WallStSmart

Deckers Outdoor Corporation (DECK)vsSteven Madden Ltd (SHOO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Deckers Outdoor Corporation generates 112% more annual revenue ($5.37B vs $2.53B). DECK leads profitability with a 19.4% profit margin vs 1.8%. DECK appears more attractively valued with a PEG of 1.37. DECK earns a higher WallStSmart Score of 70/100 (B).

DECK

Strong Buy

70

out of 100

Grade: B

Growth: 6.7Profit: 9.5Value: 10.0Quality: 9.0
Piotroski: 6/9Altman Z: 5.43

SHOO

Buy

52

out of 100

Grade: C-

Growth: 5.3Profit: 5.0Value: 4.7Quality: 6.8
Piotroski: 4/9Altman Z: 5.16
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DECKUndervalued (+32.2%)

Margin of Safety

+32.2%

Fair Value

$170.07

Current Price

$100.05

$70.02 discount

UndervaluedFair: $170.07Overvalued
SHOOSignificantly Overvalued (-802.1%)

Margin of Safety

-802.1%

Fair Value

$4.28

Current Price

$33.99

$29.71 premium

UndervaluedFair: $4.28Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DECK6 strengths · Avg: 9.2/10
Return on EquityProfitability
39.7%10/10

Every $100 of equity generates 40 in profit

Operating MarginProfitability
31.4%10/10

Strong operational efficiency at 31.4%

Altman Z-ScoreHealth
5.4310/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.139/10

Conservative balance sheet, low leverage

P/E RatioValuation
14.6x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$1.02B8/10

Generating 1.0B in free cash flow

SHOO3 strengths · Avg: 8.7/10
Altman Z-ScoreHealth
5.1610/10

Safe zone — low bankruptcy risk

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
29.4%8/10

Revenue surging 29.4% year-over-year

Areas to Watch

DECK0 concerns · Avg: 0/10

No major concerns identified

SHOO4 concerns · Avg: 3.0/10
PEG RatioValuation
2.174/10

Expensive relative to growth rate

Return on EquityProfitability
5.5%3/10

ROE of 5.5% — below average capital efficiency

Profit MarginProfitability
1.8%3/10

1.8% margin — thin

P/E RatioValuation
53.1x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : DECK

The strongest argument for DECK centers on Return on Equity, Operating Margin, Altman Z-Score. Profitability is solid with margins at 19.4% and operating margin at 31.4%. PEG of 1.37 suggests the stock is reasonably priced for its growth.

Bull Case : SHOO

The strongest argument for SHOO centers on Altman Z-Score, Price/Book, Revenue Growth. Revenue growth of 29.4% demonstrates continued momentum.

Bear Case : DECK

No major red flags identified for DECK, but monitor valuation.

Bear Case : SHOO

The primary concerns for SHOO are PEG Ratio, Return on Equity, Profit Margin. A P/E of 53.1x leaves little room for execution misses. Thin 1.8% margins leave little buffer for downturns.

Key Dynamics to Monitor

DECK profiles as a mature stock while SHOO is a growth play — different risk/reward profiles.

DECK carries more volatility with a beta of 1.16 — expect wider price swings.

SHOO is growing revenue faster at 29.4% — sustainability is the question.

DECK generates stronger free cash flow (1.0B), providing more financial flexibility.

Bottom Line

DECK scores higher overall (70/100 vs 52/100), backed by strong 19.4% margins. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Deckers Outdoor Corporation

CONSUMER CYCLICAL · FOOTWEAR & ACCESSORIES · USA

Deckers Outdoor Corporation designs, markets and distributes footwear, apparel and accessories for casual lifestyle and high performance activities. The company is headquartered in Goleta, California.

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Steven Madden Ltd

CONSUMER CYCLICAL · FOOTWEAR & ACCESSORIES · USA

Steven Madden, Ltd. designs, supplies, markets and sells private label and brand name footwear for women, men and children in the United States and internationally. The company is headquartered in Long Island City, New York.

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