Should You Invest in Crocs (CROX)? - InvestingChannel

Should You Invest in Crocs (CROX)?

Choice Equities Capital Management, a hedge fund manager, released its third-quarter 2023 investor letter recently. You can view it here. In the third quarter, the fund generated -14.6% on a net basis which brought the year-to-date net performance to -6.2%. This compares to Russell 2000’s -5.1% loss for the quarter and +2.5% gain year-to-date. In addition, please check the fund’s top five holdings to know its best picks in 2023.

Choice Equities highlighted stocks like Crocs, Inc. (NASDAQ:CROX) in the third quarter 2023 investor letter. Headquartered in Broomfield, Colorado, Crocs, Inc. (NASDAQ:CROX) engages in the footwear and accessories business. On November 6, 2023, Crocs, Inc. (NASDAQ:CROX) stock closed at $82.20 per share. One-month return of Crocs, Inc. (NASDAQ:CROX) was -5.45%, and its shares lost 0.88% of their value over the last 52 weeks. Crocs, Inc. (NASDAQ:CROX) has a market capitalization of $4.979 billion.

Choice Equities made the following comment about Crocs, Inc. (NASDAQ:CROX) in its Q3 2023 investor letter:

“In the case of Crocs, Inc. (NASDAQ:CROX), I had the pleasure of joining the Yet Another Value Blog podcast to discuss our investment here at length. Like most consumer brands today, the market seems concerned about the near-term outlook, and in their case, the recent HeyDude acquisition. Even so, our research suggests the terminal value of the franchise continues to be substantial and capable of generating highly attractive cash flows over a sustained period of time. That a well-managed owner of two, billion-dollar shoe brands, with market leading profitability that are both currently the number-one-selling shoe in their respective categories on Amazon, can be purchased at ~7x earnings speaks to the types of values available in the market today.”

A busy retail store full of customers trying on a wide range of footwear.

Crocs, Inc. (NASDAQ:CROX) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 45 hedge fund portfolios held Crocs, Inc. (NASDAQ:CROX) at the end of second quarter which was 31 in the previous quarter.

We discussed Crocs, Inc. (NASDAQ:CROX) in another article and shared Artisan Small Cap Fund’s views on the company. In addition, please check out our hedge fund investor letters Q3 2023 page for more investor letters from hedge funds and other leading investors.

 

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Disclosure: None. This article is originally published at Insider Monkey.

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