Guess shares jumped during after-hours Wednesday, after its fiscal second quarter results came in stronger than expected while the company boosted its full-year outlook.
For the three months ending Aug.3, the retailer of clothing and accessories reported adjusted earnings of 38 cents per share, which beat analysts’ estimates of 29 cents. The adjusted EPS figure was also higher than the prior year quarter’s 36 cents.
Revenue increased +5.8% year-over-year to reach $683.2 million in the quarter, surpassing the Street expectations of $671.4 million.
Looking ahead, Guess expects its fiscal full-year 2020 GAAP earnings to sit between $1.18 to $1.26 a share, or an adjusted $1.28 to $1.36. Analysts surveyed by FactSet have forecasted GAAP earnings of $1.25 a share, or an adjusted $1.32.
Guess projects the full-year revenue to increase 3% to 3.5% in U.S. dollars and 6% to 6.5% in constant currencies.
Chief Executive Carlos Alberini indicated that strong second-quarter results, a favorable inventory position, and expectations for the fall and holiday seasons propelled Guess to raise its guidance.
GES moved above its 50-day moving average on April 16, 2024 date and that indicates a change from a downward trend to an upward trend. In of 48 similar past instances, the stock price increased further within the following month. The odds of a continued upward trend are .
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 58 cases where GES's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The 10-day moving average for GES crossed bullishly above the 50-day moving average on March 22, 2024. This indicates that the trend has shifted higher and could be considered a buy signal. In of 19 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where GES advanced for three days, in of 289 cases, the price rose further within the following month. The odds of a continued upward trend are .
GES may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The 10-day RSI Indicator for GES moved out of overbought territory on April 02, 2024. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 37 similar instances where the indicator moved out of overbought territory. In of the 37 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Momentum Indicator moved below the 0 level on April 10, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on GES as a result. In of 91 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for GES turned negative on April 09, 2024. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 46 similar instances when the indicator turned negative. In of the 46 cases the stock turned lower in the days that followed. This puts the odds of success at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where GES declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (2.593) is normal, around the industry mean (3.862). P/E Ratio (10.809) is within average values for comparable stocks, (100.955). GES's Projected Growth (PEG Ratio) (0.000) is very low in comparison to the industry average of (1.444). Dividend Yield (0.034) settles around the average of (0.027) among similar stocks. P/S Ratio (0.839) is also within normal values, averaging (2.003).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. GES’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 77, placing this stock slightly better than average.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a producer and a distributor of designer jeans and apparel
Industry ApparelFootwearRetail