Core Viewpoint - Deckers Outdoor Corporation (DECK) is currently trading at a premium valuation compared to industry averages, suggesting potential overvaluation despite strong fundamentals and growth prospects [1][2][3]. Valuation - DECK is trading at a forward 12-month price-to-sales (P/S) multiple of 3.91X, significantly higher than the Zacks Retail-Apparel and Shoes industry's average of 1.61X and the Retail-Wholesale sector's 1.63X [1]. - The stock is above its five-year median P/S level of 3.24, indicating a premium valuation [1]. Recent Performance - DECK shares closed at 139.36,experiencinga17.81.01 billion in the fiscal third quarter [8]. - International expansion, particularly in high-potential regions like China, is expected to accelerate revenue growth [9]. Financial Strength - Deckers maintains a strong financial position with a debt-free balance sheet and cash reserves of 2.24billionasofDecember31,2024[11].−Thecompanyrepurchasedapproximately275thousandsharesfor44.7 million, with 640.7millionremainingunderitssharerepurchaseauthorization[11].FutureOutlook−Totalrevenuesareprojectedtoincreaseby154.9 billion, with HOKA expected to grow by 24% and UGG by 10% [12]. - The gross margin is anticipated to reach or slightly exceed 57%, with earnings per share (EPS) guidance raised to 5.75−5.80 [13]. Analyst Sentiment - Analysts have positively revised earnings estimates, with the consensus estimate for the current fiscal year at 5.89pershare,reflectingayear−over−yeargrowthrateof21.24.96 billion and $5.46 billion, indicating growth rates of 15.6% and 10.1%, respectively [15]. Competitive Position - Despite trading at a premium, Deckers is viewed as a compelling investment opportunity due to strong brand momentum and growth strategies [18].