DECKERS OUTDOOR CORPORATION

DECK : NASDAQ

Chutinush Taksinapinunt

Symbol DECK

Exchange NASDAQ

Current Price USD 73.030

52 week range 73.87 – 29.94

Share Outstanding M 38.544

Mkt Cap M 2,814.900

P/E ratio 20.886

Recommendation:

Price target $90 in 2011

Always a good buy on any dips before earnings

season

Long term rates as strong buy with a 5 year

target of $120

Key Developments:

Expects revenue to increase

approximately 16% over 2009 levels,

compared to previous guidance of

approximately 14% and expects diluted

earnings per share to increase

approximately 22% over the non-GAAP

diluted earnings per share (EPS) of $2.98

in 2009

Strong growth in Asian markets

About The Company

The Company builds niche products into global lifestyle brands by designing and marketing innovative, functional and fashionhigh performance outdoor activities and everyday casual lifesCompany offers three primary product lines under the following recognized brand names: Teva® - high-performance sports sandals, thongs, amphibious footwear, trail running shoes and rugged closed-toe outdoor footwear; Simple® lifestyle shoes that combine the comfort elements of athletic footwear with casual styling; and UGG® - authentic sheepskin boots, slippers, slides and other casual footwear. Teva, Simple and UGG are registered trademarks of the Company and itsubsidiaries. All of the Company's footwear shares the common feature of high quality with a primary focus on functionality and comfort. The Company offers its products through domestic retailers, international distributors and through its websites, cataand retail outlet stores. The Company was founded by Douglas B. Otto in 1973 and is headquartered in Goleta, California and also operates in China, Macau and the United Kingdom.

Deckers Outdoor Corporation, whose corporate office is located in Goleta,remains close to its origin. It is there, as a UCSB student, that Doug Otto, Chairman, began producing sandals in 1973. Since then, Deckers has grown into an international company with three footwear brands UGG® Australia. Deckers manufactured its original brand of Deckers sandals for just over 20 years. In 1985 the company entered into a licensing agreement to produce and distribute Teva sandals. With this new licetremendous growth and set the stage forriver rafting in 1984 by Grand Canyon river guide Mark Thatcher. At first, Teva was known only as a sports sandal with its unique patented strapping system. Since 1994, however, casuals that are ideal leisure-wear for men, women and children. Deckers’ success with Teva was evidenced when Deckers was awarded "Company of the Year" by Footwear News in 1992. In 1993, Deckers acquired Simple Shoes. Created in 1991 by Eric Meyer as a link between athletic and outdoor shoes, Simple styles now include sneakers, clogs, sandals, and men’s and women’s casuals. The shoes are designed to blend performance and style into easy-toDeckers also completed its Initial Public Offering in 1993 trading on NASDAQ as “DECK.”

Two years later, Deckers acquired UGG Holdings, Inc. Brian Smith founded UGG in 1979 in order to impInitially popular among the surfing crowd in Southern California, UGG® boots caught fire in the early 90’s. Today, the UGG® sophisticated footwear line ranges from traditional sheepskin boots and shoes to clogmen, women & kids. On November 25th 2002, Deckers acquired the worldwide Teva patents, trademarks and other assets from Mark Thatcher, the Company's former licensor and the holder of the Teva patents. As a result of the acquisition, Deckers now has complete ownership of the Teva worldwide assets, including all patents, tradenames, trademarks and other intellectual property, as well as Teva's existing catalog and internet retailing business. Back in the early 70’s the local Hawaiians flops, being made at that time under the name, “Driftwood Dan”. Quickly the islanders gave them a nick name. The flips' unique multi

gave the impression of multiple decks, and soon enough, the Hawaiians pidgin version of Deckers). During one of Doug's "business" trips to Hawaii in '75, he heard everyone calling the thongs Deckas. He thought the name made sense and had a nice ring, so when he returned to the mainlandrenamed his brand "Deckers." Deckers Brand flip flops spread in popularity throughout the 70's and 80's, helping to

The Company builds niche products into global lifestyle brands by designing and marketing innovative, functional and fashion-oriented footwear, developed for both high performance outdoor activities and everyday casual lifestyle use. Currently, the Company offers three primary product lines under the following recognized brand

performance sports sandals, thongs, amphibious footwear, trail toe outdoor footwear; Simple® - innovative casual

lifestyle shoes that combine the comfort elements of athletic footwear with casual authentic sheepskin boots, slippers, slides and other casual

footwear. Teva, Simple and UGG are registered trademarks of the Company and its subsidiaries. All of the Company's footwear shares the common feature of high quality with a primary focus on functionality and comfort. The Company offers its products through domestic retailers, international distributors and through its websites, catalogs and retail outlet stores. The Company was founded by Douglas B. Otto in 1973 and is headquartered in Goleta, California and also operates in China, Macau and the United

Deckers Outdoor Corporation, whose corporate office is located in Goleta, remains close to its origin. It is there, as a UCSB student, that Doug Otto, Chairman, began producing sandals in 1973. Since then, Deckers has grown into an international company with three footwear brands - Teva, Simple and

manufactured its original brand of Deckers sandals for just over 20 years. In 1985 the company entered into a licensing agreement to produce and distribute Teva sandals. With this new license, the company experienced tremendous growth and set the stage for today’s success. Teva, the original sport sandal, was initially designed for river rafting in 1984 by Grand Canyon river guide Mark Thatcher. At first, Teva was known only as a sports sandal with its unique patented strapping system. Since 1994, however, the Teva line has also included fashionable leather

wear for men, women and children. Deckers’ success with Teva was evidenced when Deckers was awarded "Company of the Year" by Footwear News in 1992.

d Simple Shoes. Created in 1991 by Eric Meyer as a link between athletic and outdoor shoes, Simple styles now include sneakers, clogs, sandals, and men’s and women’s casuals. The shoes are designed to

to-wear shoes for the “feel good lifestyle” inherent to Santa Barbara, California. Deckers also completed its Initial Public Offering in 1993 trading on NASDAQ as “DECK.”

Two years later, Deckers acquired UGG Holdings, Inc. Brian Smith founded UGG in 1979 in order to import sheepskin boots from Australia to the U.S. Initially popular among the surfing crowd in Southern California, UGG® boots caught fire in the early 90’s. Today, the UGG® sophisticated footwear line ranges from traditional sheepskin boots and shoes to clogmen, women & kids. On November 25th 2002, Deckers acquired the worldwide Teva patents, trademarks and other assets from Mark Thatcher, the Company's former licensor and the holder of the Teva patents. As a result of the acquisition, Deckers now has complete ownership of the Teva worldwide assets, including all patents, tradenames, trademarks and other intellectual property, as well as Teva's existing catalog and internet retailing business. Back in the early 70’s the local Hawaiians adopted Doug Otto’s rugged flip flops, being made at that time under the name, “Driftwood Dan”. Quickly the islanders gave them a nick name. The flips' unique multi-layered construction

gave the impression of multiple decks, and soon enough, the Hawaiians simply began calling them "Deckas" (the pidgin version of Deckers). During one of Doug's "business" trips to Hawaii in '75, he heard everyone calling the thongs Deckas. He thought the name made sense and had a nice ring, so when he returned to the mainlandrenamed his brand "Deckers." Deckers Brand flip flops spread in popularity throughout the 70's and 80's, helping to

manufactured its original brand of Deckers sandals for just over 20 years. In 1985 the company entered into a nse, the company experienced

today’s success. Teva, the original sport sandal, was initially designed for river rafting in 1984 by Grand Canyon river guide Mark Thatcher. At first, Teva was known only as a sports sandal with

so included fashionable leather wear for men, women and children. Deckers’ success with Teva was evidenced when

d Simple Shoes. Created in 1991 by Eric Meyer as a link between athletic and outdoor shoes, Simple styles now include sneakers, clogs, sandals, and men’s and women’s casuals. The shoes are designed to

the “feel good lifestyle” inherent to Santa Barbara, California.

Two years later, Deckers acquired UGG Holdings, Inc. Brian Smith founded ort sheepskin boots from Australia to the U.S.

Initially popular among the surfing crowd in Southern California, UGG® boots caught fire in the early 90’s. Today, the UGG® sophisticated footwear line ranges from traditional sheepskin boots and shoes to clogs and slippers for

On November 25th 2002, Deckers acquired the worldwide Teva patents, trademarks and other assets from Mark Thatcher, the Company's former licensor and the holder of the Teva patents. As a result of the acquisition, Deckers now has complete ownership of the Teva worldwide assets, including all patents, tradenames, trademarks and other intellectual property, as well as

adopted Doug Otto’s rugged flip flops, being made at that time under the name, “Driftwood Dan”. Quickly the

layered construction simply began calling them "Deckas" (the

pidgin version of Deckers). During one of Doug's "business" trips to Hawaii in '75, he heard everyone calling the thongs Deckas. He thought the name made sense and had a nice ring, so when he returned to the mainland he renamed his brand "Deckers." Deckers Brand flip flops spread in popularity throughout the 70's and 80's, helping to

create and mold the burgeoning surf lifestyle marketplace. Surfers and casual sandal wearers alike loved Deckers flips for their durability and ergonomic comfort. The Deckers Brand was so successful and Doug so entrepreneurial that he began acquiring a number of other brands, like Simple Shoes, UGG® Australia and eventually Teva. This new brand collective needed an umbrella name, so the Deckers Brand morphed into Deckers Outdoor Corp, going public on the NASDAQ in 1993. By 1994 the original Deckers Brand was being over shadowed by the other brands and the decision was made to put the Deckers Brand in hibernation in order to stay focused. In June of 2008 the Deckers Brand was reintroduced into the market place with strength and purpose. Foregoing brick and mortar distribution, the Deckers Brand opted for an exclusively online distribution model. Deckersbrand.com now offers free domestic shipping, free domestic return shipping and a 100% lifetime guarantee. Deckers Outdoor Corporation is proud to once again offer innovative products under the brand name that started it all. Each of the four lines, as well as individual models within these lines, is designed to appeal to various demographic groups. The Company's footwear products emphasize function, comfort and technical performance, and are suitable for a variety of demanding outdoor and athletic activities, as well as casual and everyday use. Deckers products are designed and marketed to promote a high level of brand name recognition and consumer appeal by combining functional and creative designs with quality materials and construction. The Teva footwear and the Simple footwear lines are generally previewed twice per year, once in the summer for deliveries that commence in the fall and once in the winter for the following back to school and fall season. The UGG® line of sheepskin footwear has historically previewed in the winter with most deliveries occurring in the following fall and winter. Beginning in 2006, UGG® is expanding the line to include footwear for spring and summer.

Latest News

UGG sales boost Deckers Q3

* Q3 EPS $1.07 vs est 93/shr

* Q3 rev up 22 pct, beats est

* Ups FY EPS, rev view

* Shares up 6 pct after-mkt

Oct 28 (Reuters) - UGG boots maker Deckers Outdoor Corp (DECK) topped third-quarter estimates on Thursday as demand for its popular sheepskin boots remained strong, prompting the company to raise its full-year outlook.

Shares of the company rose 6 percent after market.

UGG boots have been the chief growth driver for Deckers for some time now, with wholesale sales of UGG typically making up about 80 percent of its total sales in the third quarter.

An unusually warm weather has been a cause for worry for many retailers, causing fewer sales of fall merchandise, but most analysts have said retailers have not cut back on stocks of the Australian sheepskin-and-fleece boots.

"We plan to increase our investment in the UGG brand to bring our brand spend... up to be more in line with premium global brands," Chief Executive Angel Martinez said on a conference call with analysts.

The company recently tied up with high-fashion brand Jimmy Choo to sell upmarket designer UGGs at stores like Bergdorf Goodman [NMRCUS.UL] and Harrod's.

Net sales at the company, whose rivals include Skechers USA Inc (SKX.N) and Timberland (TBL.N), rose 21.7 percent to $277.9 million. UGG sales rose 20.2 percent, chiefly due to a rise in global shipments of fall products.

The Goleta, California-based company now expects full-year revenue to rise some 16 percent, compared with its earlier view of 14 percent.

It expects earnings to rise 22 percent compared with its earlier view of about a 16 percent rise.

Deckers, which also owns the Teva, Tsubo and Simple brands, said it earned $42.1 million, or $1.07 a share,

compared with analyst estimates of 93 cents a share.

Analysts were expecting revenue of $265.00 million, according to Thomson Reuters I/B/E/S.

The company also reiterated its fourth-quarter view. [ID:ASA00X8Y]

Deckers shares have risen about 4 percent since it reported second-quarter results in July. They were up at $56.77 after market. They closed at $53.99 Thursday on Nasdaq.

Deckers Outdoor Corporation Addresses Consumer Brand Confusion

-- Trade Dress Suit Filed Against Romeo & Juliet, Inc. --

GOLETA, Calif., Nov 08, 2010 (BUSINESS WIRE) -- Deckers Outdoor Corporation (NASDAQGS: DECK) filed suit today in United States District Court in the Central District of California against Tom Romeo and Romeo & Juliette, Inc. d/b/a Bearpaw, Inc. seeking a Court order to stop them from copying the trade dress design of several UGG(R) boots.

According to Angel Martinez, Deckers Chairman and CEO, "UGG(R) Australia's success has fueled an entire industry of knock-off products like Bearpaw. Bearpaw is misleading consumers and creating significant brand confusion by repeatedly copying our designs, but using inferior materials, constructions and craftsmanship."

Deckers has been manufacturing and selling UGG(R) Australia boots since purchasing the company from Brian Smith, an Australian who had a love for surfing and saw the value in bringing to market a high-quality brand of sheepskin boots that surfers could wear after a long day in the cold water. UGG(R) Australia was first distributed in the U.S. in 1978; at the time of acquisition in 1995, sales of the brand were $17 million.

In the fifteen years since, UGG(R) Australia has expanded both its production and distribution dramatically, adding new products and new lines, including a broad assortment of footwear, outerwear, handbags and accessories, and opening 25 company-owned UGG(R) Australia retail stores worldwide. With sales in 2010 expected to exceed $800 million, UGG(R) Australia has been recognized as one of the biggest success stories in the footwear industry in recent decades.

Martinez adds, "The strong bond between UGG(R) Australia and its retail customers and consumers goes beyond commerce; it's about trust. That trust is our most important asset, and it's based on an unerring consistency in product quality and branding as well as a commitment to evolve the brand continuously and smartly. Knock-off companies and counterfeiters are confusing the consumers and betraying their trust."

Deckers Outdoor Corporation strives to be a premier lifestyle marketer that builds niche brands into global market leaders by designing and marketing innovative, functional and fashion-oriented footwear developed for both high performance outdoor activities and everyday casual lifestyle use. Teva(R), Simple(R) ïEUR Shoes, UGG(R) Australia, TSUBO(R), Ahnu(R) and Mozo(R) brands are registered trademarks of Deckers Outdoor Corporation.

REVENUE

Periods 2008 2009 2010

March 97.535 134.226 155.927

June 91.116 102.548 137.059

September 197.288 228.414 277.879

December 303.506 347.989

Note: Units in Millions of U.S. Dollars

EARNINGS PER SHARE

Periods 2008 2009 2010

March 0.28574 0.31159 0.45814

June -0.09771 0.07265 0.22942

September 0.65697 0.86266 1.07431

December 1.02187 1.73871

Note: Units in U.S. Dollars

GROWTH FOR DECKERS OUTDOOR CORP

1 Year 3 Years 5 Years

Sales % 17.95 38.75 30.51

EPS % 58.70 55.27 34.07

Dividend % -- -- --

Note: Units in Millions of US Dollars

PERFORMANCE FOR DECKERS OUTDOOR CORP

Period

%

Actual

% vs.

S&P 500

Rank In

Industry

Industry

Rank

4 Week 24.94 24.29 93 62

13 Week 59.75 42.99 93 90

26 Week 50.48 37.83 86 94

52 Week 130.98 115.69 93 98

YTD 114.09 100.72 93 98

Note:: Rank is a percentile that ranges from 0 to 99, with 99 = best.

CONSENSUS ESTIMATES ANALYSIS

# of Estimates Mean High Low 1 Year Ago

SALES (in millions)

Quarter Ending Dec-10 13 381.80 396.40 375.50 339.80

Quarter Ending Mar-11 9 184.17 202.00 176.90 --

Year Ending Dec-10 14 952.48 967.30 938.80 826.03

Year Ending Dec-11 14 1,093.30 1,149.00 1,042.30 902.01

EARNINGS (per share)

Quarter Ending Dec-10 14 1.92 2.03 1.87 1.43

Quarter Ending Mar-11 9 0.53 0.58 0.49 --

Year Ending Dec-10 14 3.67 3.80 3.54 2.75

Year Ending Dec-11 14 4.08 4.32 3.81 3.01

LT Growth Rate (%) 3 24.33 33.00 15.00 22.62

Sales and Earnings Figures in U.S. Dollars (USD) VALUATION RATIOS

Company Industry Sector S&P 500

P/E Ratio (TTM) 20.74 11.14 12.25 17.89

P/E High - Last 5 Yrs. 52.77 7.21 0.20 19.18

P/E Low - Last 5 Yrs. 7.37 2.46 0.04 4.87

Beta 1.73 1.15 0.97 1.26

Price to Sales (TTM) 3.05 0.78 1.74 2.08

Price to Book (MRQ) 4.98 1.63 0.91 2.86

Price to Tangible Book (MRQ) 5.21 1.98 1.10 7.85

Price to Cash Flow (TTM) 18.81 7.50 5.78 10.46

Price to Free Cash Flow (TTM) 19.84 7.29 7.49 47.51

% Owned Institutions -- -- -- --

DIVIDENDS

Company Industry Sector S&P 500

Dividend Yield NA 1.05 1.06 1.71

Dividend Yield - 5 Year Avg. 0.00 1.01 1.35 2.45

Dividend 5 Year Growth Rate -- 3.78 2.02 -6.08

Payout Ratio(TTM) 0.00 9.37 13.35 40.15

GROWTH RATES

Company Industry Sector S&P 500

Sales (MRQ) vs Qtr. 1 Yr. Ago 21.66 9.19 5.40 9.57

Sales (TTM) vs TTM 1 Yr. Ago 19.53 6.35 7.48 9.15

Sales - 5 Yr. Growth Rate 30.51 8.76 9.37 9.88

EPS (MRQ) vs Qtr. 1 Yr. Ago 24.53 10.01 235.61 7.02

EPS (TTM) vs TTM 1 Yr. Ago 54.29 -- -- --

EPS - 5 Yr. Growth Rate 34.07 2.27 1.75 7.14

Capital Spending - 5 Yr. Growth Rate 56.89 12.31 4.90 4.98

FINANCIAL STRENGTH

Company Industry Sector S&P 500

Quick Ratio (MRQ) 3.24 1.13 0.61 0.68

Current Ratio (MRQ) 4.80 1.56 0.79 1.01

LT Debt to Equity (MRQ) 0.00 16.56 26.56 117.71

Total Debt to Equity (MRQ) 0.00 17.71 40.26 170.95

Interest Coverage (TTM) -- 243.90 0.35 19.18

PROFITABILITY RATIOS

Company Industry Sector S&P 500

Gross Margin (TTM) 48.22 24.43 12.45 33.13

Gross Margin - 5 Yr. Avg. 45.06 41.93 24.31 29.48

EBITD Margin (TTM) 24.56 -- -- --

EBITD - 5 Yr. Avg 21.12 10.20 10.42 18.73

Operating Margin (TTM) 23.29 5.67 -1.87 --

Operating Margin - 5 Yr. Avg. 20.12 7.43 5.45 16.26

Pre-Tax Margin (TTM) 23.37 5.62 -1.89 15.06

Pre-Tax Margin - 5 Yr. Avg. 20.58 7.42 5.31 15.87

Net Profit Margin (TTM) 14.92 3.98 -2.76 11.19

Net Profit Margin - 5 Yr. Avg. 12.65 5.31 3.57 11.65

Effective Tax Rate (TTM) 36.18 13.72 16.38 49.38

Effective Tax Rate - 5 Yr. Avg. 38.50 25.02 32.78 25.27

EFFICIENCY

Company Industry Sector S&P 500

Revenue/Employee (TTM) 918,854 3,249,784 22,703,747 683,552

Net Income/Employee (TTM) 137,070 141,358 1,139,253 86,580

Receivable Turnover (TTM) 7.20 5.63 18.07 10.76

Inventory Turnover (TTM) 2.47 2.42 4.86 6.87

Asset Turnover (TTM) 1.51 0.74 0.41 0.56

MANAGEMENT EFFECTIVENESS

Company Industry Sector S&P 500

Return on Assets (TTM) 22.50 5.66 1.86 6.11

Return on Assets - 5 Yr. Avg. 18.77 7.74 3.54 5.85

Return on Investment (TTM) 27.49 7.31 2.80 7.85

Return on Investment - 5 Yr. Avg. 22.84 11.82 6.23 7.57

Return on Equity (TTM) 27.82 10.09 5.44 18.37

Return on Equity - 5 Yr. Avg. 23.04 14.52 9.09 9.37

CONTACT:

Chutinush Taksinapinunt

Corporate Account Executive

Heffernan Capital Management

Email: chutinush@heffernan-inc.com

Chutinush Taksinapinunt holds a Bachelor of Business Administrators degree Majoring in

Finance and Banking. Chutinush Taksinapinunt is an experienced market maker and Portfolio

Manager, having worked with some of Thailand’s largest Securities Company and Financial

Institutions.

Price Estimate by Shayne Heffernan PhD

Shayne Heffernan of Ebeling Heffernan holds a PhD in Economics serves as CEO of Heffernan

Holdings Inc and Co Founder of Ebeling Heffernan www.ebeling-heffernan.com

Bangkok

Suite 53 Athenee Tower 63 Wireless Road, Lumpini, Pathumwan, Bangkok 10330 THAILAND

Tel: +66 2 126 8000 Fax: +66 2 126 8080

New York

347 5th Avenue, Suite 1402-508 Ny, NY 10016

Tel: +1 646-403-9881 Fax: +1 646-403-8014

Singapore

3 Raffles Place #07-01 Bharat Building Singapore 048617

Tel: +65 6329 6408Fax: +65 6329 9699

Disclaimer

Ebeling Heffernan (EH) distributes research and other information purchased and compiled from outside sources and analysts. This

report/release/advertisement is a commercial advertisement and is for general information purposes only. Do not base any investment decision

on information in this report/release/advertisement. EH is not a registered Investment Advisor or a member of any association for other

research providers. Under no circumstances is this report/release/advertisement to be used or considered as an offer to sell or a solicitation of

any offer to buy any security or other debt instruments, or any options, futures or other derivatives related to such securities herein. All

information herein is not intended to be used for investment advice. Price Targets are academic theory and should not be relied upon. The

majority of these profiled companies are highly risky OTC Bulletin Board or Pink Sheet companies. All readers of this information indemnify EH

from any liability for all accessed information. EH will not be responsible for updating any of its information in its report/release/advertisements.

EH advises recipients of all such data to be validated from the issuing company including all statistical information derived from SEC filings, from

data sources or financial information and data from the issuing company contained herein. The reader should seek professional financial advice,

verify all claims and do his/her own research and due diligence before investing in any securities mentioned. EH will not be liable to any person

or entity for the quality, accuracy, completeness, reliability or timeliness of information in this report/release/advertisement, or for any

direct, indirect, consequential, incidental, special or punitive damages that may arise out of the use of information, products or services from any

person or entity including but not limited to lost profits, loss of opportunities, trading losses, and damages that may result from any

incompleteness or inaccuracy in any of EH’s profiled companies. When paid in stock, EH its affiliates, directors, officers, outside sources, investor

awareness groups and employees may liquidate shares at any time or hold for investment purposes. Readers are advised to review SEC periodic

reports: Forms 10-Q, 10K, Form 8-K, insider reports, Forms 3, 4, 5 Schedule 13D, www.sec.gov.nasd.com, www.pinksheets.com, www.sec.gov

and www.finra.com. SPC is compliant with the Can Spam Act of 2003. Investing in micro cap and small cap securities is speculative and carries a

high degree of risk. Investors can lose their entire investment. The Private Securities Litigation Reform Act of 1995 provides investors a 'safe

harbor' in regard to forward-looking statements. EH cautions all investors that such forward-looking statements in this

report/release/advertisement are not guarantees of future performance. Investors should understand that statements regarding future

prospects may not be realized. This report/release/advertisement does not have regard to the specific investment objective, financial situation,

suitability, and the particular need of any specific person who may receive this report/release/advertisement. Investors should note that income

from such securities, if any, may fluctuate and that each security's price or value may rise or fall substantially. Accordingly, investors may receive

back less than originally invested, or lose their entire investment. Past performance is not indicative of future performance. The Company has

not paid compensation for this commercial advertisement. HCM. has written this commercial advertisement for EH.