Deckers Outdoor Corporation (DECK)

In July 2025, Deckers' stock surged due to strong Q1 fiscal 2026 results driven by HOKA and UGG, with international sales rallying. By October 2025, the stock dropped following disappointing Q2 results and a weak outlook. In January 2026, analysts downgraded Deckers due to concerns about slowing growth for HOKA and UGG, leading to a significant stock correction; as of January 7, 2026, the stock had declined by approximately 48% from its early 2025 peaks.

Deckers Outdoor Corp. has historically been considered a seasonal niche player due to the UGG brand's winter demand. The company has been working to broaden the appeal and seasonality of its brands, with UGG launching new collections and HOKA's consistent growth helping diversify sales. Despite these efforts, the company's sales can still fluctuate significantly depending on the time of year.

Deckers Outdoor Corp. specializes in outdoor and casual footwear, apparel, and accessories, operating primarily in the Footwear industry within the Consumer Discretionary sector. Its major products are marketed under brand names including UGG, HOKA, Teva, Koolaburra, AHNU, and UGGplush. UGG and HOKA are the primary revenue drivers, representing approximately 95% of total sales in fiscal year 2024, with UGG accounting for 52% and HOKA for 42%. HOKA is known for its "maximalist" running shoes, and UGG boots are a significant source of revenue.

Deckers Outdoor Corp. has a global presence, with its headquarters in Goleta, California. It markets products through international distributors, DTC businesses, retailers, and e-commerce. The company operates retail stores in numerous countries across the Americas, Europe, and Asia-Pacific. In fiscal 2025, 64% of its sales were generated in the United States. International sales have been a core growth engine.

Deckers' brand reputation has been characterized by the strength of UGG and HOKA, but also by emerging concerns regarding their growth. HOKA has transitioned to a mainstream lifestyle choice, while UGG has maintained its cultural resilience. However, there are concerns about HOKA's growth slowing and potential damage to its brand equity from increased discounting. UGG has experienced slowing growth, suggesting it may return to a more modest growth brand, leading to a "valuation recalibration" for Deckers.

Institutional investors hold over 90% of Deckers Outdoor Corp. stock. Major institutional owners include Fmr LLC, Vanguard Group Inc., BlackRock, Inc., State Street Corp, and T. Rowe Price. Fmr LLC is the largest individual institutional shareholder, owning 14.03% of the company's shares. Insider ownership is typically in the low-single-digit percentages.