3 Outdoor Apparel Companies With High Financial Strength

In light of the Centers for Disease Control and Prevention loosening mask requirements for outdoor activities among fully-vaccinated people, three outdoor apparel companies with high financial strength and a good Piotroski F-score as of Wednesday are Columbia Sportswear Co. (

COLM, Financial), Deckers Outdoor Corp. (DECK, Financial) and Rocky Brands Inc. (RCKY, Financial) according to the All-in-One Screener, a Premium feature of GuruFocus.

CDC allows fully-vaccinated people to exercise outdoors without masks

The CDC announced on Tuesday that fully-vaccinated people can walk, exercise or bike outdoors with family members or other inoculated people without wearing face coverings. The health agency further said that people who are two weeks removed from their last required vaccine can gather in small groups without the face mask; although masks are still recommended for large gatherings and indoor activities.

The relaxed requirements come about a day after data compiled by the CDC showed approximately 42.5% of the total U.S. population had received at least one Covid-19 vaccine dose, while approximately 28.9% of the population is fully vaccinated.

As people start resuming outdoor activities, including hiking, investors may find opportunities in outdoor apparel companies that have high financial strength and a Piotroski F-score of at least 6 out of 9. Developed by Joseph Piotroski, the F-score measures a company’s business operations using a nine-point grading scale that considers ratios like return on assets, debt-to-assets, current ratio and asset turnover. An F-score of at least 6 means that the company meets more than two-thirds of the criteria and thus, may have good business operations.

Columbia Sportswear

Shares of Columbia Sportswear (

COLM, Financial) traded around $112.70, showing that the stock is modestly overvalued based on Wednesday’s price-to-GF Value ratio of 1.22.

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The Portland, Oregon-based company manufactures a wide range of outdoor and active-lifestyle apparel, footwear and accessories through its namesake brand and others. GuruFocus ranks the company’s financial strength and profitability 8 out of 10 on several positive investing signs, which include a 3.5-star business predictability rank, a strong Altman Z-score of 6.99, interest coverage and debt ratios outperforming more than 75% of global competitors and profit margins and returns outperforming over 68% of global apparel companies.

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Gurus with holdings in Columbia include


Pioneer Investments
(Trades, Portfolio) and
Baillie Gifford
(Trades, Portfolio).

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Deckers

Shares of Deckers (

DECK, Financial) traded around $349.58, showing that the stock is significantly overvalued based on Wednesday’s price-to-GF Value ratio of 1.86.

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The Goleta, California-based company designs and sells casual and performance footwear and apparel items through brands like UGG and Teva. GuruFocus ranks the company’s financial strength and profitability 8 out of 10 on several positive investing signs, which include a high Piotroski F-score of 7, a strong Altman Z-score of 9.81, debt ratios that outperform over 73% of global competitors and profit margins and returns that surpass more than 92% of global apparel companies.

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Gurus with holdings in Deckers include


Philippe Laffont
(Trades, Portfolio)’s Coatue Asset Management and
Steven Cohen
(Trades, Portfolio)’s Point72 Asset Management.

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Rocky Brands

Shares of Rocky Brands (

RCKY, Financial) traded around $53.36, showing that the stock is significantly overvalued based on Wednesday’s price-to-GF Value ratio of 1.78.

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The Nelsonville, Ohio-based company manufactures footwear and apparel items through brands like Rocky, Georgia Boot and Michelin. GuruFocus ranks the company’s financial strength and profitability 7 out of 10 on several positive investing signs, which include a high Piotroski F-score of 7, a strong Altman Z-score of 8.02 and an operating margin that is near a 10-year high of 9.8% and outperforms over 79.23% of global competitors.

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Gurus with holdings in Rocky Brands include


Jim Simons
(Trades, Portfolio)’ Renaissance Technologies and
Jeremy Grantham
(Trades, Portfolio)’s GMO.

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Disclosure: No positions.

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