Crocs Stock Just Hit a New 52-Week High and Has Strong Upside Ahead

• Crocs (CROX) demonstrates strong technical momentum, with a recent 25% gain since a new “Buy” signal was issued.
• Shares are up more than 20% over the past year and 10% in the past month.
• CROX stock recently set a new 52-week high on July 17.
• Analyst sentiment is positive, with multiple “Strong Buy” ratings and price targets ranging from $125 to $185, supporting further upside potential.

Today’s Featured Stock

Valued at $6.77 billion, Crocs (CROX) is one of the leading footwear brands with its focus on comfort and style. The company offers a wide variety of footwear products including clogs, sandals, wedges, flip flops, and slides that cater to people of all ages. 

What I’m Watching

I found today’s Chart of the Day by using Barchart’s powerful screening functions to sort for stocks with the highest technical buy signals; superior current momentum in both strength and direction, Weighted Alpha above 50+ and a 60-Month Beta over 1.5. I then used Barchart’s Flipcharts feature to review the charts for consistent price appreciation. CROX checks those boxes. The Trend Seeker issued a new “Buy” signal on May 21. Since then, the stock has gained 22.82%.

Barchart’s Technical Indicators for CROX

Editor’s Note: The technical indicators below are updated live during the session every 20 minutes and can therefore change each day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report. These technical indicators form the Barchart Opinion on a particular stock.

CROX scored a 1-year high of $140.42 on July 17.

• Crocs has a Weighted Alpha 50.02.
• CROX has a 100% “Buy” opinion from Barchart.
• The stock has gained 22.62% over the past 52 weeks.
• Crocs has its Trend Seeker “Buy” signal intact.
• The stock recently traded at $132.48 with a 50-day moving average of $120.99.
• CROX has made 8 new highs and gained 10.12% over the past month.
• 60-month beta of 1.59.
• Relative Strength Index (RSI) is at 56.83.
• There’s a technical support level around $134.72.

Don’t Forget the Fundamentals

• $6.77 billion market capitalization.
• 10.88x trailing price/earnings ratio
• Revenue is projected to grow 0.74% this year and another 2.44% next year.
• Earnings are estimated to increase 9.35% this year and an additional 6.31% next year.

Analyst and Investor Sentiment on Crocs

• The Wall Street analysts followed by Barchart give the stock 6 “Strong Buy,” 1 “Moderate Buy,” 7 “Hold,” and 1 “Strong Sell” opinion with price targets between $86 and $160.
• Value Line rates the stock “Highest” with price targets from $125 to $185.
• CFRA’s MarketScope rates the stock a “Strong Buy” with a price target of $162
• Morningstar thinks the stock is 24% undervalued with a fair value of $179.51.
• 26,480 investors are following the stock on Seeking Alpha, which rates it a “Hold.”
• Short interest is 9.60% of the float with 3.97 days to cover the float.

The Bottom Line on Crocs

In the spirit of full disclosure, although I do not own the stock, I, along with my 3 grandchildren, do own pairs of Crocs. Someday, maybe everyone on the planet will also own a pair. Upside still seems to be there.

Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance.

On the date of publication, Jim Van Meerten did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.