DICK’S Sporting Goods Inc. (NYSE:DKS) Relative Strength Index (RSI) is 40.10, with weekly volatility at 3.83% and ATR at 2.31. The DKS stock’s 52-week price range has touched low of $13.46 and a $63.29 high. Intraday shares traded counted 4.98 million, which was -107.54% lower than its 30-day average trading volume of 2.40M. Its shares traded higher over the last trading session, gaining 0.26% on 12/10/20. The shares fell to a low of $53.14 before closing at $54.59. DKS’s previous close was $54.45 while the outstanding shares total 84.42M. The firm has a beta of 1.65, a 12-month trailing P/E ratio of 13.47, and a growth ratio of 1.05.
Investors have identified the Specialty Retail company DICK’S Sporting Goods Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $4.96 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
DICK’S Sporting Goods Inc. (DKS) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. In terms of their assets, the company currently has 3.55 billion total, with 2.54 billion as their total liabilities.
DKS were able to record 761.07 million as free cash flow during the Q3 2020 quarter of the year, this saw their quarterly net cash flow reduce by 990.66 million. In cash movements, the company had a total of 917.51 million as operating cash flow.
Potential earnings growth for DICK’S Sporting Goods Inc. (DKS)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the Q3 2020 quarter of the year, DICK’S Sporting Goods Inc. recorded a total of 2.41 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 18.65% coming in sequential stages and their sales for the Q3 2020 quarter reducing by -12.49%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 1.57 billion trying to sell their products during the last quarter, with the result yielding a gross income of 842.17 million. This allows shareholders to hold on to 84.42M with the recently reported earning now reading 2.10 cents per share. This is a figure that compared to analyst’s prediction for their Q3 2020 (2.01 cents a share).
Having a look at the company’s valuation, the company is expected to record 5.02 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on DKS sounds very interesting.
Is the stock of DKS attractive?
In related news, Director, COLOMBO WILLIAM J sold 47,356 shares of the company’s stock in a transaction that recorded on Nov 27. The sale was performed at an average price of 60.19, for a total value of 2,850,400. As the sale deal closes, the Director, COLOMBO WILLIAM J now sold 31,394 shares of the company’s stock, valued at 1,884,814. Also, Director, COLOMBO WILLIAM J sold 3,091 shares of the company’s stock in a deal that was recorded on Nov 23. The shares were price at an average price of 60.01 per share, with a total market value of 185,482. Following this completion of acquisition, the Director, COLOMBO WILLIAM J now holds 200 shares of the company’s stock, valued at 12,005. In the last 6 months, insiders have changed their ownership in shares of company stock by 31.80%.
10 out of 25 analysts covering the stock have rated it a Buy, while 13 have maintained a Hold recommendation on DICK’S Sporting Goods Inc.. 1 analysts has assigned a Sell rating on the DKS stock. The 12-month mean consensus price target for the company’s shares has been set at $68.32.