This Fast-Growing Stock-Split Stock Just Trounced Estimates Again. Is It Too Late to Buy?

Core Viewpoint - Deckers has demonstrated strong growth in its latest earnings report, with significant revenue increases and positive market reactions following its recent stock split [3][4][6]. Financial Performance - Total revenue increased by 20.1% to $1.31 billion, surpassing estimates of $1.2 billion [4]. - Direct-to-consumer (DTC) revenue rose by 19.9% to $397.7 million, while wholesale revenue grew by 20.2% to $913.7 million [4]. - Hoka brand sales surged by 34.7% to $570.9 million, and international revenue increased by 33% to $457.4 million [5]. - Ugg brand revenue reached $689.9 million, up 13% year-over-year [5]. - Gross margin improved by 250 basis points to 55.9%, contributing to a 36% increase in operating income to $305.1 million [6]. Earnings and Guidance - Earnings per share rose from $1.14 to $1.59, exceeding the consensus estimate of $1.24 [7]. - The company raised its revenue forecast to $4.8 billion, indicating a 12% growth, which is below the consensus estimate of $4.82 billion [7]. - The earnings forecast was adjusted to a range of $5.15 to $5.25, compared to estimates of $5.35 [7][8]. Market Position and Outlook - Deckers' stock has increased over 500% in the last five years, with Hoka and Ugg as category leaders [10]. - The company trades at a price-to-earnings ratio of 32, with expectations of beating conservative guidance [10]. - The upcoming holiday season is crucial, with improving consumer sentiment and falling interest rates likely to boost spending [11].