Here's Why Crocs (CROX) is a Strong Value Stock
It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.
Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.
Why Investors Should Pay Attention to This Value Stock
Value investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, and Price/Cash Flow, the Value Style Score identifies the most attractive and most discounted stocks.
Crocs (CROX)
Founded in 1999 and based in Niwot, CO, Crocs, Inc. is one of the leading footwear brands with its focus on comfort and style. Famous for its iconic clog material, Crocs’ simple design and great comfort was an instant hit among consumers. The company offers a wide variety of footwear products including sandals, wedges, flips and slide that cater to people of all age.
CROX is a Zacks Rank #2 (Buy) stock, with a Value Style Score of B and VGM Score of A. Shares are currently trading at a forward P/E of 11.3X for the current fiscal year compared to the Textile - Apparel industry's P/E of 19.4X. Additionally, CROX has a PEG Ratio of 1.5 and a Price/Cash Flow ratio of 11X. Value investors should also note CROX's Price/Sales ratio of 2.1X.
A company's earnings performance is important for value investors as well. For fiscal 2024, two analysts revised their earnings estimate higher in the last 60 days for CROX, while the Zacks Consensus Estimate has increased $0.04 to $12.86 per share. CROX also holds an average earnings surprise of 14.9%.
CROX should be on investors' short lists because of its impressive earnings and valuation fundamentals, a good Zacks Rank, and strong Value and VGM Style Scores.
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Crocs, Inc. (CROX) : Free Stock Analysis Report