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I last covered Crocs (NASDAQ:CROX) in my article Crocs: Growth Rate Can Be Sustained Despite Market Worries. In that article, I argued that Crocs stock was a buy, the reason for this bullish view was based
Crocs: Patience Is Required To Be A Successful Investment
Summary
- Crocs' growth drivers include international expansion, sandals, and robust gross margins, despite a slowdown in revenue and HeyDude's underperformance.
- Q3 results exceeded guidance, but stock dropped due to slower revenue growth and HeyDude's continued weakness, despite strong EPS growth.
- CROX's international segment, especially in China, shows significant long-term potential with new store openings and strong brand positioning.
- HeyDude's turnaround is slower than expected, but strategic actions and new leadership aim to enhance long-term prospects, presenting a buying opportunity.
Associated with: The Merchant House Investor Self-taught Long term value investor looking to buy Great growing businesses at a reasonable price. Warning: The articles are for informational purposes only and should not be considered as investment advice. The author is not a registered financial advisor and does not provide investment recommendations. Any investment decisions you make should be based on your own research and analysis.
Analyst’s Disclosure:I/we have a beneficial long position in the shares of CROX either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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