DKS

Dick's Sporting Goods Inc

Consumer


Presented:11/24/2015
Price:$39.84
Cap:$4.64B
Current Price:$209.65
Cap:$17.07B

Presented

Date11/24/2015
Price$39.84
Market Cap$4.64B
Ent Value$5.46B
P/E Ratio13.24x
Book Value$15.22
Div Yield1.38%
Shares O/S116.51M
Ave Daily Vol2,444,210
Short Int9.62%

Current

Price$209.65
Market Cap$17.07B
Dick's Sporting Goods, Inc. engages as a sporting goods retailer, which offers a broad assortment of brand name sporting goods equipment, apparel and footwear in a specialty store environment. The company's products are categorized into three divisions: Apparel, Footwear, and Hardlines. The Apparel category includes athletic apparel, outerwear, and sportswear. It is designed for many activities and performance levels, as well as for specific sports in men's, women's, and children's assortments. The Footwear category is composed of athletic shoes for running, walking, tennis, cross training, basketball, and hiking. In addition, this category also includes specialty footwear, which includes both casual footwear and cleated shoes for baseball, football, soccer, and lacrosse. The Hardlines division is further divided into the Team Sports, Outdoor Recreation, Golf, Fitness, and Cycling sections. The company was founded by Richard T. Stack in 1948 and is headquartered in Coraopolis, PA.

Publicly traded companies mentioned herein: Amazon.com Inc (AMZN), Dick’s Sporting Goods Inc (DKS), Foot Locker Inc (FL), Nike Inc (NKE), Target Corporation (TGT), Under Armour Inc (UA)

Highlights

The presenter is long shares of Dick’s Sporting Goods (DKS), believing the company is set to reap major benefits from being a category leader in an expanding product space. He thinks recent weather issues and soft Q4 guidance created an attractive buying opportunity, and thinks DKS is a cheap way to play the athleisure trend. If all the pieces of his thesis line up, DKS shares can reach up to $60, and potentially double from the mid-November trough of $37 with some leverage.

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Idea Discussion

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