Crocs (CROX) shares ended the last trading session 4.9% higher at $100.65. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 4.8% loss over the past four weeks.
The company’s shares have rallied following the news that tariffs can come to negotiation terms for Vietnam, where CROX has majority of its third-party manufacturers. In addition, sturdy consumer demand, effective pricing strategies and lower fulfillment costs have been yielding.
This footwear company is expected to post quarterly earnings of $2.52 per share in its upcoming report, which represents a year-over-year change of -16.6%. Revenues are expected to be $909.78 million, down 3.1% from the year-ago quarter.
Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.
For Crocs, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on CROX going forward to see if this recent jump can turn into more strength down the road.
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Crocs is a member of the Zacks Textile - Apparel industry. One other stock in the same industry, Gildan Activewear GIL, finished the last trading session 4.8% lower at $39.78. GIL has returned -16.9% over the past month.
For Gildan
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Crocs, Inc. (CROX): Free Stock Analysis Report Gildan Activewear, Inc. (GIL): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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