Williams Trading has adjusted its price target for Crocs (CROX, Financial), reducing it from $112 to $83. This decision accompanies the firm's retention of a Hold rating on the company's shares. The revision is part of a broader reassessment by Williams Trading that involves trimming price targets and estimates across its retail sector coverage.
The 20.4% decrease in the average price-to-earnings multiple reflects ongoing uncertainties surrounding the effects of recent tariffs on profit margins, pricing strategies, and consumer demand. A significant 145% tariff imposed on products from China is reportedly causing disruptions, hindering shipments to the United States. This development poses challenges to sales and profitability for brands heavily dependent on Chinese manufacturing and the U.S. market for revenue.
Industry insights suggest that these circumstances have created an environment of unpredictability, leading many companies to either refrain from providing forward guidance or consider withdrawing existing forecasts. As such, Crocs and other brands with a similar operational footprint may face substantial sales and margin pressures.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 13 analysts, the average target price for Crocs Inc (CROX, Financial) is $124.62 with a high estimate of $153.00 and a low estimate of $99.00. The average target implies an upside of 41.00% from the current price of $88.39. More detailed estimate data can be found on the Crocs Inc (CROX) Forecast page.
Based on the consensus recommendation from 16 brokerage firms, Crocs Inc's (CROX, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Crocs Inc (CROX, Financial) in one year is $133.32, suggesting a upside of 50.84% from the current price of $88.385. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Crocs Inc (CROX) Summary page.
