On Oct 30, major Wall Street analysts update their ratings for $Crocs (CROX.US)$, with price targets ranging from $125 to $180.
BofA Securities analyst Christopher Nardone maintains with a buy rating, and sets the target price at $149.
Barclays analyst Adrienne Yih maintains with a buy rating, and adjusts the target price from $164 to $125.
Guggenheim analyst Robert Drbul maintains with a buy rating, and adjusts the target price from $182 to $155.
Loop Capital analyst Laura Champine maintains with a buy rating, and adjusts the target price from $155 to $150.
Baird analyst Jonathan Komp maintains with a buy rating, and adjusts the target price from $190 to $180.
Furthermore, according to the comprehensive report, the opinions of $Crocs (CROX.US)$'s main analysts recently are as follows:
Q3 results for Crocs exceeded expectations in terms of sales, operating margin, and earnings per share. However, despite outperforming, the favorable results didn't carry over to the fiscal 2024 EPS projections as guidance was refined for most metrics. It was observed that Q4 guidance was significantly lower than anticipated, which had an impact on the annual outlook due to challenging macroeconomic conditions and delays in realizing returns from HEYDUDE.
Expectations have been set for a more challenging expenditure climate in North America and China. Nonetheless, forecasts remain optimistic for Crocs' direct-to-consumer performance in North America during the fourth quarter, although there is an anticipation of a continued subdued performance for HEYDUDE. The earnings per share estimate for FY24 remains unchanged, while the projection for FY25 has been modestly adjusted to reflect the anticipated additional investments aimed at stabilizing HEYDUDE.
Following a third-quarter beat and an updated forecast for the full year, it's noted that the Crocs brand experienced a 7.4% year-over-year increase, though HEYDUDE fell short of expectations. For the full year, it's now anticipated that Crocs will see a revenue growth of around 3% year-over-year. The adjustment in HEYDUDE's fourth-quarter projection is attributed to the effects on digital channels from the reallocation of market focus towards brand rather than performance, along with lower wholesale sell-through.
The valuation of Crocs appears attractive following the stock's pullback after the company's Q3 results and guidance. Nevertheless, there is a lack of enthusiasm for the Q4 sales outlook across both segments. Concerns are amplified by the challenges encountered by the Hey Dude segment, particularly as it confronts easier comparisons from the past.
The firm observed that Crocs delivered a fairly strong performance in Q3, though it wasn't the usual standout beat. The company has increased the mid-point guidance for 2024E EPS. However, a more challenging expenditure landscape and an extended revival period for HEYDUDE are affecting overall confidence.
Here are the latest investment ratings and price targets for $Crocs (CROX.US)$ from 8 analysts:
Note:
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