Evercore ISI analysts increased their price target for Deckers Outdoor (NYSE:DECK) to $235 from $195, maintaining an Outperform rating on the stock. The revised outlook reflects strong growth prospects driven by sustained demand for the company’s flagship brands, HOKA and UGG, in both domestic and international markets.
Deckers continues to stand out as a top-quality growth story in the softlines sector heading into 2025. Market checks indicate robust order volumes for both HOKA and UGG, with no signs of waning consumer enthusiasm. While the broader retail environment has seen heightened promotional activity, HOKA has maintained its premium positioning with limited discounts, and UGG has outperformed the overall boot category, despite unseasonably warm weather creating challenges for competitors.
According to the analysts, the ongoing shift in product mix is expected to provide margin expansion tailwinds, supporting Deckers’ ability to deliver mid-teens earnings per share growth annually over the next two years. The analysts’ 2025 EPS forecast remains unchanged, but estimates for 2026 and 2027 have been raised by 3% and 4%, respectively, positioning them above consensus by 3%.