(Halloween News) 4 Reasons Why Crocs Will Rock Next Week - Motley Fool
Color me naive — or color me in any of the loud and funky colors that Crocs footwear is available in — but I think the company will achieve redemption after Tuesday’s report. However, now that the shares have fallen by more than 56% off their October highs, the market is already pricing in the continuation of inventory and accounts receivable hiccups. Perhaps one of the more puzzling divergences after the company’s Halloween scare is that investors bailed, while the pros stuck to their forward expectations. Could it be that analysts’ decision to assume that a good chunk of the bloated inventory was related to overseas expansion and new product lines was an attempt to make sure Crocs didn’t live and die by its flagship Cayman and Beach models of hole-laden, croslite resin shoes? And before you peg the analysts following the company as gullible, keep in mind that they have understated the company’s actual earnings power for seven consecutive quarters. I just think that even a Crocs hitting on a few cylinders will be enough to re-engage investors with a stock that they abandoned long before the analysts — and the fundamentals — packed their bags to move on. More Halloween News
Technorati Tags: the, to, a, of, that, crocs, halloween news