Guess’ (NYSE:GES) Shares Gap Up Following Strong Earnings

Shares of Guess’, Inc. (NYSE:GES – Get Rating) gapped up prior to trading on Wednesday following a stronger than expected earnings report. The stock had previously closed at $17.51, but opened at $18.23. Guess’ shares last traded at $17.40, with a volume of 146,347 shares changing hands.

The company reported ($0.07) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.28) by $0.21. Guess’ had a net margin of 4.87% and a return on equity of 29.09%. The business had revenue of $569.80 million during the quarter, compared to analysts’ expectations of $555.63 million. During the same period last year, the company posted $0.24 EPS. The company’s revenue was down 4.0% on a year-over-year basis.

Guess’ Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, June 23rd. Stockholders of record on Wednesday, June 7th will be paid a dividend of $0.30 per share. This represents a $1.20 dividend on an annualized basis and a dividend yield of 6.38%. This is a boost from Guess”s previous quarterly dividend of $0.23. Guess”s dividend payout ratio (DPR) is 47.62%.

Analyst Ratings Changes

Several research firms have commented on GES. TheStreet cut shares of Guess’ from a “b” rating to a “c+” rating in a research note on Wednesday. Telsey Advisory Group reaffirmed a “market perform” rating and issued a $23.00 target price on shares of Guess’ in a research note on Wednesday, March 15th. Small Cap Consu reaffirmed a “buy” rating on shares of Guess’ in a research note on Tuesday, March 28th. Finally, StockNews.com raised shares of Guess’ from a “hold” rating to a “buy” rating in a research note on Friday. One equities research analyst has rated the stock with a hold rating and three have issued a buy rating to the stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $26.00.

Hedge Funds Weigh In On Guess’

A number of hedge funds have recently made changes to their positions in GES. Coppell Advisory Solutions Corp. acquired a new position in shares of Guess’ in the 4th quarter valued at $40,000. Quarry LP acquired a new position in shares of Guess’ in the 1st quarter valued at $45,000. Tower Research Capital LLC TRC boosted its holdings in shares of Guess’ by 732.9% in the 1st quarter. Tower Research Capital LLC TRC now owns 2,807 shares of the company’s stock valued at $55,000 after purchasing an additional 2,470 shares during the last quarter. PNC Financial Services Group Inc. boosted its holdings in shares of Guess’ by 27.5% in the 1st quarter. PNC Financial Services Group Inc. now owns 2,692 shares of the company’s stock valued at $59,000 after purchasing an additional 581 shares during the last quarter. Finally, Nisa Investment Advisors LLC lifted its holdings in shares of Guess’ by 244.9% during the 3rd quarter. Nisa Investment Advisors LLC now owns 4,267 shares of the company’s stock valued at $65,000 after acquiring an additional 3,030 shares in the last quarter. Institutional investors and hedge funds own 58.81% of the company’s stock.

Guess’ Price Performance

The company has a debt-to-equity ratio of 0.52, a quick ratio of 0.92 and a current ratio of 1.59. The firm has a market cap of $1.05 billion, a price-to-earnings ratio of 9.95 and a beta of 1.93. The company’s fifty day moving average is $18.72 and its two-hundred day moving average is $20.29.

About Guess’

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Guess?, Inc engages in designing, marketing, distributing and licensing contemporary apparel and accessories for men, women and children that reflect the American lifestyle and European fashion sensibilities. It operates through the following segments: Americas Retail, Americas Wholesale, Europe, Asia, and Licensing.