Dicks Story

DKS -- USA Stock

USD 68.55 0.05 0.07%

Macroaxis Story

Dicks Sporting Goods is scheduled to announce its earnings today. The next earnings report is expected on the 9th of March 2021. Consumer cyclical space may be getting hot again, let's check if Dicks Sporting Goods is sending any bullish signals to investors. I will address the reasons this entity was abused by retail investors resulted from the current market uncertainty. We currently estimate Dicks Sporting as undervalued. The real value is approaching 61.62 per share.

Published over two months ago

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Will Dicks Sporting (NYSE:DKS) basic indicators remain weak in December?

Our advice module provides unbiased investment recommendation that can be used to complement current average analyst sentiment on Dicks Sporting Goods. Our advice engine provides an advice for the firm potential to grow from the perspective of an investor's risk tolerance and investing horizon.

Typically, a company's financial statements are the reports that show the financial position of the company. There are three main documents that fall into the category of financial statements. These documents include Dicks Sporting income statement, its balance sheet, and the statement of cash flows. Potential Dicks Sporting investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although Dicks Sporting investors may use each financial statement separately, they are all related. The changes in Dicks Sporting's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Dicks Sporting's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages. The goal of Dicks Sporting fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of Dicks Sporting performance into the future periods or doing a reasonable stock valuation. The intrinsic value of Dicks Sporting shares is the value that is considered the true value of the share. If the intrinsic value Dicks is higher than its market price, buying is generally recommended. If it is equal to the market price, it is recommended to hold; and if it is less than the market price, then one should sell all shares Dicks Sporting. Please read more on our fundamental analysis page.

Are Dicks Sporting Earnings Expected to grow?

The future earnings power of Dicks Sporting involves the interaction of many company-specific, industry, and economic forces. Earnings estimates embody investors' opinions of Dicks Sporting factors such as sales growth, product demand, competitive industry environment, profit margins, and cost controls. Dicks Sporting stock prices adjust as these expectations change or are proven wrong. The main thing to remember is that equities with high expected earnings growth tend to underperform the market because it is usually difficult to meet the market's high expectations. Companies with low earnings expectations tend to do better than expected. Please use our latest analysis of Dicks expected earnings.

And What about dividends?

A dividend is the distribution of a portion of Dicks Sporting earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. Dicks Sporting dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. Dicks one year expected dividend income is about $0.58 per share.

Dicks Sporting Dividend Yield is relatively stable at the moment as compared to the past year. Dicks Sporting reported last year Dividend Yield of 0.012. As of 01/26/2021, Dividends per Basic Common Share is likely to grow to 0.71, while Payment of Dividends and Other Cash Distributions is likely to drop (66.1 M).

	Last Reported	Projected for 2021
Payment of Dividends and Other Cash Distributions	-61.3 M	-66.1 M
Dividend Yield	0.012	0.0151
Dividends per Basic Common Share	0.64	0.71

Investing in dividend-paying stocks, such as Dicks Sporting Goods is one of the few strategies that are good for long-term investment. Ex-dividend dates are significant because investors in Dicks Sporting must own a stock before its ex-dividend date to receive its next dividend. This type of analysis is very useful when you want to generate a past dividend schedule and payout information for Dicks Sporting. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.

What do experts say?

Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions. It is good to see analyst projects for Dicks Sporting, but it might be worth checking our own buy vs. sell analysis

Dicks Sporting Gross Profit

Dicks Sporting Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Dicks Sporting previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Dicks Sporting Gross Profit growth over the last 10 years. Please check Gross Profit in more details.

Another Deeper Perspective

There are few distinct groups of Dicks Sporting stakehholders that the SEC considers insiders. Investors usually gain information through their work as corporate directors, officers, or employees. If these individuals share the information with a friend, family, or business partner and the person who receives the information exchanges stock in the company, he or shie is also an insider. Let's take a look at how the ownership of Dicks is distributed among investors.

Ownership Allocation

Dicks Sporting Goods retains a total of 65.15 Million outstanding shares. The majority of Dicks Sporting Goods outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to obtain positions in Dicks Sporting Goods to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Dicks Sporting. Please pay attention to any change in the institutional holdings of Dicks Sporting Goods as this could imply that something significant has changed or about to change at the company. Also note that almost ten million four hundred twenty-four thousand invesors are currently shorting Dicks Sporting expressing very little confidence in its future performance.

Institutions

111.2%

	Retail Investors	-15.55
	Insiders	4.35
	Institutions	111.2

Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Dicks Sporting has an asset utilization ratio of 242.18 percent. This connotes that the company is making $2.42 for each dollar of assets. An increasing asset utilization means that Dicks Sporting Goods is more efficient with each dollar of assets it utilizes for everyday operations.

Current Assets

2.2 B

Assets Non Current

3.1 B

Current Assets	2.24 Billion	39.57
Assets Non Current	3.06 Billion	53.98
Goodwill	342.83 Million	6.05
Tax Assets	22.85 Million	0.4

Will price continue to spike in December 2020?

The skewness is down to 2.07 as of today. Dicks Sporting Goods currently demonstrates below-verage downside deviation. It has Information Ratio of 0.11 and Jensen Alpha of 0.37. However, we do advice investors to further question Dicks Sporting Goods expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk.

Our Final Take On Dicks Sporting

While some firms within the specialty retail industry are still a little expensive, even after the recent corrections, Dicks Sporting may offer a potential longer-term growth to retail investors. To conclude, as of the 24th of November 2020, our current 30 days 'Buy-vs-Sell' recommendation on the enterprise is Strong Buy. We believe Dicks Sporting is undervalued with below average probability of bankruptcy for the next two years.

About Contributor

Raphi Shpitalnik is a Junior Member of Macroaxs Editorial Board. Raphael is a young entrepreneur who joined Macroaxis on a part-time base at the beginning of the pandemic and eventually acquired a real test for investing and fintech. He likes to analyze different equity instruments across a wide range of industries, focusing primarily on consumer products, sports, fintech, cannabis, and AI. View Profile

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of Dicks Sporting Goods. Please refer to our Terms of Use for any information regarding our disclosure principles.

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