Reiterating a “Buy” Rating on Crocs with a Price Target of $134

Analysis of Crocs

I am reiterating my “buy” rating on Crocs with a price target of $134, as I believe that the forward revenue slowdown and tariff-related headwinds are already priced in. The company grew its revenues by 3.1% in FY24, driven by its Crocs brand, while its HEYDUDE brand saw its revenue coming in flat year-over-year, after several quarters of contraction. While the Classic Clogs is the hero of the Crocs brand, along with accelerating growth in its international markets, its HEYDUDE brand also benefited from higher ASPs.

Impact on Investors

Investors who are considering buying or holding onto Crocs stock may find reassurance in the continued growth of the company’s revenues, especially in the face of challenges such as tariff-related headwinds. With a price target of $134, there is potential for further upside in the stock price.

Impact on the World

As Crocs continues to innovate and grow its international presence, the company’s success can have a positive impact on the overall footwear industry. With the popularity of its Classic Clogs and the potential for growth in the HEYDUDE brand, Crocs is contributing to the evolution of footwear fashion and comfort around the world.

Conclusion

In conclusion, the outlook for Crocs remains positive, with opportunities for growth in both its core Crocs brand and the HEYDUDE brand. Investors may find value in holding onto Crocs stock, as the company continues to navigate challenges and drive revenue growth. With a price target of $134, Crocs presents an attractive investment opportunity for those looking to capitalize on the company’s strengths and potential for future growth.