DNY59
CROX's Reversal May Be Here, As HEYDUDE Bottoms
We previously covered Crocs, Inc. (NASDAQ:CROX) in June 2024, discussing why we had reiterated our Buy rating, as the company reported double beat FQ1'24 earning call while raising its FY2024
Crocs' Reversal May Already Be Here, As HEYDUDE Bottoms
Summary
- CROX's intensified efforts to drive growth through strategic IP partnerships and local e-commerce platforms have paid off handsomely indeed.
- These have led to the double beat FQ2'24 performance and raised FY2024 guidance, despite the lackluster HEYDUDE numbers.
- At the same time, CROX has hinted at the bottoming HEYDUDE sales, with H2'24 likely to bring forth sequential growth prospects.
- With the management still reporting robust FCF generation and balance sheet health, it remains well positioned to exercise the remaining $700M on its share repurchase authorization.
- We shall discuss why we remain optimistic about CROX's prospects.
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