Sterne Agee Reiterates Buy on Crocs, Increases PT to $30

Sterne Agee reiterated its Buy rating on Crocs CROX. At the same time, Sterne Agee raised its price target on the company's stock from $25 to $30 after raising its earnings per share estimates for the next two years. In a research report published today, Stern Agee states, "Based on recent channel checks we have a greater degree of confidence that our Street high EPS estimates of $1.16 (FC $1.11) and $1.51 (FC $1.37) for 2011 and 2012 respectively will prove conservative. We also contend that our revenue estimates which call for a 29% increase in 2011 and a 10% increase in 2012 will prove to be well below the reported results, especially looking ahead to 2012." On Tuesday, Crocs added 0.12% to its value to end the day at $24.67. Its shares continued to edge higher in today's pre-market trading, climbing 0.04% to $24.68.