Dick's Sporting Goods (DKS) concentration risks

The company's disclosed concentration profile is limited to a single supplier relationship — Nike, identified as the largest vendor and representing the largest share of consolidated merchandise purchases. By disclosed size this is a moderate exposure, reflecting that while Nike is the leading supplier, the company sources from a broad vendor base and is not reliant on a single brand for the majority of its assortment. The character of this exposure is dependency: the relationship is subject to ongoing commercial terms that Nike could change, and any shift in Nike's distribution strategy, pricing, or supply availability could affect the company's ability to stock and sell the category. However, the structural nature of specialty sporting goods retail — where branded athletic product drives traffic and basket size — means that some degree of reliance on leading athletic brands is inherent to the business model rather than an avoidable choice. There is no disclosed geographic, customer, or product-line concentration beyond this single supplier. The overall profile is therefore narrow: one medium-share vendor dependency with no stacking customer-concentration risk or single-geography exposure layered on top. The principal monitoring variable is the commercial and strategic relationship with the lead vendor, rather than any diversified cross-cutting concentration that could amplify losses across multiple dimensions simultaneously.

For the engine’s reasoning on DKS’s current verdict — including which dimensions drove the score — see the per-dimension breakdown.

Concentration counts reflect items disclosed in each peer’s most recent 10-K; disclosed-size classification uses TrendMatrix’s internal 10-K extraction taxonomy.