Investors have three stocks that slipped sharply to consider. In the retail sector, Deckers Outdoor (DECK) fell below the $100 support price formed in April.
Deckers posted second-quarter revenue growth of 9%. Earnings per share grew by 14% Y/Y. Despite HOKA revenue up by 15% and UGG up by 12%, CEO Stefano Caroti said that the U.S. consumer sentiment is under pressure.
HOKA sales should increase its growth rate in the low teens percentage. DECK stock fell on worries that tariffs, macroeconomic headwinds, and consumer caution would limit its prospects.
Mohawk Industries (MHK) peaked at $140 to close at $119.90 on Oct. 24. It reported Q3 net sales of $2.8 billion. Restructuring efforts would save it around $32 million, but at a net cash cost of $20 million, after asset sales. Investors are concerned about the significant risks from tariffs.
Gold miner Newmont (NEM) peaked at $98.58. It closed at $83.37, down 6.23% last Friday. The firm is reportedly considering taking Barrick Mining’s (B) Nevada gold assets. This is an ill-thought-out strategy. Newmont would have to pay a premium amid gold prices at record highs. Shareholders take on more risk holding NEM stock if gold prices enter a bear market.
Investors may consider holding Barrick stock instead. It demonstrated strong management skills in operating the Nevada gold mines.
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