DECKERS OUTDOOR CORP

DECK
About the company

Deckers Outdoor Corporation, together with its subsidiaries, designs, markets, and distributes footwear, apparel, and accessories for casual lifestyle use and high-performance activities in the United States and internationally. The company offers footwear, apparel, and accessories under the UGG brand; footwear, such as running, trail, hiking, fitness, and lifestyle shoes, as well as apparel and accessories under the HOKA brand; and sandals, shoes, and boots under the Teva brand name.

Country: United StatesPrice: $77.68Market Cap: $10.8B

Investment snapshot

38%positive consensus
Scored 36d ago

Positive

5

BUY / PASS

Neutral / negative

4 / 6

NEUTRAL / FAIL

Median fair value

$122.82

+58.1% vs price

Models with upside

5 / 16

Positive margin of safety

Strongest signal

8 of 10 pass — Oshaughnessy and Dreman object

Key risk

10 of 11 flag DECK's debt & leverage — Lynch, Buffett, Akre +7 more

Framework analysis

VerdictMeaning
BUYPositive purchase signal: the framework's buy requirements are met.
PASSThe company clears the framework's checklist or screen, but the framework does not produce a buy signal. For valuation frameworks this often means margin of safety is missing, insufficient, or unavailable; some screen-only frameworks have no intrinsic-value BUY state.
NEUTRALNeither a positive nor negative conclusion. It does not mean to hold an existing position.
FAILThe company does not clear the framework's requirements.
RankedRanked strategies do not use PASS: selected cohort is BUY, outside the cohort is FAIL, and unranked is NEUTRAL.
Scored from 10-K36d ago
MetricO'Shaughnessy

Systematic Factor Composite

Lynch

GARP

Buffett

Quality Compounder

Pabrai

Dhandho Framework

Akre

Three-Legged Stool

Schloss

Asset-Value Discipline

Neff

Low-P/E Total Return

Sleep

Scale Economies Shared

Templeton

Global Bargain Hunter

Marks

Risk-Aware Value

Munger

Quality Focus

Ackman

Activist Value

Dreman

Contrarian Value

Piotroski

F-Score

Greenblatt

Magic Formula

Graham

Defensive Value

VerdictNEUTRALFAILPASSNEUTRALFAILFAILFAILNEUTRALPASSFAILPASSBUYPASSNEUTRALBUY · Rank #48 (Top 1.5%)FAIL
Score
Analysis
Intrinsic ValueN/AN/AN/AN/AN/AN/AN/AN/AN/A
Margin of SafetyN/AN/A+10.9%+36.8%+59.9%N/AN/AN/AN/AN/A+46.0%+72.6%N/AN/A-21.6%-45.7%
Data As Of10-K (2026-08-25)10-K (2026-08-25)10-K (2026-08-25)10-K (2026-08-25)10-K (2026-08-25)10-K (2026-08-24)10-K (2026-08-24)10-K (2026-08-23)10-K (2026-08-23)10-K (2026-08-23)10-K (2026-08-23)10-K (2026-08-23)10-K (2026-08-23)10-K (2026-08-23)10-K (2026-08-23)10-K (2026-08-23)

Where It Passes

  • Cash Flow80% pass✓ 10✗ 2▾

    8 of 10 pass — Oshaughnessy and Dreman object

    (Operating cash flow - capex) / market capitalization+10.17%; #634/4487 (top 14.1%)
    ✗OshaughnessyTop 10% of eligible cross-section
    FCF Positive and Growing$1.1B
    ✓LynchPositive and growing
    Free Cash Flow Proxy$1.0B
    ✓BuffettPositive and growing
    P/E or FCF YieldP/E=11.1x, FCF Yield=10.2%
    ✓PabraiP/E < 15 or FCF Yield > 10%
    Operating Cash Flow - Capital Expenditures$1.1B
    ✓Neff> $0 (app proxy for a strong fundamental case)
    Positive Operating Cash Flow frequency27/27 years positive
    ✓SleepPositive OCF in >= 70% of available years
    FCF Positive17/18 years FCF positive
    ✓MarksPositive FCF in majority of recent years
    (OCF - CapEx) / Market Cap10.2%
    ✓Ackman>= 4%
    Price / FCF per Share9.8x
    ✓Ackman<= 25
    Price / (CFO / Shares)9.1x
    ✗Dreman< 8x
    Operating Cash Flow$1.2B
    ✓PiotroskiCFO > 0
    (CFO / Total Assets) vs ROACFO/Assets=32.05%, ROA=27.77%
    ✓PiotroskiCFO/Assets > ROA
  • Valuation models71% pass✓ 5✗ 2▾

    Models split on DECK at $77.68 — fair values range $53.32–$283.06

    Buffett fair value$87.14
    ✓Buffett+10.9% margin vs $77.68
    Pabrai fair value$122.82
    ✓Pabrai+36.8% margin vs $77.68
    Akre fair value$193.88
    ✓Akre+59.9% margin vs $77.68
    Munger fair value$143.94
    ✓Munger+46.0% margin vs $77.68
    Ackman fair value$283.06
    ✓Ackman+72.6% margin vs $77.68
    Greenblatt fair value$63.89
    ✗Greenblatt-21.6% margin vs $77.68
    Graham fair value$53.32
    ✗Graham-45.7% margin vs $77.68

Where It Falls Short

  • Debt & Leverage9% pass✓ 3✗ 11▾

    10 of 11 flag DECK's debt & leverage — Lynch, Buffett, Akre +7 more

    Total Debt / Equity
    ✗Lynch< 0.33
    Cash - Long-term Debt
    ✗LynchPositive preferred
    Debt/Equity & Interest Coverage
    ✗BuffettD/E < 0.5 AND Interest Coverage > 5x
    Debt Levels
    ✗AkreDebt/Equity < 0.3✗MungerDebt/Equity < 0.5
    Total Debt / Shareholders' Equity
    ✗SchlossD/E < 1.00x✗Templeton< 1.0 (fixed cap; proxy for below-sector-median leverage)✗Dreman< 0.8
    Current Assets / Current Liabilities3.54x
    ✓SchlossCurrent ratio >= 1.50x (app cutoff)✓Dreman> 1.5
    Interest Coverage & Debt/EBITDAIC=506.8x, D/EBITDA=N/A
    ✗MarksInterest Coverage > 3x; Debt/EBITDA < 4x
    Total Debt / Shareholders Equity
    ✗Ackman<= 1.0
    LT Debt / Total Assets Change0.00% -> 0.00%
    ✓PiotroskiDecreased YoY
    LT Debt vs Net Current Assets
    ✗GrahamLT Debt <= Net Current Assets
  • Growth13% pass✓ 4✗ 9▾

    7 of 8 flag DECK's growth — Lynch, Neff, Sleep +4 more

    Basic earnings-growth PEG (dividends excluded)
    ✗Lynch< 1.0 (ideally < 0.5)
    3-5 Year EPS CAGR
    ✗Lynch15-30% (Fast Grower); > 0% to pass
    Inventory Growth vs Revenue GrowthInv: -1.7% vs Rev: 9.8%
    ✓LynchInventory growth < Revenue growth
    3-5 Year Diluted EPS CAGR
    ✗Neff7%-20% annualized
    Revenue growth vs. gross and operating margin trendgross margin 55.6% -> 57.7%, operating margin 21.6% -> 23.1%
    ✗SleepRevenue rising; gross margin flat or falling; operating margin holding
    5-year Revenue CAGR16.5%
    ✓SleepCAGR > 7%
    5-Year EPS CAGR
    ✗Templeton> 0% (5-year EPS CAGR)
    Positive Net Income Frequency28/28 years positive
    ✓MarksPositive net income in >= 7 of last 10 years
    3yr Median Revenue Growth16.3%
    ✓Ackman>= 5%
    Positive EPS Growth Frequency
    ✗AckmanPositive EPS growth in >= 3 of last 5 years
    EPS Growth Direction
    ✗DremanPositive over recent years
    EPS CAGR
    ✗Dreman> 5% annualized
    EPS Growth (3-yr avg, 10-yr window)
    ✗Graham>= 33% growth
  • Valuation33% pass✓ 10✗ 16▾

    8 of 12 flag DECK's valuation — Oshaughnessy, Lynch, Schloss +5 more

    Revenue / market capitalization+0.5072; #2462/5203 (top 47.3%)
    ✗OshaughnessyTop 10% of eligible cross-section
    Net income / market capitalization+9.49%; #637/6251 (top 10.2%)
    ✗OshaughnessyTop 10% of eligible cross-section
    (Operating cash flow - capex) / market capitalization+10.17%; #634/4487 (top 14.1%)
    ✗OshaughnessyTop 10% of eligible cross-section
    Trailing six-month price return through the evaluation date-22.39%; #4692/6203 (top 75.6%)
    ✗OshaughnessyTop 10% of eligible cross-section
    Basic earnings-growth PEG (dividends excluded)
    ✗Lynch< 1.0 (ideally < 0.5)
    P/E or FCF YieldP/E=11.1x, FCF Yield=10.2%
    ✓PabraiP/E < 15 or FCF Yield > 10%
    Price / Book Value per Share4.32x
    ✗SchlossP/B <= 0.80x (app cutoff)✗Templeton< 1.5x✗Dreman< 1.2x
    Price / Tangible Book Value per Share4.37x
    ✗SchlossP/TBV <= 1.00x (app cutoff)
    Book Value per Share Change
    ✗SchlossLatest BVPS >= earliest BVPS over >= 3 years (app rule)
    Price / Diluted EPS11.1x
    ✓NeffP/E <= 15x (app proxy for a P/E 40%-60% below the market)
    (EPS CAGR % + Dividend Yield %) / P/E
    ✗Neff> 0.7 (Neff's published traditional edge)
    Price / EPS11.1x
    ✓Templeton< 12x (fixed ceiling; proxy for the market's cheapest 40%)✓Dreman< 12x
    Price vs. Trailing Low100% of trailing low ($77.68)
    ✓Templeton<= 120% of trailing low (certified split-adjusted live window)
    P/B or P/E vs. Historical AverageP/E=11.1x, P/B=4.3x
    ✓MarksP/E < 15 or P/B < 2.0
    Discount to Intrinsic Value
    ✗Marks>= 20% below intrinsic value
    Valuation ReasonablenessP/E=11.1x, OE Yield=9.4%
    ✓MungerP/E < 25 or Owner Earnings Yield > 5%
    Price / FCF per Share9.8x
    ✓Ackman<= 25
    Price / (CFO / Shares)9.1x
    ✗Dreman< 8x
    EBIT / Enterprise Value14.2%
    ✓Greenblatt> 10%
    Earnings Yield + ROC AssessmentEY=14.2%, ROC=264.8%
    ✓GreenblattBoth EY > 10% and ROC > 25%
    Price / 3-yr avg EPS
    ✗Graham<= 15x
    Price-to-Book Ratio4.3x
    ✗Graham<= 1.5x
    P/E x P/B
    ✗Graham<= 22.5
  • Profitability40% pass✓ 18✗ 13▾

    9 of 15 flag DECK's profitability — Oshaughnessy, Lynch, Buffett +6 more

    Net income / market capitalization+9.49%; #637/6251 (top 10.2%)
    ✗OshaughnessyTop 10% of eligible cross-section
    Basic earnings-growth PEG (dividends excluded)
    ✗Lynch< 1.0 (ideally < 0.5)
    3-5 Year EPS CAGR
    ✗Lynch15-30% (Fast Grower); > 0% to pass
    ROE41.0%
    ✓Lynch> 15%
    Net Income Positive (10+ years)28/29 years positive
    ✗BuffettPositive every year for 10+ years
    ROE (up to 5-year arithmetic mean)34.8%
    ✓Buffett> 15% arithmetic mean (app rule)
    Operating Margin (10-yr trend)23.1% (latest)
    ✓BuffettStable or rising over 10 years
    Free Cash Flow Proxy$1.0B
    ✓BuffettPositive and growing
    Earnings Variance (10-yr CoV)
    ✗BuffettCoV < 0.3
    Retained Earnings Effectiveness
    ✗Buffett$1 retained -> > $1 market value created
    Margin of SafetyP/E=11.1x, P/B=4.3x
    ✓PabraiP/B < 1.5 or P/E < 15
    Return on Equity38.5% (3-yr avg)
    ✓AkreROE > 20% (3-year avg)
    Positive Diluted-EPS Years10/10 years positive
    ✓Schloss>= 70% positive over 5-10 observed years (app rule)
    3-5 Year Diluted EPS CAGR
    ✗Neff7%-20% annualized
    Revenue growth vs. gross and operating margin trendgross margin 55.6% -> 57.7%, operating margin 21.6% -> 23.1%
    ✗SleepRevenue rising; gross margin flat or falling; operating margin holding
    5-Year EPS CAGR
    ✗Templeton> 0% (5-year EPS CAGR)
    Operating Margin Trend21.6% (2023) -> 23.1% (2025)
    ✓TempletonNon-negative operating-margin trend over 3 years
    Discount to Intrinsic Value
    ✗Marks>= 20% below intrinsic value
    Positive Net Income Frequency28/28 years positive
    ✓MarksPositive net income in >= 7 of last 10 years
    Operating Income / Revenue23.1%
    ✓Ackman>= 15%
    Net Income / Shareholders Equity41.0%
    ✓Ackman>= 15%
    Pre-Tax Income / Revenue19.8%
    ✓Dreman>= 8%
    Net Income / Shareholders' Equity41.0%
    ✓Dreman> 12%
    Net Income / Total Assets27.77%
    ✓PiotroskiROA > 0
    ROA Change YoY27.06% -> 27.77% (delta: +0.71%)
    ✓PiotroskiCurrent ROA > Prior ROA
    (CFO / Total Assets) vs ROACFO/Assets=32.05%, ROA=27.77%
    ✓PiotroskiCFO/Assets > ROA
    Gross Margin Change YoY57.9% -> 57.7%
    ✗PiotroskiImproved YoY
    EBIT / Enterprise Value14.2%
    ✓Greenblatt> 10%
    Earnings Yield + ROC AssessmentEY=14.2%, ROC=264.8%
    ✓GreenblattBoth EY > 10% and ROC > 25%
    Positive EPS (10 years)23/29 years positive
    ✗GrahamPositive EPS every year for 10 years
    EPS Growth (3-yr avg, 10-yr window)
    ✗Graham>= 33% growth
  • Efficiency50% pass✓ 6✗ 5▾

    4 of 8 pass — Akre, Sleep, Munger +1 more object

    ROIC (3-5 yr avg)49.8%
    ✓Buffett> 10%
    ROIC - WACC+39.8%
    ✓BuffettPositive (WACC = 10%)
    ROIC (high and growing)FY2023: ROIC=unavailable; FY2024: ROIC=unavailable; FY2025: ROIC=unavailable
    ✗AkreLatest 3 consecutive FYs: ROIC > 15% in each
    Reinvestment Rate x ROIC
    ✗AkreReinvestment Rate * ROIC > 10%
    ROIC (5-year)
    ✗SleepROIC > 12% in a majority of years
    Return on Invested Capital
    ✗Munger> 15%
    Current Assets / Current Liabilities3.54
    ✓Dreman> 1.5
    Current Ratio Change YoY3.72 -> 3.54
    ✗PiotroskiIncreased YoY
    Revenue / Total Assets Change YoY1.40x -> 1.48x
    ✓PiotroskiImproved YoY
    EBIT / (NWC + Net Fixed Assets)264.8%
    ✓Greenblatt> 25%
    Current Ratio3.54
    ✓Graham>= 2.0
  • Verdicts50% pass✓ 6✗ 6▾

    Split decision: 6 FAIL · 4 NEUTRAL · 4 PASS · 1 BUY

    Overall verdict
    •OshaughnessyNEUTRAL (Not ranked)✗LynchFAIL (3/7)✓BuffettPASS (5/9)•PabraiNEUTRAL (2/3)✗AkreFAIL (2/6)✗SchlossFAIL (2/7)✗NeffFAIL (3/6)•SleepNEUTRAL (4/6)✓TempletonPASS (4/8)✗MarksFAIL (3/5)✓MungerPASS (2/4)✓AckmanBUY (7/9)✓DremanPASS (5/11)•PiotroskiNEUTRAL (F-Score 7)✓GreenblattRank #48✗GrahamFAIL (2/9)

Business & financials

Company Profile

Industry: Apparel
SIC Sector: Rubber & Plastics
Size: Large Cap($10.8B)
Revenue: $5.5B+9.8% YoY
Net Income: $1.0B+6.0% YoY

Financial Snapshot

Operating Margin23.1%
Return on Equity41.0%
Debt / Equity--
Current Ratio3.54
EPS (Diluted)$7.02+10.9% 1y
Buybacks (1y)$1.1B
Buybacks (2y)$1.6B
Shares Retired7.1% / 9.6% 2y

Similar Companies

CTASCINTAS CORP
$79.0B
TPRTAPESTRY, INC.
$22.8B
ASAmer Sports, Inc.
$15.2B
LULUlululemon athletica inc.
$10.7B

Shareholder Return

Fiscal 2025

Retired 7.1% of shares last year, 9.6% over two.

Buybacks
$1.1B
Dividends
—

What drove EPS

A buyback raises earnings per share without the company earning more. This splits each year's change into the two.

FY22
19.1% = 14.4% + 4.2%
FY23
50.5% = 47.0% + 2.4%
FY24
−78.3% = 27.2% + −82.9%
FY25
10.9% = 6.0% + 4.6%
Earnings Fewer shares More shares

The two parts do not sum exactly to the total — the difference is the cross-term, plus preferred capital where the company has any. It is left visible rather than distributed into the other two.

Share count is the denominator the filer used for diluted EPS, recovered as net income ÷ EPS — not the balance-sheet count, which is a point-in-time figure and would put the timing difference into this split. Years with a loss are omitted: a smaller share count makes a loss per share larger, so the decomposition inverts.

Company Financials

Annual data (10-K) · Last 5 years

MetricFY 2025FY 2024FY 2023FY 2022FY 2021
Market Cap$10.8B$26.5Best.$3.2Best.$1.9Best.$1.4Best.
Revenue$5.5B↑10%$5.0B↑16%$4.3B↑18%$3.6B↑15%$3.2B
Operating Income$1.3B↑7%$1.2B↑27%$927.5M↑42%$652.8M↑16%$564.7M
Net Income$1.0B↑6%$966.1M↑27%$759.6M↑47%$516.8M↑14%$451.9M
EPS (Diluted)$7.02↑11%$6.33↓78%$29.16↑51%$19.37↑19%$16.26
Gross Margin57.7%57.9%↑4%55.6%↑11%50.3%↓1%51.0%
Operating Margin23.1%↓2%23.6%↑9%21.6%↑20%18.0%17.9%
ROE41.0%↑7%38.4%↑7%36.0%↑23%29.3%29.4%
Total Debt----------
Shareholders' Equity$2.5B↓1%$2.5B↑19%$2.1B↑19%$1.8B↑15%$1.5B
Current Ratio3.54↓5%3.72↑9%3.39↓12%3.84↑19%3.23
Debt / Equity—————
Operating Cash Flow$1.2B↑13%$1.0B↑1%$1.0B↑92%$537.4M↑212%$172.4M
Free Cash Flow$1.1B↑15%$958.4M↑2%$943.8M↑107%$456.4M↑276%$121.3M

Score history

Historical Score Timeline

Industry peers

Industry Peers

Similar companies in Apparel

DECK vs Peers — Financial Grading

Revenue$5.5BMedian
Net Income$1.0BTop 25%
ROE41.0%Top 25%
D/E—
Op. Margin23.1%Top 25%
Curr. Ratio3.54Top 25%
CompanyMarket CapPriceRevenueNet IncomeROED/EOp. MarginCurr. RatioGrahamBuffettLynchGreenblattPiotroskiDreman
CINTAS CORPCTAS$79.0B$197.74$10.3B$1.8B38.7%0.5222.8%2.093/95/91/71/3F-Score 55/11
TAPESTRY, INC.TPR$22.8B$114.12$7.0B$183.2M21.4%2.795.9%1.871/93/91/70/3F-Score 53/11
Amer Sports, Inc.AS$15.2B$27.24$6.6B$427.4M7.4%0.1410.7%1.502/93/92/71/3F-Score 74/11
lululemon athletica inc.LULU$10.7B$96.87$11.1B$1.6B31.8%0.0019.9%2.264/95/93/73/3F-Score 45/11
On Holding AGONON$9.9B$29.55$3.8B$257.3M12.5%0.3212.5%2.712/95/92/71/3F-Score 74/11
Gildan Activewear Inc.GIL$7.9B$42.62$3.6B$398.9M11.2%1.2117.1%2.113/95/91/70/3F-Score 45/11
LEVI STRAUSS & COLEVI$7.6B$19.75$6.3B$578.1M25.4%0.4610.8%1.553/95/92/71/3F-Score 75/11
Crocs, Inc.CROX$6.3B$126.14$4.0B$81.2M-6.3%0.953.7%1.272/94/90/71/3F-Score 52/11