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Auriga Maintains a 'Buy' on Deckers Outdoor (DECK); Lowering FY12 Estimates on Conversative Margins

February 8, 2012 10:39 AM EST
DECK Hot Sheet
Rating Summary:
    7 Buy, 6 Hold, 0 Sell

Rating Trend: Down Down

Today's Overall Ratings:
    Up: 19 | Down: 18 | New: 27
Auriga maintains a 'Buy' on Deckers Outdoor (NASDAQ: DECK) price target of $125.00.

Auriga analyst said, "Uncertainties surrounding DECK swirled for months as Mother Nature offered up an unseasonably warm winter in November and December. We believe some of the uncertainty was put to rest at the ICR conference in January when DECK stated that UGG is not a cold weather boot; this was consistent with our channel checks during Q4 and early Q1 where sell through rates appeared very high for the UGG brand. We feel comfortable with our Q4 EPS estimate of $3.14, +38% versus the PY. We are trimming 2012 to $5.85 from $6.01 to assume more conservative margin assumptions for the upcoming year."

For an analyst ratings summary and ratings history on Deckers Outdoor click here. For more ratings news on Deckers Outdoor click here.

Shares of Deckers Outdoor closed at $86.21 yesterday, with a 52 week range of $72.78-$118.90.


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