Crocs has a lot going for it as an value investment right now, but it also has some compelling growth drivers. Three reasons this company will continue growing:
- This isn't the old Crocs. It has increasingly more exposure to high-growth emerging markets and has moved away from the unattractive clogs that made it infamous.
- Crocs is becoming a four-seasons brand. Where competitors such as Deckers have to acquire and promote season-specific brands, Crocs can focus on promoting one cohesive brand and worry less about correctly nailing seasonality. It'll also get more for its advertising buck than competitors that have to promote different brands.
- The company has masked volume growth right now. A surface-level look at Crocs' sales indicate modest but not mind-blowing growth. A deeper look reveals that this company is far more effective at utilizing its own channels, something that will not only serve long-term investors but also give Crocs more control over its brand.
One of the most important keys to Crocs' success so far has been its aggressive focus on emerging markets. There are other, more established ways to obtain the same supercharged growth, too. Our free report "3 American Companies Set to Dominate the World" shows you how. Click here to get your free copy before it’s gone.
Austin Smith has no positions in the stocks mentioned above. The Motley Fool owns shares of Crocs. Motley Fool newsletter services recommend Nike. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.