Here's Why Crocs Is Having A Bad Day

Shares of Crocs, Inc. CROX lost ground in Monday's after-hours session, which has continued Tuesday. The Colorado-based maker of the classic holes in your sandals disclosed dismal earnings.

Crocs reported on a GAAP basis: Net income of $15.8 million versus net income of $13.0 million in the comparable quarter in the prior year, a 21.5 percent increase.

CEO Andrew Rees stated in a press release, "global wholesale revenue climbed (by) 8% and global Internet revenue rose 9%, with very strong Internet sales results in the Americas."

The firm’s gross profit for Q3 2014 was $155.0 million, when compared with $153.6 million of sales for the prior-year period, a gain of 0.91 percent.

Crocs was recently down 5.2 percent at $11.52.

Analyst Roundup

Sterne Agee maintained a Neutral rating and stated, "we had thought a little good news would result in upside for the stock. Unfortunately, there was no good news. Outlook is dismal. 2015 will be another transition year. Share repurchases are occurring at a tepid pace despite a seemingly attractive share price beginning in late August."

Sterne Agee raised FY14 estimates from $0.49 to $0.58 and lowered FY15 and FY16 down 33 percent and 13 percent, respectively. Estimates come in at: Q4 $(0.23) from $(0.17); '14 $0.58 from $0.49; '15 $0.44 from $0.66.