i'd never buy a pair of crocs.when i worked in mervyn's, my jaw just dropped every time i sold one or even a knockoff. when i came across this stock, i couldn't believe how it has sustained itself. as i witnessed the latest quarterly report and the after hour decline went down 13 points, i said "that wasn't surprising." however, this is far from what should be said about this stock.
let's read between the lines of the reaction... revenue 179m. better than last year, worse than the previous quarter. (foreshadowing) healthy liquidity, decrease in liabilities. doesn't look that bad.
crocs are cyclical, and the variable is weather. no one wants to wear crocs in winter. i can guarantee a warmer trend is relevant to this company's well being. look at the past 3 years... stock is down the first 25% of the year and all of a sudden increases into the summer.
for those who bought CROX after the 13 point drop, bravo. your company has accommodating international exposure. the investment towards children with their accessory line is disgustingly working. however, the operation of this company is respectably tight. although competition is daunting, i don't see any short term threat to this style.
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