Crocs, Inc. (CROX) is currently trading at a forward 12-month price-to-earnings (P/E) ratio of 7.45X. This valuation reflects a discount compared to the industry average of 13.40X and the S&P 500's P/E of 21.90X. The stock is undervalued compared with its industry peers, offering compelling value to investors looking for exposure to the Consumer Discretionary sector. CROX's Value Score of A underscores its appeal as a potential investment.CROX Valuation Picture Image Source: Zacks Investment Research CROX h ...

NEW YORK, March 3, 2025 /PRNewswire/ -- The Gross Law Firm issues the following notice to shareholders of Crocs, Inc. (NASDAQ: CROX).Shareholders who purchased shares of CROX during the class period listed are encouraged to contact the firm regarding possible lead plaintiff appointment. Appointment as lead plaintiff is not required to partake in any recovery.CONTACT US HERE:https://securitiesclasslaw.com/securities/crocs-inc-loss-submission-form/?id=132957&from=4 CLASS PERIOD: November 3, 2022 to October 28 ...

Core Points - Rosen Law Firm is reminding investors who purchased Crocs, Inc. common stock between November 3, 2022, and October 28, 2024, of the March 24, 2025, lead plaintiff deadline for a class action lawsuit [1] - Investors may be entitled to compensation without any out-of-pocket fees through a contingency fee arrangement [1] Company Details - The lawsuit alleges that Crocs failed to disclose critical information regarding the sustainability of HEYDUDE's revenue growth, which was significantly influenced by Crocs' efforts to stock third-party wholesalers and retailers after acquiring HEYDUDE in February 2022 [4] - It is claimed that Crocs' retail partners began to destock excess inventory, which negatively impacted the company's financial results due to waning product demand [4] - The lawsuit asserts that the representations made by Crocs about its business operations and prospects were materially false and misleading, leading to investor damages when the true details were revealed [4] Legal Representation - Investors are encouraged to select qualified legal counsel with a proven track record in securities class actions, as many firms may not have the necessary experience or resources [3] - Rosen Law Firm has a history of successful settlements in securities class actions, including the largest settlement against a Chinese company at the time and has recovered hundreds of millions for investors [3]

Core Viewpoint - Rosen Law Firm is reminding investors who purchased Crocs, Inc. common stock between November 3, 2022, and October 28, 2024, of the March 24, 2025, deadline to serve as lead plaintiff in a class action lawsuit [1]. Group 1: Class Action Details - Investors who bought Crocs common stock during the specified period may be entitled to compensation without any out-of-pocket fees through a contingency fee arrangement [1]. - A class action lawsuit has already been filed, and interested parties must move the Court by March 24, 2025, to serve as lead plaintiff, representing other class members [2]. - The lawsuit alleges that Crocs failed to disclose critical information regarding the sustainability of HEYDUDE's revenue growth and the impact of destocking by retail partners on financial results [4]. Group 2: Rosen Law Firm's Credentials - Rosen Law Firm has a strong track record in securities class actions, having achieved the largest securities class action settlement against a Chinese company at the time [3]. - The firm was ranked No. 1 by ISS Securities Class Action Services for the number of securities class action settlements in 2017 and has consistently ranked in the top 4 since 2013, recovering hundreds of millions for investors [3]. - In 2019, the firm secured over $438 million for investors, showcasing its effectiveness in litigation [3].

Core Viewpoint - Crocs, Inc. has faced significant investor losses due to disappointing financial results for Q4 and FY 2024, primarily attributed to the performance of its HEYDUDE operating segment, leading to a class action lawsuit regarding the company's disclosures about sales practices [1][3][7]. Financial Performance - On October 29, 2024, Crocs announced a decline in HEYDUDE revenue, projecting a decrease of 6% to 4% for Q4 2024 compared to the previous year, and a 14.5% decline for FY 2024 [7]. - The company revealed that it had excess inventories in the market and acknowledged having shipped too much product in 2022 and 2023 [7]. Management Statements - CEO Andrew Rees previously assured investors that wholesale customers were managing their inventory prudently and that Crocs would not force inventory onto them [2]. - However, it was later disclosed that much of HEYDUDE's revenue growth was due to aggressive stocking of wholesalers, not actual retail sales [4][5]. Class Action Lawsuit - A class action lawsuit has been filed against Crocs, alleging that the company misled investors by concealing the true nature of its revenue growth from the HEYDUDE segment [3][8]. - The lawsuit focuses on the period from November 3, 2022, to October 28, 2024, with a lead plaintiff deadline set for March 24, 2025 [3]. Revenue Growth Misrepresentation - Crocs management admitted that a significant portion of HEYDUDE sales in Q2 and Q3 2022 was "pipeline fill," indicating that these sales did not reflect immediate retail demand [5]. - The company later disclosed that pipeline fill during 2022 amounted to $220 million, leading to a lowered revenue growth outlook for HEYDUDE [6].

Core Viewpoint - A class action securities lawsuit has been filed against Crocs, Inc. alleging securities fraud that negatively impacted investors between November 3, 2022, and October 28, 2024 [1][2]. Group 1: Lawsuit Details - The lawsuit claims that Crocs made false statements regarding the sustainability of HEYDUDE's revenue growth, which was primarily driven by stocking third-party wholesalers and retailers after its acquisition in February 2022 [2]. - It is alleged that as retail partners began to destock excess inventory, the demand for products decreased, adversely affecting Crocs' financial results [2]. - The representations made by the defendants about the company's business operations and prospects were materially false and misleading [2]. Group 2: Next Steps for Investors - Investors who suffered losses during the specified timeframe have until March 24, 2025, to request to be appointed as lead plaintiff, although participation in any recovery does not require serving as a lead plaintiff [3]. - Class members may be entitled to compensation without any out-of-pocket costs or fees [3]. Group 3: Firm Background - Levi & Korsinsky, LLP has a history of securing hundreds of millions of dollars for shareholders and has extensive expertise in complex securities litigation [4]. - The firm has been recognized in ISS Securities Class Action Services' Top 50 Report for seven consecutive years as one of the leading securities litigation firms in the United States [4].

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 [1][3][4]. Group 1: Lawsuit Details - The lawsuit was filed by Kessler Topaz Meltzer & Check, LLP 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][7]. 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 misled investors about actual retail demand [3][5]. Group 3: Impact on Stock Price - On April 27, 2023, after revealing the unsustainable nature of HEYDUDE's revenue growth, Crocs' stock price fell by $23.46, or nearly 16%, from $147.78 to $124.32 per share [4]. - Following the third quarter 2024 earnings call on October 29, 2024, where further issues with HEYDUDE's performance were disclosed, the stock price dropped by $26.47, or approximately 19.2%, from $138.05 to $111.58 per share [6].

Core Viewpoint - The Gross Law Firm has issued a notice to shareholders of Crocs, Inc. regarding a class action lawsuit alleging that the company made materially false and misleading statements about its financial performance and the sustainability of revenue growth from its HEYDUDE brand [1][2]. Summary by Relevant Sections Allegations - The complaint claims that during the class period from November 3, 2022, to October 28, 2024, Crocs, Inc. failed to disclose that the revenue growth of HEYDUDE was largely due to stocking third-party wholesalers and retailers following its acquisition in February 2022 [1]. - It is alleged that as retail partners began to destock excess inventory, the demand for products decreased, negatively impacting Crocs' financial results [1]. - The representations made by the defendants regarding the company's business operations and prospects were claimed to be materially false and misleading [1]. Class Action Details - Shareholders who purchased shares of CROX during the specified class period are encouraged to register for the class action, with a deadline of March 24, 2025, to seek lead plaintiff status [2]. - Participants will be enrolled in a portfolio monitoring software to receive updates throughout the case lifecycle, with no cost or obligation to participate [2]. Firm's Mission - The Gross Law Firm is recognized for its commitment to protecting investors' rights and ensuring companies adhere to responsible business practices [3]. - The firm aims to recover losses incurred by investors due to false or misleading statements that led to artificial inflation of the company's stock [3].

Core Viewpoint - A lawsuit has been filed against Crocs, Inc. and its senior executives for potential violations of federal securities laws, specifically related to misleading statements about the company's inventory practices and revenue growth from its acquisition of HEYDUDE [1][2][3]. Group 1: Lawsuit Details - The lawsuit is pending in the U.S. District Court for the District of Delaware, captioned Carretta v. Crocs, Inc., et al., No. 25-cv-00096, with investors having until March 24, 2025, to seek lead plaintiff status [2]. - The complaint alleges violations under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 on behalf of investors who purchased Crocs common stock [2]. Group 2: Allegations Against Crocs - Crocs' CEO, Andrew Rees, allegedly misled investors by stating that the company would not overstock wholesalers, while in reality, HEYDUDE's revenue growth was significantly driven by Crocs' aggressive stocking of third-party wholesalers [3]. - The company faced scrutiny after revealing that HEYDUDE's revenue growth in 2022 was not indicative of actual retail sales, leading to a significant stock price decline of nearly 16% on April 27, 2023 [4]. Group 3: Financial Performance and Stock Impact - On October 29, 2024, Crocs reported disappointing Q3 2024 results, attributing struggles at HEYDUDE to excess inventories and acknowledging that they shipped too much product, which led to a stock price drop of approximately 19% [5].

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].