I bought CROCs (CROX) at $79.13 and I think it's still undervalued

u/Safe-Worldliness-394 · Reddit — r/ValueInvesting · February 18, 2026 at 21:28 · ⬆ 11 pts · 💬 35 comments  | View on Reddit ↗
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Author holds CROX bought around $79.13 and argues it remains undervalued with a $140-180 target if management executes, citing high ROIC, cash generation, ~58% gross margins, brand strength, HEYDUDE turnaround optionality, and international growth.

CROX — LONG Author owns CROX from ~$79.13 and believes it is still undervalued, seeing a path to $140-180 if management executes. The mechanism is high ROIC and strong cash conversion, a high adjusted earnings yield, and ~58% gross margins that signal pricing power to pass through tariff/cost pressure. Catalysts include stabilizing HEYDUDE's product/wholesale strategy as optionality and continued international expansion of the Crocs brand. Main stated risk is that HEYDUDE remains a drag if management fails to fix it.

I started buying CROX in September around $79.13 and it's now about $98.19. Even after the move I still think it's undervalued and can reach $140-180 if management executes.

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u/Safe-Worldliness-394 Reddit r/ValueInvesting
CROX still undervalued, $140-180 if management executes
Author owns CROX from ~$79.13 and believes it is still undervalued, seeing a path to $140-180 if management executes. The mechanism is high ROIC and strong cash conversion, a high adjusted earnings yield, and ~58% gross margins that signal pricing power to pass through tariff/cost pressure. Catalysts include stabilizing HEYDUDE's product/wholesale strategy as optionality and continued international expansion of the Crocs brand. Main stated risk is that HEYDUDE remains a drag if management fails to fix it.
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This Reddit post, published February 18, 2026, features u/Safe-Worldliness-394 discussing CROX. 1 trade idea extracted by AI with direction and confidence scoring.

Speakers: u/Safe-Worldliness-394  · Tickers: CROX