Deckers falls after missing sales estimates; Piper cuts to 'underweight' rating

By Reuters News

** Shares of Hoka-owner Deckers Outdoor DECK.N down 9.71% at $77 premarket

** Co said aggressive discounting by competitors weighed on Q2 sales, underscoring the challenges facing premium footwear brands as consumers become more selective with spending

** Co reported quarterly sales of $1.48 bln, falling short of analysts' expectations of $1.51 bln, though profit rose 27% in the quarter ended September 30

** Piper Sandler downgrades to "underweight" from "neutral" rating, cuts PT to $75 from $100

** Brokerage expects conditions to remain challenging until next summer or fall, while weaker-than-expected demand for some HOKA products and elevated Clifton 10 inventories could put further pressure on the stock's valuation

** 13 of 28 brokerages rate the stock "buy" or higher, 11 "hold" and 4 "sell"; their median PT is $105 - LSEG-compiled data

** Stock has dipped about 17.7% yr-to-date, underperforming an 11.9% rise in the S&P 500 .SPX during the same period

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