Crocs (CROX) Registers a Bigger Fall Than the Market: Important Facts to Note
The latest trading session saw Crocs (CROX) ending at $140.05, denoting a -0.85% adjustment from its last day's close. This change lagged the S&P 500's 0.28% loss on the day. Meanwhile, the Dow experienced a drop of 0.08%, and the technology-dominated Nasdaq saw a decrease of 0.42%.
Prior to today's trading, shares of the footwear company had gained 17.83% over the past month. This has outpaced the Consumer Discretionary sector's gain of 0.45% and the S&P 500's gain of 2.67% in that time.
Investors will be eagerly watching for the performance of Crocs in its upcoming earnings disclosure. In that report, analysts expect Crocs to post earnings of $2.25 per share. This would mark a year-over-year decline of 13.79%. Alongside, our most recent consensus estimate is anticipating revenue of $879.86 million, indicating a 0.49% downward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $12.38 per share and revenue of $4.12 billion, indicating changes of +2.91% and +3.86%, respectively, compared to the previous year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Crocs. Such recent modifications usually signify the changing landscape 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 take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Right now, Crocs possesses a Zacks Rank of #2 (Buy).
Digging into valuation, Crocs currently has a Forward P/E ratio of 11.41. This represents a discount compared to its industry's average Forward P/E of 12.74.
Meanwhile, CROX's PEG ratio is currently 1.79. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the Textile - Apparel industry stood at 1.55 at the close of the market yesterday.
The Textile - Apparel industry is part of the Consumer Discretionary sector. With its current Zacks Industry Rank of 202, this industry ranks in the bottom 20% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Crocs, Inc. (CROX) : Free Stock Analysis Report
