Deckers (NYSE: DECK) rose by 4% on Tuesday, after Susquehanna upgraded the stock and raised its price target.
We like this one as well. And based on its market cycles, we think there’s more upside ahead.
Susquehanna upgraded DECK from neutral to positive, based in part on the strength of the HOKA and UGG footwear brands. The analyst also raised the price target to $169, which is a 19% premium from the previous day’s closing price.
Susquehanna explained that, “HOKA’s momentum is accelerating, UGG is well positioned heading into FY20, and the company’s operational efficiencies and improved inventory discipline should continue to result in operating leverage.”
Our analytical approach focuses on the stock’s market cycles.
We believe that DECK is approaching the end of its current cycle, with patterns suggesting a bottom is either in place or due soon. The cycle formations remain positive, suggesting a new high this summer.
Deckers (DECK) Stock Weekly Chart
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