Crocs, Inc. CROX

Crocs is a capital‑light, cash‑generative branded footwear company with a strong core franchise, growing international mix, and multiple reinvestment vectors in sandals, personalization, and social commerce. The moat is moderate—anchored in brand and distribution rather than hard lock‑in—and is pressured near term by tariffs and a HEYDUDE reset, which caused a large non‑cash impairment in Q2‑2025 (Q2‑2025 10‑Q; Earnings call). Historically high ROIC/ROIIC and FY2024 FCF of $923m show the model can compound when trends are favorable, and leverage and liquidity appear manageable even after a TTM optics dip from one‑offs (Cash flow statements; Key financial metrics). On valuation, a base‑case DCF lands near $106/share with a bear at ~$61 and bull at ~$224, framing an asymmetric setup if cost actions and brand momentum hold (Valuation). Overall, this is a solid compounder at the Crocs brand level with execution work to do on HEYDUDE and tariff mitigation; durability improves if international growth and sandals expansion sustain while U.S. promos remain disciplined.