U.S. Markets open in 28 mins

Crocs (CROX) Outpaces Stock Market Gains: What You Should Know

Zacks Equity Research

Crocs (CROX) closed at $28.76 in the latest trading session, marking a +1.64% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.8%. Elsewhere, the Dow gained 0.47%, while the tech-heavy Nasdaq added 1.12%.

Prior to today's trading, shares of the footwear company had gained 18.44% over the past month. This has outpaced the Consumer Discretionary sector's loss of 1.98% and the S&P 500's loss of 1.07% in that time.

CROX will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.41, up 485.71% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $301.73 million, up 15.58% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.42 per share and revenue of $1.20 billion. These totals would mark changes of +65.12% and +10.26%, respectively, from last year.

Investors might also notice recent changes to analyst estimates for CROX. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.07% higher within the past month. CROX is holding a Zacks Rank of #1 (Strong Buy) right now.

Valuation is also important, so investors should note that CROX has a Forward P/E ratio of 20 right now. This represents a premium compared to its industry's average Forward P/E of 13.51.

The Textile - Apparel industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 109, which puts it in the top 43% of all 250+ industries.

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

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Crocs, Inc. (CROX) : Free Stock Analysis Report
To read this article on Zacks.com click here.