BUZZ - Deckers shares fall as sales miss expectations; Piper downgrades rating to "Underweight"

Latest Developments

October 23 - ** Hoka's parent company Deckers Outdoor (DECK.N) shares once fell 8.2%, closing at $78.25

** The company stated that a significant price reduction by a competitor (link) put pressure on second-quarter sales, highlighting the challenges faced by premium footwear brands as consumers become increasingly selective with their spending

** The company reported sales of $1.48 billion for the quarter ended September 30, missing analysts' expectations of $1.51 billion, though quarterly profit rose by 27%

** Piper Sandler downgraded its rating from "Neutral" to "Underweight," and reduced the target price from $100 to $75

** The brokerage expects the challenging market environment to persist until next summer or autumn; in addition, demand for some HOKA products is below expectations, and elevated Clifton 10 inventory may further depress the stock's valuation

** Out of 28 brokerages, 13 have a "Buy" or higher rating on the stock, 11 have a "Hold" rating, and 4 rate it "Sell"; the median target price is $105—according to LSEG compiled data

** The stock has dropped about 17.7% year-to-date, underperforming the S&P 500 index .SPX, which has gained 11.9% over the same period

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