Back to top

Image: Bigstock

Crocs (CROX) Advances But Underperforms Market: Key Facts

Read MoreHide Full Article

Crocs (CROX - Free Report) closed the latest trading day at $100.66, indicating a +0.46% change from the previous session's end. This change lagged the S&P 500's 0.53% gain on the day. Elsewhere, the Dow saw an upswing of 0.64%, while the tech-heavy Nasdaq appreciated by 0.19%.

Prior to today's trading, shares of the footwear company had gained 6.02% over the past month. This has outpaced the Consumer Discretionary sector's gain of 0.31% and the S&P 500's gain of 2.48% in that time.

The upcoming earnings release of Crocs will be of great interest to investors. The company's upcoming EPS is projected at $2.42, signifying an 8.68% drop compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $956.18 million, indicating a 1.17% upward movement from the same quarter last year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Crocs. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate has moved 2.3% lower within the past month. Crocs is currently a Zacks Rank #3 (Hold).

Valuation is also important, so investors should note that Crocs has a Forward P/E ratio of 8.4 right now. This represents a discount compared to its industry's average Forward P/E of 12.4.

Meanwhile, CROX's PEG ratio is currently 1.3. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Textile - Apparel was holding an average PEG ratio of 1.54 at yesterday's closing price.

The Textile - Apparel industry is part of the Consumer Discretionary sector. This industry, currently bearing a Zacks Industry Rank of 176, finds itself in the bottom 31% echelons of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow CROX in the coming trading sessions, be sure to utilize Zacks.com.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Crocs, Inc. (CROX) - free report >>

Published in