IQ EQ Fund Management Ireland Ltd has increased its stake in Crocs, Inc. by 8.1% during the second quarter of 2024. The fund acquired an additional 697 shares, bringing its total holdings to 9,308 shares, valued at approximately $943,000 as of the end of June. This move reflects a broader trend among institutional investors actively adjusting their positions in the popular footwear company.
Several other institutional investors also enhanced their investments in Crocs. Notably, Motley Fool Wealth Management LLC raised its position by an impressive 82.6% in the first quarter, now owning 101,978 shares worth about $10.83 million. Additionally, Entropy Technologies LP entered the market with a new stake valued at $905,000.
Investment firms such as Intech Investment Management LLC and Baird Financial Group Inc. also increased their holdings, underscoring the strong institutional interest in Crocs. Collectively, institutional investors control approximately 93.44% of Crocs’ outstanding shares.
Insider Purchases Signal Confidence
In related developments, Crocs’ executive vice president, Susan L. Healy, purchased 2,000 shares at an average price of $76.56 per share on August 12, 2024. This transaction added to her total holdings, which now stand at 50,078 shares, valued at around $3.83 million. This acquisition represents a 4.16% increase in her ownership of the company.
Similarly, John B. Replogle, a director at Crocs, acquired 3,261 shares on August 8, 2024, at an average cost of $76.69 per share, totaling approximately $250,086. After this purchase, he holds 15,417 shares, reflecting a 26.83% increase in his stake.
Insider trading data indicates that corporate insiders currently possess about 2.72% of Crocs’ shares, which may signal confidence in the company’s future.
Latest Financial Performance
Crocs announced its earnings results on August 7, 2024, reporting earnings per share (EPS) of $4.23 for the second quarter. This figure surpassed analysts’ expectations of $4.01 by $0.22. The company generated revenue of $1.15 billion, aligning with analyst estimates.
With a net margin of 5.72% and a return on equity of 44.15%, Crocs demonstrated a 3.4% increase in revenue compared to the same period last year. The company has set a guidance for the third quarter of 2025, anticipating strong earnings performance as it continues to expand its market presence.
Analyst Ratings and Market Outlook
Recent analyst evaluations of Crocs have produced mixed results. Citigroup downgraded the stock to a “negative” rating on October 7, 2024. Meanwhile, UBS Group revised its price target from $110.00 to $85.00, maintaining a “neutral” rating. Similarly, KeyCorp lowered its price target from $120.00 to $95.00 while keeping an “overweight” rating.
Current consensus indicates that seven analysts rate Crocs as a “Buy,” five as a “Hold,” and three as a “Sell.” The average target price for the stock stands at $101.92, suggesting a cautious yet optimistic outlook for investors.
As Crocs continues to navigate the competitive landscape of casual lifestyle footwear, the combination of institutional support and insider confidence may play a pivotal role in its future performance.
