DICK’S Sporting Goods (NYSE:DKS) Trading Down 15.4% – Time to Sell?

Shares of DICK’S Sporting Goods, Inc. (NYSE:DKS) dropped 15.4% on Thursday . The stock traded as low as $178.85 and last traded at $178.70. Approximately 547,273 shares traded hands during trading, a decline of 51% from the average daily volume of 1,112,806 shares. The stock had previously closed at $211.32.

Analyst Ratings Changes

A number of research firms have issued reports on DKS. Wedbush restated a “neutral” rating and issued a $215.00 price target on shares of DICK’S Sporting Goods in a report on Wednesday, March 12th. Guggenheim reaffirmed a “neutral” rating on shares of DICK’S Sporting Goods in a research report on Wednesday, March 12th. DA Davidson reduced their target price on shares of DICK’S Sporting Goods from $280.00 to $273.00 and set a “buy” rating for the company in a research note on Wednesday, March 12th. TD Cowen lifted their price target on DICK’S Sporting Goods from $270.00 to $294.00 and gave the company a “buy” rating in a research note on Wednesday, January 8th. Finally, Telsey Advisory Group reaffirmed an “outperform” rating and set a $250.00 price objective on shares of DICK’S Sporting Goods in a research report on Friday, March 14th. Nine investment analysts have rated the stock with a hold rating and twelve have issued a buy rating to the company. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $245.50.

DICK’S Sporting Goods Stock Performance

The company has a debt-to-equity ratio of 0.48, a current ratio of 1.72 and a quick ratio of 0.56. The stock has a 50-day moving average price of $219.03 and a 200-day moving average price of $216.03. The company has a market capitalization of $14.88 billion, a price-to-earnings ratio of 13.05, a PEG ratio of 2.47 and a beta of 1.53.

DICK’S Sporting Goods (NYSE:DKS) last released its quarterly earnings data on Tuesday, March 11th. The sporting goods retailer reported $3.62 EPS for the quarter, topping analysts’ consensus estimates of $3.47 by $0.15. The firm had revenue of $3.89 billion during the quarter, compared to analysts’ expectations of $3.76 billion. DICK’S Sporting Goods had a net margin of 8.65% and a return on equity of 42.00%. The company’s revenue for the quarter was up .5% compared to the same quarter last year. During the same period in the previous year, the business posted $3.85 earnings per share. As a group, analysts forecast that DICK’S Sporting Goods, Inc. will post 13.89 earnings per share for the current year.

DICK’S Sporting Goods Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, April 11th. Shareholders of record on Friday, March 28th will be given a dividend of $1.2125 per share. The ex-dividend date of this dividend is Friday, March 28th. This is an increase from DICK’S Sporting Goods’s previous quarterly dividend of $1.10. This represents a $4.85 annualized dividend and a yield of 2.66%. DICK’S Sporting Goods’s dividend payout ratio (DPR) is 34.54%.

DICK’S Sporting Goods declared that its board has approved a stock repurchase plan on Tuesday, March 11th that permits the company to repurchase $3.00 billion in outstanding shares. This repurchase authorization permits the sporting goods retailer to buy up to 18.5% of its shares through open market purchases. Shares repurchase plans are usually a sign that the company’s management believes its shares are undervalued.

Insider Transactions at DICK’S Sporting Goods

In other news, Chairman Edward W. Stack sold 160,600 shares of the firm’s stock in a transaction that occurred on Monday, January 6th. The shares were sold at an average price of $229.25, for a total transaction of $36,817,550.00. Following the transaction, the chairman now directly owns 8,362,128 shares of the company’s stock, valued at approximately $1,917,017,844. This trade represents a 1.88 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Julie Lodge-Jarrett sold 5,000 shares of the business’s stock in a transaction that occurred on Friday, January 17th. The shares were sold at an average price of $227.99, for a total value of $1,139,950.00. Following the completion of the sale, the executive vice president now owns 16,504 shares of the company’s stock, valued at approximately $3,762,746.96. This trade represents a 23.25 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 32.03% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On DICK’S Sporting Goods

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Marion Wealth Management bought a new position in shares of DICK’S Sporting Goods in the fourth quarter worth $545,000. Argus Investors Counsel Inc. bought a new position in DICK’S Sporting Goods in the 4th quarter valued at about $257,000. Town & Country Bank & Trust CO dba First Bankers Trust CO increased its holdings in DICK’S Sporting Goods by 78.2% in the 4th quarter. Town & Country Bank & Trust CO dba First Bankers Trust CO now owns 11,495 shares of the sporting goods retailer’s stock valued at $2,631,000 after buying an additional 5,046 shares during the period. Principal Securities Inc. raised its position in shares of DICK’S Sporting Goods by 11.8% in the 4th quarter. Principal Securities Inc. now owns 3,589 shares of the sporting goods retailer’s stock valued at $821,000 after buying an additional 380 shares in the last quarter. Finally, Jones Financial Companies Lllp lifted its holdings in shares of DICK’S Sporting Goods by 15.1% during the 4th quarter. Jones Financial Companies Lllp now owns 2,144 shares of the sporting goods retailer’s stock worth $491,000 after acquiring an additional 281 shares during the period. 89.83% of the stock is owned by institutional investors and hedge funds.

DICK’S Sporting Goods Company Profile

Dick’s Sporting Goods, Inc engages in the retailing of an extensive assortment of authentic sports equipment, apparel, footwear, and accessories. It also offers its products both online and through mobile applications. The company was founded by Richard T. Stack in 1948 and is headquartered in Coraopolis, PA.