Crocs (CROX) Stock Soars as Q1 Results Top Expectations
NEW YORK (TheStreet) -- Shares of Crocs (CROX) - Get Report are spiking 17.34% to $9.07 on heavy trading volume on Tuesday morning after the company reported better-than-expected results for the 2016 first quarter.
Before the market open, the Niwot, CO-based casual footwear company posted earnings of 7 cents per diluted share, surpassing analysts' estimates of 5 cents per share.
Revenue for the quarter was $279.1 million, higher than Wall Street's expectations of $265.9 million.
"We are pleased with our start to the new year. First quarter revenue increased 6.5% driven by the positive response to our spring/summer 2016 line and operational improvements," CEO Gregg Ribatt said in a statement.
For the second quarter, Crocs forecasts revenue between $340 million and $350 million, lower than analysts' projections.
Analysts are looking for revenue of $358.4 million.
About 1.15 million of the company's shares were traded so far today vs. its average volume of 777,225 shares per day.
Separately, TheStreet Ratings Team has a "Sell" rating with a score of D on the stock.
The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity, generally disappointing historical performance in the stock itself and feeble growth in its earnings per share.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: CROX
