Yahoo Finance Here's Why Crocs (CROX) Fell More Than Broader Market
Crocs (CROX) closed at $152.59 in the latest trading session, marking a -1.39% move from the prior day. This change lagged the S&P 500's daily loss of 0.31%. Elsewhere, the Dow gained 0.67%, while the tech-heavy Nasdaq lost 1.09%.
Heading into today, shares of the footwear company had gained 3.91% over the past month, outpacing the Consumer Discretionary sector's gain of 1.24% and the S&P 500's gain of 2.73% in that time.
The upcoming earnings release of Crocs will be of great interest to investors. In that report, analysts expect Crocs to post earnings of $3.51 per share. This would mark a year-over-year decline of 2.23%. Alongside, our most recent consensus estimate is anticipating revenue of $1.1 billion, indicating a 2.77% upward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $12.66 per share and revenue of $4.13 billion, indicating changes of +5.24% and +4.35%, respectively, compared to the previous year.
Investors should also note any recent changes to analyst estimates for Crocs. Such recent modifications usually signify the changing landscape of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Crocs is currently sporting a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that Crocs has a Forward P/E ratio of 12.23 right now. This represents a discount compared to its industry's average Forward P/E of 14.9.
Investors should also note that CROX has a PEG ratio of 1.73 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The average PEG ratio for the Textile - Apparel industry stood at 1.75 at the close of the market yesterday.
The Textile - Apparel industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 71, putting it in the top 29% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate 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.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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
