Crocs (NASDAQ:CROX) Releases Earnings Results, Beats Expectations By $0.38 EPS

Crocs (NASDAQ:CROX) issued its quarterly earnings results on Thursday. The textile maker reported $3.69 earnings per share for the quarter, topping the consensus estimate of $3.31 by $0.38, FiscalAI reports. Crocs had a return on equity of 49.35% and a net margin of 16.20%. The company had revenue of $1.04 billion for the quarter, compared to the consensus estimate of $1 billion. During the same quarter in the prior year, the business earned $2.92 EPS. Crocs’s revenue was up 4.7% on a year-over-year basis.

Here are the key takeaways from Crocs’ conference call:

• Raised full-year outlook: Crocs increased 2026 revenue guidance to approximately 3% growth from 1%-2% previously and lifted adjusted EPS guidance to $14.45-$14.65. Fourth-quarter revenue is expected to rise 7%-9%.
• Both brands returned to growth: Third-quarter enterprise revenue exceeded $1 billion, up 5%, with Crocs revenue up 4% and HEYDUDE up 6%. Crocs cited strong international demand and product diversification, while HEYDUDE benefited from wholesale growth and improved inventory and full-price selling.
• Profitability and cash generation remained strong: Adjusted operating margin expanded 150 basis points to 22.3%, while adjusted EPS rose 26% to $3.69. The company repurchased approximately $250 million of shares and paid down $21 million of debt during the quarter.
• North American Crocs sales face a temporary channel headwind: A business-model shift is moving revenue from direct-to-consumer to wholesale, creating an estimated 700-800 basis-point DTC headwind over the next several quarters. Management said the shift does not affect units or market share and expects underlying North American growth excluding the impact.
• Consumer and international risks remain: Management described a K-shaped consumer environment, with weakness among lower-income shoppers, and said wholesale partners remain cautious. HEYDUDE’s international business is still small and is expected to require time and measured investment before becoming a meaningful growth driver.

Crocs Trading Up 0.2%

NASDAQ CROX opened at $150.52 on Friday. The firm has a market capitalization of $7.22 billion, a PE ratio of 11.24, a P/E/G ratio of 1.23 and a beta of 1.56. The stock’s 50 day moving average is $120.41 and its 200 day moving average is $109.73. Crocs has a twelve month low of $73.21 and a twelve month high of $154.05. The company has a quick ratio of 0.96, a current ratio of 1.44 and a debt-to-equity ratio of 0.96.

Crocs News Summary

Here are the key news stories impacting Crocs this week:

• Positive Sentiment: Quarterly earnings and revenue beat expectations. Crocs reported adjusted EPS of $3.69 versus the $3.31 analyst consensus, while revenue increased 4.7% year over year to approximately $1.04 billion, ahead of estimates near $1.00 billion. Crocs quarterly earnings report
• Positive Sentiment: Management raised its full-year forecast for the third consecutive time. Crocs now expects 2026 revenue growth of approximately 3%, up from its prior 1%–2% outlook, and projects fourth-quarter revenue growth of roughly 7%–9%. Crocs Q3 results and outlook
• Positive Sentiment: HEYDUDE returned to growth. HEYDUDE revenue increased about 6%, easing concerns about the struggling brand and strengthening the case for a broader recovery. Crocs Brand revenue also grew approximately 4.4%. Reuters HEYDUDE turnaround article
• Positive Sentiment: Profitability and shareholder returns improved. Gross margin expanded to 66.2% from 58.5% a year earlier, operating income rose more than 40%, and the company repurchased approximately $250 million of stock during the quarter.
• Positive Sentiment: Analysts became more bullish. Barclays raised its price target to $178 and assigned an “overweight” rating, while Needham raised its target to $190 and reiterated a “buy” rating. Barclays CROX rating
• Neutral Sentiment: Technical coverage highlights that CROX has moved above its 20-day and 50-day moving averages and reached a new 52-week high, signaling positive momentum but also increasing the risk of profit-taking after the sharp advance. CROX moving average analysis
• Negative Sentiment: Some commentary notes that international growth is helping offset weaker U.S. performance, while tariff-related benefits and buybacks contributed to the earnings improvement. These factors could make comparisons less favorable if they do not persist.

Insider Activity at Crocs

In other news, Director Beth Kaplan purchased 885 shares of the business’s stock in a transaction on Tuesday, September 15th. The stock was acquired at an average price of $112.12 per share, for a total transaction of $99,226.20. Following the acquisition, the director directly owned 15,259 shares of the company’s stock, valued at $1,710,839.08. This represents a 6.16% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Andrew Rees sold 19,072 shares of Crocs stock in a transaction on Monday, August 10th. The shares were sold at an average price of $138.91, for a total value of $2,649,291.52. Following the sale, the chief executive officer directly owned 713,293 shares of the company’s stock, valued at approximately $99,083,530.63. This trade represents a 2.60% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 3.10% of the stock is owned by insiders.

Wall Street Analysts Forecast Growth

CROX has been the topic of a number of analyst reports. The Goldman Sachs Group reaffirmed a “sell” rating and set a $128.00 target price on shares of Crocs in a research report on Friday. Monness Crespi & Hardt boosted their target price on shares of Crocs from $130.00 to $160.00 and gave the company a “buy” rating in a research note on Friday, July 31st. BTIG Research reaffirmed a “neutral” rating on shares of Crocs in a research note on Thursday. UBS Group reissued a “neutral” rating and issued a $145.00 price objective on shares of Crocs in a research report on Friday. Finally, Weiss Ratings upgraded Crocs from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Monday. One analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating, five have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, Crocs presently has an average rating of “Moderate Buy” and a consensus price target of $158.30.

Crocs Company Profile

Crocs, Inc is a global footwear company best known for its Crocs brand of casual, lightweight shoes. Its product portfolio includes clogs, sandals, slides, boots and other casual footwear, along with accessories such as Jibbitz charms, which are designed to personalize Crocs shoes.

The company was founded in 2002 and introduced its first clog that year. Crocs has expanded from its original molded footwear into a broader lifestyle brand, offering products for women, men and children through company-operated and third-party retail stores, e-commerce platforms and wholesale partners.

In 2022, Crocs completed its acquisition of HEYDUDE, adding the casual shoe brand to its portfolio.