Crocs (C7N) AI Stock Analysis

Company Guidance

For full year 2026, Crocs raised enterprise revenue guidance to up approximately 3% from up 1%-2%, with Crocs brand revenue up approximately 4% from up 2%-3% and HEYDUDE revenue approximately flat from down 2% to down 4%; adjusted diluted earnings per share is now expected in the range of $14.45-$14.65 versus $13.70-$14, adjusted gross margin is expected to be up slightly versus last year, adjusted SG&A dollars are implied slightly up to prior year, and adjusted operating margin is expected to expand modestly from 22.5%, excluding a non-GAAP net benefit of approximately $40 million associated with tariff refunds and our cost reduction initiatives, while GAAP tax, non-GAAP tax, and capital expenditure guidance are unchanged. For the fourth quarter, enterprise revenue is expected to be up 7%-9%, Crocs revenue up 6%-8%, HEYDUDE revenue up 10%-12%, adjusted operating margin approximately 20.5% with adjusted gross margin up approximately 200 basis points to prior year, and adjusted diluted earnings per share in the range of $3.25-$3.45; North America DTC is expected to face roughly 700-800 basis points of headwinds until the change is anniversaryed.