How much a stock's price changes over time is important for most investors, since price performance can both impact your investment portfolio and help you compare investment results across sectors and industries.

Another thing that can drive investing is the fear of missing out, or FOMO. This particularly applies to tech giants and popular consumer-facing stocks.

What if you'd invested in Dick's Sporting Goods (DKS Quick QuoteDKS - Free Report) ten years ago? It may not have been easy to hold on to DKS for all that time, but if you did, how much would your investment be worth today?

Dick's Sporting Goods' Business In-Depth

With that in mind, let's take a look at Dick's Sporting Goods' main business drivers.

DICK’S Sporting Goods Inc. was founded in 1948 in New York under the labels Dick's Clothing and Sporting Goods, Inc. It was earlier reincorporated as a Delaware corporation and changed our name to Dick's Sporting Goods, Inc. in April 1999. The company’s executive office is located in Coraopolis, Pennsylvania.

The company operates as a major omni-channel sporting goods retailer, offering athletic shoes, apparel, accessories and a broad selection of outdoor and athletic equipment for team sports, fitness, camping, fishing, tennis, golf, water sports, etc.

DICK’S Sporting offers these items through a blend of associates, in-store services and unique specialty shop-in-shops. DICK’S Sporting also owns operates Golf Galaxy and Field & Stream stores as well as Team Sports HQ. It also operates all-in-one youth sports digital platform, which offer scheduling, communications and live scorekeeping via the GameChanger mobile apps, free league management services, custom uniforms and fan wear.

The company also operates through its e-commerce websites and catalog operations. The company operates 4 kinds of stores – a) single-level DICK’S Sporting stores of approximately 50,000 square feet, b) two-level DICK’S Sporting store of approximately 80,000 square feet, c) DICK’S Sporting stores for smaller markets of about 35,000–40,000 square feet, and d) 13,000–18,000 square feet Golf Galaxy stores.

DICK’s Sporting stocks nationally recognized brands such as Callaway Golf, adidas, TaylorMade-adidas Golf, The North Face, Asics, Under Armour, Nike, Columbia and Remington.

Bottom Line

Anyone can invest, but building a successful investment portfolio requires research, patience, and a little bit of risk. So, if you had invested in Dick's Sporting Goods ten years ago, you're likely feeling pretty good about your investment today.

According to our calculations, a $1000 investment made in August 2014 would be worth $5,215.44, or a 421.54% gain, as of August 30, 2024. Investors should keep in mind that this return excludes dividends but includes price appreciation.

Compare this to the S&P 500's rally of 179.13% and gold's return of 87.86% over the same time frame.

Going forward, analysts are expecting more upside for DKS.

Shares of DICK’S Sporting have outperformed the industry in the past six  months. The company has been gaining from solid strategic efforts, brand strength and continued market share gains. This led to a robust top-line performance in first-quarter fiscal 2024. Also, strong comps and healthy transaction growth acted as tailwinds. The company has also been enhancing service levels at all its digital and store experiences to meet the athletes’ needs. For fiscal 2024, the company expects comps growth of 2-3% versus our estimate of a 2.1% rise. Its store-expansion initiatives, driven by DICK'S House of Sport, Golf Galaxy Performance Center, Public Lands and Going, Going, Gone! Stores, bode well. However, higher wage rates and increased investments in talent, technology and marketing led to elevated costs in the fiscal first quarter.

Over the past four weeks, shares have rallied 14.11%, and there have been 1 higher earnings estimate revisions in the past two months for fiscal 2024 compared to none lower. The consensus estimate has moved up as well.