Multiple Headwinds Hit Crocs (CROX) in Q3

8 hours ago 2

Soumya Eswaran

Tue, December 16, 2025 astatine 6:49 AM CST 2 min read

Riverwater Partners, an concern absorption company, released its “Small Cap Strategy” Q3 2025 capitalist letter. A transcript of the missive tin beryllium downloaded here. The Small Cap Core Strategy reported coagulated results for the 4th but did not support gait with the crisp rally, frankincense lagging the benchmark. The market’s penchant for lower-quality companies persisted successful the 4th and contributed importantly to the benchmark’s outperformance. On the different hand, the strategy remains focused connected higher-quality companies with enduring fundamentals, accordant revenue, and a transparent way to profitability. The steadfast powerfully believes that the strategy is well-positioned successful the challenging quarter. In addition, you tin cheque the fund’s apical 5 holdings to find its champion picks for 2025.

In its third-quarter 2025 capitalist letter, Riverwater Partners Small Cap Strategy highlighted stocks specified arsenic Crocs, Inc. (NASDAQ:CROX). Headquartered successful Broomfield, Colorado, Crocs, Inc. (NASDAQ:CROX) engages successful the footwear and accessories business. The one-month instrumentality for Crocs, Inc. (NASDAQ:CROX) was 16.88%, and its shares mislaid 18.73% implicit the past 52 weeks. On December 15, 2025, Crocs, Inc. (NASDAQ:CROX) banal closed astatine $90.66 per share, with a marketplace capitalization of $4.952 billion.

Riverwater Partners Small Cap Strategy stated the pursuing regarding Crocs, Inc. (NASDAQ:CROX) successful its 3rd 4th 2025 capitalist letter:

"We exited Crocs, Inc. (NASDAQ:CROX) during the 3rd quarter. The footwear institution has struggled to crook astir its Heydude marque and the user could beryllium showing immoderate signs of weakening. We stay impressed by Crocs' halfway marque spot and planetary enlargement opportunities, but elected to redeploy superior into opportunities with much charismatic risk-reward profiles."

Why Crocs Inc. (CROX) Went Up connected Thursday

Crocs, Inc. (NASDAQ:CROX) is not connected our database of 30 Most Popular Stocks Among Hedge Funds. As per our database, 37 hedge money portfolios held Crocs, Inc. (NASDAQ:CROX) astatine the extremity of the 3rd quarter, which was 36 successful the erstwhile quarter. In Q3 2025, Crocs, Inc. (NASDAQ:CROX) reported gross of astir $1 billion, marking a diminution of 7% year-over-year. While we admit the imaginable of Crocs, Inc. (NASDAQ:CROX) arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.