When Ben is not busy running Investment U he can usually be found with a pair of drumsticks or a guitar in hand .