The shares of Deckers Outdoor Corp (NYSE:DECK) are soaring this morning, up 9.6% at $140.78 -- and earlier touching a record high of $146 -- after the company announced earnings and revenue that beat analysts' expectations for its fiscal third quarter. The company also issued upbeat full-year guidance. Today, DECK is pacing for its best day since May 2017.
In response to the earnings beat, analysts are piling on the footwear concern. Five brokerage firms lifted their price targets on DECK, including Susquehanna, which raised its target to $150 from $140, and Canaccord Genuity, which hiked its target to $164 from $143. Currently, the consensus 12-month price target of $140.08 represents a discount to the equity's price. DECK stock might be due for upgrades too, as eight of the 11 analysts following the security give it a tepid "hold" rating.
Prior to today, the shares had been in a channel of lower highs and lows since their early November peak. Now, DECK is up more than 10% year-to-date.
Deckers stock could see additional headwinds as bears start hitting the exits, too. Short interest rose 10.7% in the past reporting period, and now the 2.86 million shares sold short represent a healthy 9.9% of the stock's available float. It would take almost four days for traders to cover these pessimistic positions, at DECK's average pace of trading.