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Here's How Much You'd Have If You Invested $1000 in Crocs a Decade Ago
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How much a stock's price changes over time is a significant driver for most investors. Not only can price performance impact your portfolio, but it can help you compare investment results across sectors and industries as well.
Another thing that can drive investing is the fear of missing out, or FOMO. This particularly applies to tech giants and popular consumer-facing stocks.
What if you'd invested in Crocs (CROX - Free Report) ten years ago? It may not have been easy to hold on to CROX for all that time, but if you did, how much would your investment be worth today?
Crocs' Business In-Depth
With that in mind, let's take a look at Crocs' main business drivers.
Founded in 1999 and based in Niwot, CO, Crocs, Inc. is one of the leading footwear brands with its focus on comfort and style. Famous for its iconic clog material, Crocs’ simple design and great comfort was an instant hit among consumers. The company offers a wide variety of footwear products including sandals, wedges, flips and slide that cater to people of all age.
Most of the company’s shoes are made up of Croslite, which comes with qualities including soft, comfortable, lightweight, non-marking and odor-resistant. Its other iconic product “The Classic Clog” for adults and children offers all-day comfort. It is now using the Croslite technology in its LiteRide collection, which features proprietary foam and is soft, lightweight and resilient.
The company operates in three geographic regions:
Americas (46.3% of FY22 Revenues): This includes the United States, Canada and Puerto Rico.
Asia Pacific (13.3% of FY22 Revenues): This includes Korea, China, Japan, Singapore, Australia and Hong Kong.
EMEA (15.4% of FY22 Revenues): This includes Russia, Germany, France, Austria, and The Netherlands.
Crocs’ products are available in more than 80 countries and are distributed via wholesale, retail, and e-commerce platforms. The wholesale channel consists of domestic and international multi-brand retailers, e-tailers, and distributors while the retail channel includes company-operated stores. Lastly, websites and third-party marketplaces form its e-commerce operations.
Moreover, Crocs has entered into licensing partnerships with Disney, including Marvel and Lucasfilm, Universal Studios, Nintendo, and Warner Bros, which further enhances its reach and popularity. As of Sep 30, 2022, Crocs had 353 company-operated stores — 178 in the Americas, 153 in the Asia Pacific and 22 in EMEALA.
Bottom Line
While anyone can invest, building a lucrative investment portfolio takes research, patience, and a little bit of risk. If you had invested in Crocs ten years ago, you're probably feeling pretty good about your investment today.
According to our calculations, a $1000 investment made in April 2013 would be worth $9,638.51, or an 863.85% gain, as of April 24, 2023. Investors should keep in mind that this return excludes dividends but includes price appreciation.
The S&P 500 rose 165.78% and the price of gold increased 33.16% over the same time frame in comparison.
Analysts are forecasting more upside for CROX too.
Shares of Crocs have outpaced the industry in the past three months, courtesy its robust fourth-quarter 2022 results. The top and bottom lines beat the Zacks Consensus Estimate for the 11th straight quarter. Also, sales and earnings grew year over year. Solid demand in the Crocs and HEYDUDE brands, as well as strength in clogs, sandals and Jibbitz categories, bodes well. Brand strength, new products, refined user experience and marketing activities aided digital sales. For 2023, revenues are anticipated to grow 10-13% to $3.9-$4 billion, in line with our estimate of 12% growth. Adjusted earnings are envisioned in the range of $11-$11.31 per share, in sync with our estimate of $11.25. However, it has been witnessing high inflation and higher air freight and logistics costs. Also, dismal margins and rising SG&A costs remain concerning.
The stock has jumped 24.36% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 3 higher, for fiscal 2023; the consensus estimate has moved up as well.
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Here's How Much You'd Have If You Invested $1000 in Crocs a Decade Ago
How much a stock's price changes over time is a significant driver for most investors. Not only can price performance impact your portfolio, but it can help you compare investment results across sectors and industries as well.
Another thing that can drive investing is the fear of missing out, or FOMO. This particularly applies to tech giants and popular consumer-facing stocks.
What if you'd invested in Crocs (CROX - Free Report) ten years ago? It may not have been easy to hold on to CROX for all that time, but if you did, how much would your investment be worth today?
Crocs' Business In-Depth
With that in mind, let's take a look at Crocs' main business drivers.
Founded in 1999 and based in Niwot, CO, Crocs, Inc. is one of the leading footwear brands with its focus on comfort and style. Famous for its iconic clog material, Crocs’ simple design and great comfort was an instant hit among consumers. The company offers a wide variety of footwear products including sandals, wedges, flips and slide that cater to people of all age.
Most of the company’s shoes are made up of Croslite, which comes with qualities including soft, comfortable, lightweight, non-marking and odor-resistant. Its other iconic product “The Classic Clog” for adults and children offers all-day comfort. It is now using the Croslite technology in its LiteRide collection, which features proprietary foam and is soft, lightweight and resilient.
The company operates in three geographic regions:
Americas (46.3% of FY22 Revenues): This includes the United States, Canada and Puerto Rico.
Asia Pacific (13.3% of FY22 Revenues): This includes Korea, China, Japan, Singapore, Australia and Hong Kong.
EMEA (15.4% of FY22 Revenues): This includes Russia, Germany, France, Austria, and The Netherlands.
Crocs’ products are available in more than 80 countries and are distributed via wholesale, retail, and e-commerce platforms. The wholesale channel consists of domestic and international multi-brand retailers, e-tailers, and distributors while the retail channel includes company-operated stores. Lastly, websites and third-party marketplaces form its e-commerce operations.
Moreover, Crocs has entered into licensing partnerships with Disney, including Marvel and Lucasfilm, Universal Studios, Nintendo, and Warner Bros, which further enhances its reach and popularity. As of Sep 30, 2022, Crocs had 353 company-operated stores — 178 in the Americas, 153 in the Asia Pacific and 22 in EMEALA.
Bottom Line
While anyone can invest, building a lucrative investment portfolio takes research, patience, and a little bit of risk. If you had invested in Crocs ten years ago, you're probably feeling pretty good about your investment today.
According to our calculations, a $1000 investment made in April 2013 would be worth $9,638.51, or an 863.85% gain, as of April 24, 2023. Investors should keep in mind that this return excludes dividends but includes price appreciation.
The S&P 500 rose 165.78% and the price of gold increased 33.16% over the same time frame in comparison.
Analysts are forecasting more upside for CROX too.
Shares of Crocs have outpaced the industry in the past three months, courtesy its robust fourth-quarter 2022 results. The top and bottom lines beat the Zacks Consensus Estimate for the 11th straight quarter. Also, sales and earnings grew year over year. Solid demand in the Crocs and HEYDUDE brands, as well as strength in clogs, sandals and Jibbitz categories, bodes well. Brand strength, new products, refined user experience and marketing activities aided digital sales. For 2023, revenues are anticipated to grow 10-13% to $3.9-$4 billion, in line with our estimate of 12% growth. Adjusted earnings are envisioned in the range of $11-$11.31 per share, in sync with our estimate of $11.25. However, it has been witnessing high inflation and higher air freight and logistics costs. Also, dismal margins and rising SG&A costs remain concerning.
The stock has jumped 24.36% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 3 higher, for fiscal 2023; the consensus estimate has moved up as well.