They’re the bane of the fashion conscious and now Crocs, the shoe company known for its colorful clogs, is tripping over itself on Wall Street.
The company’s stock fell sharply in late July after reporting a 43 percent decline in second-quarter profits. Once a fast-growing business, Crocs is finding it hard to keep up as colder than normal weather and decreased consumer interest continues to bring sales down.
Analysts from Stern Agee haven’t been helping the company’s situation by downgrading it from “neutral” to “underperform.” They cited in a report that the change was due to reduced earnings expectations and concerns over senior executive leadership.
“Unfortunately, it appears that those who concur with the top executives remain at the company, at the expense of numerous talented people who have left,” wrote analyst Sam Poser.