Core Viewpoint - The current market environment presents limited compelling buying opportunities, but Crocs, despite trading 40% below its all-time high, shows potential for growth with a significant rise of 180% over the past five years [2]. Financial Performance - Crocs reported Q4 revenue of $990 million, reflecting a year-over-year increase of 3.1%, surpassing the consensus estimate of $960 million [3]. - The brand's revenue in 2024 was 166% higher than in 2019, indicating strong long-term growth [4]. - Crocs achieved a gross margin of 57.9% in Q4, demonstrating pricing power despite a slowdown in growth [7]. - The company generated $950 million in net income and $923 million in free cash flow last year, with $551 million in stock repurchases and $323 million in debt repayment [10]. Brand Relevance and Market Position - The brand's future relevance is uncertain, with concerns about its heavy reliance on the foam clog, which accounts for 58% of overall revenue [8]. - Crocs has successfully raised brand awareness through effective marketing strategies, including a strong digital presence and collaborations [8]. - The current market valuation reflects skepticism about Crocs' long-term relevance, with shares trading at a low P/E ratio of 6.8 [9].

Core Viewpoint - A securities fraud class action lawsuit has been filed against Crocs, Inc. for misleading investors regarding the sustainability of revenue growth from its HEYDUDE acquisition, which significantly impacted the company's stock price during the class period [1][3][4]. Group 1: Lawsuit Details - The lawsuit was filed on behalf of investors who acquired Crocs common stock between November 3, 2022, and October 28, 2024 [1]. - Investors have until March 24, 2025, to move the Court to serve as lead plaintiff for the class [2][10]. Group 2: HEYDUDE Acquisition and Revenue Misrepresentation - Crocs acquired HEYDUDE in February 2022, and it accounted for approximately 25% of the company's total revenues in 2022 [2]. - The revenue growth from HEYDUDE was largely due to Crocs' strategy of overstocking third-party wholesalers, which was not reflective of actual retail demand [3][8]. Group 3: Impact on Stock Price - On April 27, 2023, Crocs' stock price fell nearly 16% after disclosures revealed that HEYDUDE's revenue growth was not indicative of actual sales [4]. - Subsequent disclosures in June and July 2023 further revealed intentional overstocking, leading to additional declines in stock price [5]. - On November 2, 2023, Crocs reported a 19.4% decline in HEYDUDE's wholesale revenues, resulting in a further drop of over 5% in stock price [6][7]. Group 4: Ongoing Misleading Information - Throughout the class period, Crocs continued to downplay the negative impact of overstocking and waning product demand on financial results [8]. - On October 29, 2024, Crocs disclosed that HEYDUDE revenues fell below expectations, leading to a significant stock price decline of approximately 19.2% [9].

Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against Crocs, Inc. related to alleged violations of federal securities laws, particularly concerning misleading statements about the sustainability of HEYDUDE's revenue growth and the impact of inventory management on financial results [2][4]. Group 1: Company Overview - Crocs, Inc. completed the acquisition of HEYDUDE in February 2022, with HEYDUDE accounting for approximately 25% of Crocs' total revenues in 2022 [5]. - The company reports HEYDUDE sales in two segments: direct-to-consumer (DTC) and wholesale sales [5]. Group 2: Allegations and Financial Impact - The complaint alleges that Crocs and its executives made false or misleading statements regarding HEYDUDE's revenue growth, which was largely driven by stocking third-party wholesalers rather than actual retail sales [4][6]. - Following the revelation of the overstocking issue, Crocs' stock price declined significantly, dropping nearly 16% on April 27, 2023, and nearly 15% on July 27, 2023, after guidance was lowered [7][9]. - On November 2, 2023, Crocs reported a 19.4% decline in HEYDUDE's wholesale revenues, leading to further reductions in revenue growth guidance from 14%-18% to 4%-6% [10][11]. Group 3: Recent Developments - On October 29, 2024, Crocs disclosed that HEYDUDE's revenues fell below expectations, attributing struggles to excess inventories and acknowledging that too much product was shipped in 2022 [12]. - This announcement resulted in a stock price decline of approximately 19.2% on October 29, 2024 [13].

This stock is cheap and may have a turnaround ahead.Crocs' (CROX 3.35%) results for the fourth quarter of 2024 weren't earth-shattering, but the stock has gotten so cheap that investors were expecting the worst. What's interesting is the turnaround at HEYDUDE, which gives the company upside beyond Crocs, as Travis Hoium shows in this video.*Stock prices used were end-of-day prices of Feb. 16, 2025. The video was published on Feb. 18, 2025. ...

PHILADELPHIA, Feb. 19, 2025 (GLOBE NEWSWIRE) -- A securities class action lawsuit has been filed against CROCS, INC. (“Crocs” or the “Company”) (NASDAQ: CROX). The lawsuit has been filed on behalf of purchasers of CROCS securities between November 3, 2022 and October 28, 2024, inclusive (the “Class Period”). CLICK HERE TO LEARN MORE ABOUT THIS LAWSUIT. Investors who purchased or acquired CROCS securities during the Class Period may, no later than MARCH 24, 2025, seek to be appointed as a lead plaintiff repr ...

Crocs (CROX -1.00%) shares soared following the casual footwear company's Q4 earnings report, as its namesake brand saw solid sales while there were signs of a turnaround at its struggling HeyDude brand. Nonetheless, the stock is still down slightly over the past year.Let's take a closer look at Crocs' Q4 results and outlook to see whether or not it's too late to buy the stock.HeyDude turnaround showing progressThe performance between Crocs' namesake brand and HeyDude, which it acquired in 2022, have diverg ...

NEW YORK, Feb. 18, 2025 /PRNewswire/ -- Levi & Korsinsky, LLP notifies investors in Crocs, Inc. ("Crocs" or the "Company") (NASDAQ: CROX) of a class action securities lawsuit.CLASS DEFINITION: The lawsuit seeks to recover losses on behalf of Crocs investors who were adversely affected by alleged securities fraud between November 3, 2022 and October 28, 2024. Follow the link below to get more information and be contacted by a member of our team:https://zlk.com/pslra-1/crocs-inc-lawsuit-submission-form?prid=1 ...

I recently joined The REIT Forum and if you are looking for more investment ideas like this one, get them exclusively at The REIT Forum with access to our subscriber only portfolios.While the stock has underperformed the S&P 500 during this period of time, it is up 24% onAmrita runs a boutique family office fund in beautiful Vancouver, where she leads the investment strategy for the family fund. The fund's objective is to invest capital in sustainable, growth-driven companies that maximize shareholder equit ...

Crocs, Inc. (CROX) posted solid results for fourth-quarter 2024, wherein the bottom and top lines surpassed the Zacks Consensus Estimate. While revenues grew year over year, earnings dipped.  Results gained from strength in the Crocs brand and outstanding international growth. With respect to the HEYDUDE brand, management has been making improvements to aid sustainable growth.Driven by solid results in the fourth quarter of 2024, Crocs’ shares jumped nearly 24% in the trading hours yesterday. In the past th ...

NEW YORK, Feb. 14, 2025 /PRNewswire/ -- Levi & Korsinsky, LLP notifies investors in Crocs, Inc. ("Crocs" or the "Company") (NASDAQ: CROX) of a class action securities lawsuit.CLASS DEFINITION: The lawsuit seeks to recover losses on behalf of Crocs investors who were adversely affected by alleged securities fraud between November 3, 2022 and October 28, 2024. Follow the link below to get more information and be contacted by a member of our team:https://zlk.com/pslra-1/crocs-inc-lawsuit-submission-form?prid=1 ...