Crocs (CROX) closed the last trading day at $129.41, indicating a +0.87% change from the previous session close. The stock outperformed the S&P 500, which registered a gain of 0.74% for the day. Meanwhile, the Dow experienced a fall of 0.01%, and the technology-dominated Nasdaq saw an increase of 1.68%.
The footwear company fell 0.8% last month, leading the Consumer Discretionary sector’s loss by 2.3% and undercutting the S&P 500’s gain by 0.8%.
The investment community will be paying close attention to Crocs’ earnings performance in its next release. The company’s earnings per share (EPS) is expected to be $2.25, reflecting a 13.79% decrease from the same quarter last year. Together, our most recent consensus estimate forecasts revenue of $879.86 million, indicating a 0.49% downward move from the same quarter last year.
For the full fiscal year, the Zacks Consensus Estimates forecast earnings of $12.39 per share and revenue of $4.12 billion, representing changes of +2.99% and +3.86%, respectively, from the prior year.
Investors should also note any recent changes to analyst ratings for Crocs. These latter adjustments often reflect the changing dynamics of short-term trading patterns. As a result, we can interpret positive rating reviews as a good sign for the company’s business outlook.
Our research demonstrates that these adjustments in valuations are directly related to near-term stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these rating changes into account and delivers a clear, reasonable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive out-of-control track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. More than the last 30 days, the Zacks Consensus EPS estimate witnessed a 0.11% increase. Crocs currently has a Zacks Rank of #2 (Buy).
From a valuation perspective, Crocs is currently trading hands at a Forward P/E ratio of 10.35. Its industry has an average Forward P/E of 11.47, so one could conclude that Crocs is trading at a discount in comparison.
Meanwhile, CROX’s PEG ratio is currently 1.63. This popular metric is similar to the widely known P/E ratio, with the difference that the PEG ratio also takes into account the company’s expected earnings growth. The Textile – Apparel industry currently had an average PEG ratio of 1.43 as of yesterday’s close.
The Textile – Apparel industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 190, placing it in the bottom 25% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our particular 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.
Make sure to use Zacks.com to stay up-to-date with all of these stock-changing metrics, among others, in the upcoming trading sessions.
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Crocs, Inc. (CROX): Free Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.