Shares of Crocs (CROX) rose a whopping 17%, hitting an all-time high in intraday trading just after an investor day that gave Wall Street enough to dig in. The shares closed at $149.38 each, up 11.66% on the day.
Crocs expects to reach more than $5 billion in sales by 2026. It will also focus on expanding its reach in Asia and increasing its digital growth. The company is also stepping up its sustainability efforts and announcing a new lower carbon biobased material called Croslite™ that it will introduce in its footwear line. The move is an extension of the company’s commitment to achieve net-zero emissions by 2030.
Crocs’ leadership expects the company to have an adjusted operating margin of 26% over the long term. The company also announced that it would set a new accelerated buyback target of $500 million by the end of 2021.
Williams Trading’s Sam Poser tells Yahoo Finance that sticking to the game plan and listening to consumers will serve the comfort shoe company well in the long run. “If these brands stick to their guns and… [don’t] mess with trying to expand distribution too much and trying to build and focus on their customers and innovate products and the way they go to market, i mean, [that] pretty much works, as long as you really engage with your customer,” he said.
Reggie Wade is a writer for Yahoo Finance. Follow him on Twitter @ReggieWade.