We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
If You Invested $1000 in Crocs a Decade Ago, This is How Much It'd Be Worth Now
Read MoreHide Full Article
How much a stock's price changes over time is important for most investors, since price performance can both impact your investment portfolio and help you compare investment results across sectors and industries.
Another factor that can influence investors is FOMO, or the fear of missing out, especially with tech giants and popular consumer-facing stocks.
What if you'd invested in Crocs (CROX - Free Report) ten years ago? It may not have been easy to hold on to CROX for all that time, but if you did, how much would your investment be worth today?
Crocs' Business In-Depth
With that in mind, let's take a look at Crocs' main business drivers.
Founded in 1999 and based in Niwot, CO, Crocs, Inc. is one of the leading footwear brands with its focus on comfort and style. Famous for its iconic clog material, Crocs’ simple design and great comfort was an instant hit among consumers. The company offers a wide variety of footwear products including sandals, wedges, flips and slide that cater to people of all age.
Most of the company’s shoes are made up of Croslite, which comes with qualities including soft, comfortable, lightweight, non-marking and odor-resistant. Its other iconic product “The Classic Clog” for adults and children offers all-day comfort. It is now using the Croslite technology in its LiteRide collection, which features proprietary foam and is soft, lightweight and resilient.
The company operates in three geographic regions namely the Americas, Asia Pacific, and Europe, Middle East, and Africa (EMEA). Notably, the United States, Japan, China, South Korea and Germany serve as the company’s five core markets.
Americas (62.3% of 2020 Revenues): This segment primarily comprises of North and South America, including the United States, Canada and Puerto Rico.
Asia Pacific (20.1% of 2020 Revenues): This segment includes operations across Asia, Australia, and New Zealand. It includes countries like Korea, Japan, Singapore, Australia and Hong Kong.
EMEA (17.6% of 2020 Revenues): This segment comprises of operations across Europe, Russia, the Middle East, and Africa. It includes countries like Russia, Germany, France, Austria, and the Netherlands.
Crocs’ products are available in more than 85 countries and are distributed via wholesale, retail, and e-commerce platforms. The wholesale channel consists of domestic and international multi-brand retailers, e-tailers, and distributors while the retail channel includes company-operated stores. Lastly, websites and third-party marketplaces form its e-commerce operations.
Moreover, Crocs has entered into licensing partnerships with Disney, Marvel, Nickelodeon, and Warner Bros to name a few, which further enhances its reach and popularity. As of Jun 30, 2021, Crocs had 352 company-operated stores.
Bottom Line
Anyone can invest, but building a successful investment portfolio requires research, patience, and a little bit of risk. So, if you had invested in Crocs ten years ago, you're likely feeling pretty good about your investment today.
A $1000 investment made in August 2011 would be worth $5,965.28, or a 496.53% gain, as of August 20, 2021, according to our calculations. Investors should note that this return excludes dividends but includes price increases.
The S&P 500 rose 292.14% and the price of gold increased -7.41% over the same time frame in comparison.
Going forward, analysts are expecting more upside for CROX.
Shares of Crocs have outpaced the industry in the past three months thanks to its robust surprise trend. The company delivered fifth straight quarter of top and bottom line beat in second-quarter 2021. Results gained from solid demand for its products as well as continued business momentum. Solid performance in all regions along with healthy demand in its key products, including Clogs, Sandals and Jibbitz, drove the top line. It continued to witness a robust online show, delivering the 17th successive quarter of double-digit e-commerce growth. Improved margins and robust sales led to the bottom-line growth. Management lifted its 2021 view and issued guidance for the third quarter. However, rising marketing and freight expenses remain concerns. Also, $8-$10 million of distribution center investments are likely to affect the gross margin in 2021.
The stock is up 5.49% over the past four weeks, and no earnings estimate has gone lower in the past two months, compared to 4 higher, for fiscal 2021. The consensus estimate has moved up as well.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
If You Invested $1000 in Crocs a Decade Ago, This is How Much It'd Be Worth Now
How much a stock's price changes over time is important for most investors, since price performance can both impact your investment portfolio and help you compare investment results across sectors and industries.
Another factor that can influence investors is FOMO, or the fear of missing out, especially with tech giants and popular consumer-facing stocks.
What if you'd invested in Crocs (CROX - Free Report) ten years ago? It may not have been easy to hold on to CROX for all that time, but if you did, how much would your investment be worth today?
Crocs' Business In-Depth
With that in mind, let's take a look at Crocs' main business drivers.
Founded in 1999 and based in Niwot, CO, Crocs, Inc. is one of the leading footwear brands with its focus on comfort and style. Famous for its iconic clog material, Crocs’ simple design and great comfort was an instant hit among consumers. The company offers a wide variety of footwear products including sandals, wedges, flips and slide that cater to people of all age.
Most of the company’s shoes are made up of Croslite, which comes with qualities including soft, comfortable, lightweight, non-marking and odor-resistant. Its other iconic product “The Classic Clog” for adults and children offers all-day comfort. It is now using the Croslite technology in its LiteRide collection, which features proprietary foam and is soft, lightweight and resilient.
The company operates in three geographic regions namely the Americas, Asia Pacific, and Europe, Middle East, and Africa (EMEA). Notably, the United States, Japan, China, South Korea and Germany serve as the company’s five core markets.
Americas (62.3% of 2020 Revenues): This segment primarily comprises of North and South America, including the United States, Canada and Puerto Rico.
Asia Pacific (20.1% of 2020 Revenues): This segment includes operations across Asia, Australia, and New Zealand. It includes countries like Korea, Japan, Singapore, Australia and Hong Kong.
EMEA (17.6% of 2020 Revenues): This segment comprises of operations across Europe, Russia, the Middle East, and Africa. It includes countries like Russia, Germany, France, Austria, and the Netherlands.
Crocs’ products are available in more than 85 countries and are distributed via wholesale, retail, and e-commerce platforms. The wholesale channel consists of domestic and international multi-brand retailers, e-tailers, and distributors while the retail channel includes company-operated stores. Lastly, websites and third-party marketplaces form its e-commerce operations.
Moreover, Crocs has entered into licensing partnerships with Disney, Marvel, Nickelodeon, and Warner Bros to name a few, which further enhances its reach and popularity. As of Jun 30, 2021, Crocs had 352 company-operated stores.
Bottom Line
Anyone can invest, but building a successful investment portfolio requires research, patience, and a little bit of risk. So, if you had invested in Crocs ten years ago, you're likely feeling pretty good about your investment today.
A $1000 investment made in August 2011 would be worth $5,965.28, or a 496.53% gain, as of August 20, 2021, according to our calculations. Investors should note that this return excludes dividends but includes price increases.
The S&P 500 rose 292.14% and the price of gold increased -7.41% over the same time frame in comparison.
Going forward, analysts are expecting more upside for CROX.
Shares of Crocs have outpaced the industry in the past three months thanks to its robust surprise trend. The company delivered fifth straight quarter of top and bottom line beat in second-quarter 2021. Results gained from solid demand for its products as well as continued business momentum. Solid performance in all regions along with healthy demand in its key products, including Clogs, Sandals and Jibbitz, drove the top line. It continued to witness a robust online show, delivering the 17th successive quarter of double-digit e-commerce growth. Improved margins and robust sales led to the bottom-line growth. Management lifted its 2021 view and issued guidance for the third quarter. However, rising marketing and freight expenses remain concerns. Also, $8-$10 million of distribution center investments are likely to affect the gross margin in 2021.
The stock is up 5.49% over the past four weeks, and no earnings estimate has gone lower in the past two months, compared to 4 higher, for fiscal 2021. The consensus estimate has moved up as well.