If Clouds Had Soles, They’d Probably be Called Hokas

UBS just gave Hoka a big nod, calling it a “significantly underappreciated growth stock.” In plain English: investors may be sleeping on these shoes, even as they sprint ahead in sales.

Deckers Outdoor—the parent company—saw its stock take a hit earlier this year, but UBS thinks that dip is really an opportunity. Their new 12-month price target of $158 implies nearly 32% upside. That’s not a jog; that’s an incline sprint.

The bullish case rests on momentum. Hoka’s Q1 2026 sales jumped nearly 20%, way above expectations, fueled by international growth and hot demand for their signature models. UBS sees plenty of headroom: expansion into apparel and recovery gear, a bigger retail footprint worldwide, and stronger presence in Asia and Europe. Add in the fact that Deckers still has Ugg delivering steady results, and you’ve got a parent company with balance sheet stamina.

But the real story isn’t just in the numbers—it’s in the people buying the shoes. In today’s sneaker culture, consumers want more than performance; they want connection. Wearing Hokas signals you’re in on something fresh, something just outside the Nike-Adidas duopoly. It’s the same dynamic that propelled Apple or Tesla: people don’t just want the product, they want the identity that comes with being part of the crowd that “gets it.”

So while the analysts run their models, what’s happening on the ground is simpler. Everyone notices what’s on everyone else’s feet. When Hokas keep showing up in gyms, airports, and Instagram posts, that ripple becomes momentum that Wall Street eventually has to catch. UBS is betting it’s still early in that race.

Deckers has the trifecta investors look for: a brand with cultural pull, growth levers still untapped, and financial fundamentals to back it up. In other words, Hoka isn’t just keeping pace—it’s set to lead the pack

.