Case Name :      Crocs, Inc.

Authors :           Marc Lipson, Gaurav Gupta

Source :             Darden School of Business

Case ID :           UV2549

Discipline :        Accounting

Case Length :    17 pages

Solution Sample availability : YES

Plagiarism : NO (100% Original work)

This case forces students to examine the drivers of value, particularly growth and margins. It is also effective at drawing attention to the relationship between terminal value assumptions and value creation-assumptions that generate a large sensitivity of terminal value to growth rate are assumptions that imply that a great deal of value can still be created from investments after the planning horizon. The narrative features an analyst who is trying to make sense of a sharp one-day decline in the price of Crocs stock.