Deckers (DECK) Short Interest Still Robust into Q3 Results

October 17, 2012 9:54 AM EDT
Deckers Outdoor Corp (NASDAQ: DECK) shares are up well Wednesday morning, heading into the shoe retailer's third-quarter earnings report, which is expected out on October 25th. The stock is up over 2 percent in early trading.

Traders may want to note the high short-interest that Deckers carries. At last check, about 37 percent to 38 percent of Deckers float is being held short. Given the steep drop below $40 and recent resistance at $38.50, that area might be a key play for shorts to cover their position if shares make a strong move higher.

One thing to note is the dire estimates. Deckers is expected to report third-quarter EPS of $1.07. Notably, the quarter ended in September is usually one of the strongest for Deckers given back-to-school sales of UGG footwear. However, many analysts have piped-up recently that UGG is past its prime, lowering estimates in the process.

Last year, Deckers had EPS of $1.59 in the same period.

Still, even a slight beat might produce surprising results, given that Deckers' shares were trading well above $100 in the same period last year. For more on the recent analyst comments, click here.

Serious News for Serious Traders! Try Premium Free!

You May Also Be Interested In

Related Categories

Technicals, Trader Talk

Related Entities


Add Your Comment