Topic: How To Invest

Q: Pat: Can I get your take on Crocs (CROX)? Thank you.

Article Excerpt

A: Crocs Inc., $93.06, symbol CROX on Nasdaq (Shares outstanding: 61.6 million; Market cap: $5.7 billion;, makes casual footwear for men, women, and children. It is best known for its molded ‘Crocs’ shoes featuring Croslite, a non-toxic foam material that aims to give its footwear a soft, comfortable feel. In February 2022, the company completed the $2.5 billion acquisition of Hey Dude, a privately owned casual footwear brand based in Italy. Hey Dude makes light and casual footwear such as slip-ons for men, women and kids, which are priced around $60 and up. Founded in 2008, Hey Dude is one of today’s fastest-rising brands with teens, and they seem to have appeal for comfort-seeking grown-ups as well. In 2021, Hey Dude’s sales were approximately $570 million. In 2022, the brand’s sales in the 10 1/2 months Crocs owned it were $895.9 million. Hey Dude sold 30.5 million shoes during that period and generated approximately 36% of Crocs’ sales online. Crocs’ revenue rose…