DICK'S Sporting Goods: Upgrade To Buy On Better Near- And Long-Term Outlook

  • Upgrading DICK'S Sporting Goods, DKS, to a buy as strong Q1 results and consistent comparable sales growth ease my near-term macro concerns. New high-return store formats like House of Sport and Field House are driving engagement and offer excellent cash-on-cash returns. The Foot Locker acquisition doubles DKS's addressable market and provides a global runway, with minimal integration risk and immediate EPS accretion.