Is Crocs, Inc. overvalued or undervalued?

As of 7 August 2025, the valuation grade for Crocs, Inc. has moved from very attractive to expensive, indicating a shift in perception regarding its market worth. The company appears overvalued at this time. Key ratios include a P/E ratio of 11, an EV to EBITDA of 10.62, and a PEG ratio of 0.37, which suggest that while the company has strong earnings growth potential, its current valuation may not justify the price.
In comparison to its peers, Crocs, Inc. has a lower P/E ratio than Skechers U.S.A., Inc. at 12.84 and Ralph Lauren Corp. at 48.61, both of which are considered attractive. The return performance of Crocs, Inc. has been notably poor, with a year-to-date decline of 26.63% compared to a gain of 12.22% for the S&P 500, reinforcing the notion that the stock may be overvalued relative to its recent performance.