Dick's Sporting Goods (DKS) closed the most recent trading day at $201.83, moving -2.11% from the previous trading session. This move lagged the S&P 500's daily gain of 0.32%. Meanwhile, the Dow gained 0.53%, and the Nasdaq, a tech-heavy index, added 0.26%.
Coming into today, shares of the sporting goods retailer had gained 17.92% in the past month. In that same time, the Retail-Wholesale sector gained 3.84%, while the S&P 500 gained 4.51%.
Market participants will be closely following the financial results of Dick's Sporting Goods in its upcoming release. The company is forecasted to report an EPS of $4.29, showcasing a 1.83% downward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $3.6 billion, indicating a 3.57% increase compared to the same quarter of the previous year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $14.38 per share and a revenue of $13.9 billion, indicating changes of +2.35% and +3.37%, respectively, from the former year.
Investors should also pay attention to any latest changes in analyst estimates for Dick's Sporting Goods. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.1% downward. Dick's Sporting Goods is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, Dick's Sporting Goods currently has a Forward P/E ratio of 14.34. This indicates a premium in contrast to its industry's Forward P/E of 13.26.
Also, we should mention that DKS has a PEG ratio of 2.94. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The average PEG ratio for the Retail – Miscellaneous industry stood at 2.87 at the close of the market yesterday.
The Retail – Miscellaneous industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 180, which puts it in the bottom 28% of all 250+ industries.
