UBS lowers Deckers Outdoor’s price target by $16 amid modest Q4 EPS expectations and stable FY27 guidance outlook.
UBS reduced its price target for Deckers Outdoor (DECK) to $145 from $161 while maintaining a Buy rating. The firm expects Deckers to exceed fiscal Q4 earnings per share estimates by about 10 cents, driven by strength in its HOKA brand. However, FY27 guidance is anticipated to align with market expectations, with limited impact on investor sentiment or valuation multiples.
Prior to this, Piper Sandler upgraded DECK to Neutral from Underweight, raising its price target to $100 from $95. Bernstein also adjusted its rating to Market Perform, increasing its target to $100 from $90. Both firms cited improved risk-reward dynamics following recent stock underperformance and more realistic valuation expectations.
Deckers is navigating its second year of slowing growth and valuation compression, though analysts suggest the worst of the reset may be over. Consensus estimates and market expectations now appear more balanced, according to Bernstein.