Deckers Outdoor ain’t done going up, Cramer said on Tuesday. So don’t think the bullish numbers coming out of the most recent quarter mean the stock has peaked.
Deckers’ Q4 was just a snapshot of the recent past – albeit a great one, with earnings and revenues coming in above the Street’s estimates and same-store sales jumping about 28 percent. But the company, which makes the uber popular UGG boots and Teva sandals, also upped its 2010 guidance. This is why Cramer expects still greater things from Deckers, even more than the $19 run it’s had since the Feb. 25 report.
“The stock is already up big,” the Mad Money host said, “but I think it can go even higher.”
And this is no mere conjecture. Soaring UGG sales drove the quarter, and the introduction of new seasonal lines should play a pivotal role for Deckers going forward. And management on the conference call said that it is seeing “great sales trends” in pre-bookings across the board, which is a bullish sign. Not to mention, the blizzards that pummeled much of the Eastern seaboard in February, Cramer said, alone “bought Deckers an additional month’s worth of...sales.”