Analysts Give Crocs, Inc. (CROX) Mixed Reviews

Analysts at Susquehanna upped their rating on shares of Crocs, Inc. (NASDAQ:CROX) from Negative to Neutral in their opinion released on November 12. Pivotal Research Group analysts again handed out a Buy rating to CROX stock but they lifted target price for the shares in a flash note to investors on November 09. The price target has been raised from $25 to $32. Pivotal Research Group, analysts launched coverage of CROX stock with a Buy rating, according to their flash note to investors on November 09. Analysts at Pivotal Research Group are sticking to their Buy recommendation. However, on November 06, they lifted target price for these shares to $25 from $21. Analysts at Pivotal Research Group, made their first call for the stock with a Buy rating, according to a research note that dated back to November 06.

In the period that ended November 15, 2018, short interest in Crocs, Inc. (NASDAQ:CROX) stock is on the decline. The 11.62% drop could be an indication that investors and traders expect a strength in the stock price, often as a result of a strength in the business’ fundamentals. The average analyst recommendations at 2.6 suggests buying these shares. Between October 31 and November 15, the total number of shorted shares amounted to 7.67 million shares. That was 1,008,193 less shares than the total of 8.68 million shares in the space of prior two weeks, which means more traders or funds betting that the stock will go up. Average daily volume for CROX at the November 15th settlement jumped to 1,793,444, as compared to 818,990 at the October 31st report. That brought days to cover to 4.277613, a 59.64% decrease from the 10.59824 days to cover recorded at the prior short interest data release.

By watching the trading activity of corporate insiders, it will become easier to get a sense of Crocs, Inc. (NASDAQ:CROX)’s prospects. The earliest insider trade took place on 08/22/2018. Smach Thomas J parted with a total of 74.4 thousand shares of company at average share price of $20.14. The total for the sales was set at $1.5 million. After this transaction, the Director account balance stood at 125.26 thousand shares. The stock grew 30.64 percent since that insider sale. On 08/21/2018, Hart Daniel P, Executive Vice President, sold 20.83 thousand shares at a price per share of $20. This removed 416.62 thousand shares from the insider’s fortune and the stock saw a 31.55 percent rally in value since the news became public. This transaction left 326.88 thousand shares in the Executive Vice President account. On 08/24/2016, EVP, CFO Teffner Carrie W. performed a purchase transaction worth $66.38 thousand. This purchase at $8.85 each has added 7.5 thousand shares into the insider’s portfolio position. Meanwhile, shares have recorded 197.29 percent increase since the transaction was reported. The insider now is left with 349.19 thousand shares remaining in the account. Ribatt Gregg, who performs the CEO job, bought 10 thousand shares for $92.5 thousand. The acquisition occurred on 03/11/2016 was priced at $9.25 per share. The share price soared 184.43 percent since the reporting date. Ribatt Gregg now left with a stake of 1.03 million CROX stock worth $27.02 million after the insider buying.

Crocs, Inc. (CROX) is expected to jump by 2.62 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $33-month high price target. This represents a whopping 25.43 percent increase from where shares are trading today. The 12-month median price target assigned by the analysts stands at $29, which represents a return potential of 10.22 percent when compared to the closing price of the stock of $26.31 on Thursday, December 06. The lowest price target for the stock is $25 — slightly more than -4.98 percent from CROX’s current share price.

The shares are currently floating around the first support level of $25.58. Below this, the next support is placed in the zone of $24.86. Till the time, the CROX stock trades above this level, bulls have nothing to fear. On momentum oscillators front, ‘RSI’ has touched 54.93 on daily chart, which may remain a cause for concern. If the price breaks below $24.86 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $26.89 mark may result into a pull-back move towards $27.48 level.

CROX shares dropped -0.99 points or -3.63 percent on Thursday to $26.31 with a heavy trade volume of 4.566 million shares. After opening the session at $26.46, the shares went as high as $26.75 and as low as $25.44, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $1.78 billion and now has 67.82 million shares outstanding. Crocs, Inc. (CROX) stock has gained 25.23 percent of market value in 21 trading days.

CROX stock has a trailing 3-year beta of 0.57, offering the possibility of a lower rate of return, but also posing less risk. The portion of a company’s profit allocated to each outstanding share of common stock was $0.34 a share in the trailing twelve months. The stock’s value has surged 108.15 percent year to date (YTD) against a rise of 146.12 percent in 12 month’s time. The company’s shares still trade -11.71 percent away from its 1-year high of $29.80 and 149.86 percent up from 52-week low of $10.53. The average consensus rating on the company is 2.6, on a scale where 5 equates to a unanimous sell rating. In short, the mean analyst recommendations are calling this stock a sell.

Shares of Crocs, Inc. (CROX) are trading at a P/E ratio of 77.84 times earnings reported for the past 12 months. The industry CROX operates in has an average P/E of 22.81. Its P/E ratio went as low as 136.58X and as high as 136.58 over the 5-year span. Further, it is sporting a 1.67 on the Price-to-Sales ratio. Compare this with the industry average P/S of 2.22. 51.4 percent is the gross profit margin for Crocs, Inc. and operating margin sits at 9.6 percent. Along with this, the net profit margin is 5.1 percent.

CROX will be showing off its Q4 earnings on February 27. Analysts are forecasting revenue to climb 1.8 percent to $203M in the next fiscal quarter, while earnings are seen soaring by nearly 0 percent to -$0.27 per share. History has shown that shares in Crocs, Inc. have gone up on 19 different earnings reaction days and are predicted to add 0.09 percent when the company reports upcoming earnings. In last reported earnings results, it earned $0.07 per share, better than the -$0.02, adjusted, expected by Thomson Reuters consensus estimate. Revenue was $261M, better than the $246M analysts expected. Earnings are estimated to increase by 85.3 percent this year, 133.71 percent next year and continue to increase by 10 percent annually for the next 5 years.