Guess? (GES) Stock Forecast & Price Target

Guess Inc. demonstrated strong financial performance with total sales growing 7.2% year-over-year to $791 million, surpassing consensus expectations. Notably, wholesale revenue in the Americas surged by 26.5% year-over-year, indicating robust demand within this segment. Additionally, sales in Europe increased by 9.7% year-over-year, highlighting the company's ability to maintain momentum across key regions despite currency fluctuations.

Guess Inc experienced a decline in its operating margin, which fell 110 basis points to 4.7%, although this was an improvement compared to market expectations. The company's gross margin also contracted by 110 basis points to 42.5%, underperforming versus the consensus estimate, indicating challenges in maintaining profitability amid rising markdowns. Additionally, retail comparable sales declined by 3% year-over-year, primarily driven by eCommerce performance, suggesting ongoing issues with top-line growth and consumer demand.