Guess? (NYSE:GES) was downgraded by analysts at Piper Jaffray Cos. from an “overweight” rating to a “neutral” rating in a research report issued to clients and investors on Friday, TheFlyOnTheWall.com reports. They currently have a $31.00 price objective on the stock, down from their previous price objective of $35.00. Piper Jaffray Cos.’s target price suggests a potential upside of 7.71% from the stock’s previous close.
The analysts wrote, “While we flagged near-term concern in early August by lowering our 2H estimates for GES on increasing concerns about U.S. traffic trends, the recent barrage of lackluster specialty retail reporters has caused us to rethink our fundamental rating behind GES shares and lower our rating to Neutral. Our long-term view remains unchanged: GES is a turnaround candidate and margins should recover from the 8%-range to mid-teens over time, with improved product and execution, stability in Europe and growth in emerging markets. That said, given the significant volatility in the US retail environment (42% of sales), we believe the turnaround timeline is extended. We are trimming our EPS for Q2 to $0.34, lowering our FY14 EPS from $1.76 to $1.70 and our FY15 EPS from $2.32 to $2.10, and adjusting our PT from $35 to $31.”
Shares of Guess? (NYSE:GES) traded down 2.05% on Friday, hitting $28.19. 789,961 shares of the company’s stock traded hands. Guess? has a one year low of $22.48 and a one year high of $34.36. The stock’s 50-day moving average is $32.24 and its 200-day moving average is $29.23. The company has a market cap of $2.392 billion and a P/E ratio of 15.28. Guess? also saw some unusual options trading activity on Thursday. Traders bought 5,103 put options on the company. This is an increase of 491% compared to the typical daily volume of 863 put options.
Guess? (NYSE:GES) last posted its quarterly earnings results on Thursday, May 30th. The company reported $0.14 earnings per share for the quarter, beating the analysts’ consensus estimate of $0.08 by $0.06. The company had revenue of $548.90 million for the quarter, compared to the consensus estimate of $550.06 million. During the same quarter in the previous year, the company posted $0.30 earnings per share. The company’s revenue for the quarter was down 5.2% on a year-over-year basis. On average, analysts predict that Guess? will post $1.80 earnings per share for the current fiscal year.
A number of other analysts have also recently weighed in on GES. Analysts at Zacks reiterated a “hold” rating on shares of Guess? in a research note to investors on Wednesday. They now have a $34.00 price target on the stock. Separately, analysts at Cowen and Company cut their price target on shares of Guess? from $33.00 to $31.00 in a research note to investors on Wednesday. They now have a “market perform” rating on the stock. Finally, analysts at Susquehanna initiated coverage on shares of Guess? in a research note to investors on Thursday, August 1st. They set a “neutral” rating and a GBX 38 ($0.59) price target on the stock.
Two investment analysts have rated the stock with a sell rating, twelve have issued a hold rating and three have issued a buy rating to the stock. The stock currently has a consensus rating of “Hold” and an average target price of $31.79.
Guess?, Inc (NYSE:GES) designs, markets, distributes and licenses apparel and accessories for men, women and children.
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