Why Crocs (CROX) Dipped More Than Broader Market Today
In the latest trading session, Crocs (CROX) closed at $124.59, marking a -0.18% move from the previous day. The stock trailed the S&P 500, which registered a daily loss of 0.12%. Meanwhile, the Dow lost 0.25%, and the Nasdaq, a tech-heavy index, lost 0.41%.
The footwear company's stock has climbed by 27.12% in the past month, exceeding the Consumer Discretionary sector's gain of 0.97% and the S&P 500's gain of 4.83%.
Investors will be eagerly watching for the performance of Crocs in its upcoming earnings disclosure. On that day, Crocs is projected to report earnings of $2.25 per share, which would represent a year-over-year decline of 13.79%. Meanwhile, the latest consensus estimate predicts the revenue to be $879.86 million, indicating a 0.49% decrease compared to the same quarter of the previous 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.
Investors might also notice recent changes to analyst estimates for Crocs. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health 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 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. Over the last 30 days, the Zacks Consensus EPS estimate has moved 4.41% higher. Crocs presently features a Zacks Rank of #3 (Hold).
Looking at valuation, Crocs is presently trading at a Forward P/E ratio of 10.08. This signifies a discount in comparison to the average Forward P/E of 14.08 for its industry.
Meanwhile, CROX's PEG ratio is currently 1.56. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The average PEG ratio for the Textile - Apparel industry stood at 1.6 at the close of the market yesterday.
The Textile - Apparel industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 182, which puts it in the bottom 28% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Crocs, Inc. (CROX) : Free Stock Analysis Report
