Crocs on the move today, as expected

Just 30 minutes into the session, CROX is up 4% and climbing after getting an upgrade from a minor brokerage house this morning.

The upgrade, though, is only one reason why CROX is up $2 to $47 so far today. The other, as I wrote recently, is that earnings is closing in. Today, Monday, July 23, is precisely the day when I figured a lot of investors and big boys would be marching back in for more shares. Crocs has a history of blowing out the numbers, and Q2 is a busy one for the Co.

I still think the stock will be volatile this week, but wind up around $50-53 on the eve of earnings. There are still doubts since key execs like CEO Ron Snyder sold significant shares during the quarter. As a result, short interest is 32% and bears drove the price down from $49 to $44 last week.

I also still believe that Snyder and his BOD are dead set on building a monster as quickly as possible, given the background of some board members who came over from Flextronics. Using an acquisition-crazed approach, FLEX ran from $11 to $40 between 1998 to 2000. The blueprint is in effect with CROX, as well.

Does this mean that year 2 of the blueprint is underway? Perhaps. If that's the case, investors are at least a year away from seeing Crocs at its peak.

Disclaimer: Pupule Paul is slightly long CROX.