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Showing posts from May, 2012

DECK Decker Outdoor Analysis

Decker Outdoor is changing the structure of its product distribution model by adding company owned retail stores to its distribution model.   Since building out retail stores is a capital intensive process, I think sales revenue and fcf are the best tools to access a company’s success in the short term. My analysis will focus on revenue comps and product distribution comps to show everyone that Decker Outdoor is going to continue having challenges with shifting the business.   These challenges will have huge impacts on EPS and operation capital requirements because the company’s core product, Ugg Boots, is experiencing a sharp decline in sales.   In August 2011 I was noticed a shift in women’s fashion:   Riding boots were the new trend.   I wish Frye was a publicly traded company.   http://www.thefryecompany.com/ From a fashion standpoint, trendy women don’t wear Uggs anymore, and there are knockoff brands sold at WMT as well as many other large retailers for a fraction of the