Crocs stock has seen mixed performance, with strong revenue growth from flagship brand

From Nasdaq: 2024-12-25 21:30:13

Crocs (NASDAQ: CROX) has seen a mixed performance, with its flagship brand thriving but HeyDude struggling. Stock fell 27% in 6 months to $112, impacted by HeyDude’s underperformance. Despite this, Crocs stock appears undervalued with a forward P/E ratio of 8. Crocs brand continues to drive revenue growth and strong margins, outperforming peers like Nike.

In Q3, Crocs reported a 1.6% y-o-y revenue increase to $1.1 billion, driven by 7% growth in the Crocs brand but offset by a 17% decline in HeyDude. Adjusted EPS rose 10.8% to $3.60, with gross margins expanding to 59.6%. Operating expenses increased, but Crocs brand showed strong growth in China and other key markets.

Crocs stock performance has been volatile, with 105% return in 2021, -15% in 2022, and -14% in 2023. In contrast, the Trefis High Quality Portfolio has outperformed the S&P 500 each year, providing better returns with less risk. Crocs has a total return of 1531% from 2017-2024, showcasing its potential for growth and profitability.



Read more at Nasdaq: What’s Next For Crocs’ Stock?