Short Interest in Crocs, Inc. (NASDAQ:CROX) Increases By 34.6%

Key Points

• Crocs, Inc. experienced a significant increase in short interest, rising by 34.6% to 6.96 million shares by mid-August, indicating heightened negative sentiment towards the stock.
• Insider trading activity included purchases by Director John B. Replogle and EVP Susan L. Healy, who increased their holdings by 26.83% and 4.16%, respectively, signaling confidence in the company's prospects.
• Crocs reported a Q2 EPS of $4.23, exceeding estimates, while institutional investors now hold 93.44% of the firm’s shares, reflecting strong institutional support.

Crocs, Inc. (NASDAQ:CROX - Get Free Report) was the recipient of a large increase in short interest in the month of August. As of August 15th, there was short interest totaling 6,960,000 shares, an increase of 34.6% from the July 31st total of 5,170,000 shares. Based on an average daily volume of 1,780,000 shares, the short-interest ratio is presently 3.9 days. Approximately 13.2% of the company's shares are sold short. Approximately 13.2% of the company's shares are sold short. Based on an average daily volume of 1,780,000 shares, the short-interest ratio is presently 3.9 days.

Crocs Stock Down 4.3%

Crocs stock traded down $3.52 during trading hours on Friday, hitting $77.43. The stock had a trading volume of 2,712,591 shares, compared to its average volume of 1,649,321. The company has a quick ratio of 0.97, a current ratio of 1.54 and a debt-to-equity ratio of 0.97. The stock has a market capitalization of $4.23 billion, a P/E ratio of 20.76, a price-to-earnings-growth ratio of 1.86 and a beta of 1.40. Crocs has a 12-month low of $73.76 and a 12-month high of $151.13. The stock's 50-day moving average price is $93.04 and its 200-day moving average price is $99.17.

Crocs (NASDAQ:CROX - Get Free Report) last issued its earnings results on Thursday, August 7th. The textile maker reported $4.23 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.01 by $0.22. The business had revenue of $1.15 billion during the quarter, compared to analysts' expectations of $1.15 billion. Crocs had a net margin of 5.72% and a return on equity of 44.15%. The business's revenue for the quarter was up 3.4% compared to the same quarter last year. During the same period in the previous year, the company earned $4.01 earnings per share. Crocs has set its Q3 2025 guidance at EPS. Equities research analysts anticipate that Crocs will post 13.2 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

CROX has been the topic of several recent research reports. The Goldman Sachs Group cut their price target on Crocs from $88.00 to $87.00 and set a "sell" rating on the stock in a research note on Tuesday, July 22nd. Needham & Company LLC boosted their target price on Crocs from $89.00 to $100.00 and gave the stock a "buy" rating in a report on Friday, August 29th. Bank of America reduced their price target on Crocs from $135.00 to $99.00 and set a "buy" rating for the company in a report on Friday, August 8th. UBS Group reduced their price target on Crocs from $110.00 to $85.00 and set a "neutral" rating for the company in a report on Monday, August 11th. Finally, KeyCorp reduced their price target on Crocs from $120.00 to $95.00 and set an "overweight" rating for the company in a report on Friday, August 8th. Eight analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, Crocs has an average rating of "Moderate Buy" and a consensus target price of $105.33.

Insider Activity

In related news, EVP Susan L. Healy bought 2,000 shares of the company's stock in a transaction dated Tuesday, August 12th. The stock was purchased at an average cost of $76.56 per share, with a total value of $153,120.00. Following the transaction, the executive vice president owned 50,078 shares in the company, valued at approximately $3,833,971.68. This trade represents a 4.16% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director John B. Replogle bought 3,261 shares of the company's stock in a transaction dated Friday, August 8th. The stock was bought at an average cost of $76.69 per share, with a total value of $250,086.09. Following the completion of the transaction, the director owned 15,417 shares in the company, valued at approximately $1,182,329.73. This trade represents a 26.83% increase in their position. The disclosure for this purchase can be found here. Company insiders own 3.00% of the company's stock.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the stock. Costello Asset Management INC purchased a new position in shares of Crocs during the first quarter valued at approximately $32,000. Larson Financial Group LLC raised its holdings in shares of Crocs by 541.8% during the first quarter. Larson Financial Group LLC now owns 353 shares of the textile maker's stock valued at $37,000 after purchasing an additional 298 shares during the last quarter. IMA Advisory Services Inc. purchased a new position in shares of Crocs during the first quarter valued at approximately $40,000. Brooklyn Investment Group purchased a new position in shares of Crocs during the first quarter valued at approximately $40,000. Finally, Allworth Financial LP raised its holdings in shares of Crocs by 120.7% during the second quarter. Allworth Financial LP now owns 448 shares of the textile maker's stock valued at $45,000 after purchasing an additional 245 shares during the last quarter. 93.44% of the stock is owned by hedge funds and other institutional investors.

About Crocs

Crocs, Inc, together with its subsidiaries, designs, develops, manufactures, markets, distributes, and sells casual lifestyle footwear and accessories for men, women, and children under Crocs and HEYDUDE Brand in the United States and internationally. The company offers various footwear products, including clogs, sandals, slides, flips, wedges, platforms, socks, boots, charms, flip flops, sneakers, and slippers.