Dick's Sporting Goods
What analysts say:
- Buy, sell, or waffle? Twenty-six analysts follow Dick's: 19 rate the stock a buy, seven recommend you simply hold onto it, and there is currently no negative opinion out there.
- Revenues. Analysts are projecting $997 million in second-quarter sales, or approximately 36% above last year's second-quarter sales.
- Earnings. Analysts see a quarterly earnings profit of $0.77, for an impressive 64% year-over-year gain.
What management says:
Back when Dick's released first-quarter results, management said it expected to open six new Dick's stores and two new Golf Galaxies, and report same-store sales growth of 3%-5% as well as diluted earnings of $0.74-$0.77 during the second quarter.
At that time, it also projected the following full-year results:
- 45 new Dick's stores and one relocation.
- 17 new Golf Galaxy stores.
- 1%-2% comps on a 6% increase last year.
- Diluted earnings of $2.37-$2.40.
What management does:
Over the past five years, Dick's has grown rapidly via aggressive new-store openings, the acquisition of archrival Galyan's, and the more recent purchase of Golf Galaxy. Over this time frame, sales have improved better than 20% annually, while earnings and cash flow growth have been even higher.
01/06 |
04/06 |
07/06 |
10/06 |
02/07 |
05/07 |
|
---|---|---|---|---|---|---|
Gross |
27.9% |
28% |
28.1% |
28.2% |
28.8% |
29.3% |
Operating |
6.3% |
6.2% |
6.3% |
6.4% |
7.1% |
7.3% |
Net |
2.8% |
3.4% |
3.4% |
3.4% |
3.6% |
3.7% |
One Fool says:
Dick's is definitely outgrowing the competition and is one of the faster-growing retailers out there. But the sporting-goods space is crowded, served by regional competitors and big-box behemoths such as Motley Fool Inside Value pick Wal-Mart
Speaking of the regional players, Hibbett Sports
For related Foolishness:
- Fool on the Street: Dick's Focuses on the Core
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Fool contributor Ryan Fuhrmann has no financial interest in any company mentioned. Feel free to email him with feedback or to discuss any companies mentioned further. The Fool has an ironclad disclosure policy.