Crocs(CROX) Newsfilter·2025-03-15 12:49Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against Crocs, Inc. related to misleading statements about the sustainability of HEYDUDE's revenue growth, with a deadline for investors to seek lead plaintiff status in a federal securities class action by March 24, 2025 [1][3][12]. Group 1: Company Overview - Crocs, Inc. completed the acquisition of HEYDUDE in February 2022, which accounted for approximately 25% of the Company's total revenues in 2022 [4]. - HEYDUDE's revenue growth in 2022 was largely driven by stocking third-party wholesalers and retailers, rather than actual retail sales [3][6]. Group 2: Financial Performance and Stock Impact - On April 27, 2023, Crocs' stock price fell nearly 16% after revealing that HEYDUDE's revenue growth was not indicative of actual sales [6]. - On July 27, 2023, Crocs admitted that overstocking contributed to approximately 896 million revenue post-acquisition, leading to a stock price decline of nearly 15% [7][8]. - Following the third quarter 2023 results, HEYDUDE's wholesale revenues declined by 19.4%, prompting a further reduction in revenue growth guidance from 14%-18% to 4%-6%, resulting in a stock price drop of over 5% [9]. - On October 29, 2024, Crocs reported that HEYDUDE's revenues fell below expectations, causing a stock price decline of approximately 19.2% [10][11].