Guess? (GES) AI Stock Analysis

• Market Cap: $889.19M
• Dividend Yield: 6.6%
• Average Volume (3M): 505.80K
• Price to Earnings (P/E): 16.2
• Beta (1Y): 0.93
• Revenue Growth: 6.44%
• EPS Growth: -8.90%
• Country: US
• Employees: 13,000
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Retail
• EPS (TTM): 0.35
• Shares Outstanding: 52,151,733
• 10 Day Avg. Volume: 431,638
• 30 Day Avg. Volume: 505,798
• PEG Ratio: -0.15
• Price to Book (P/B): 1.32
• Price to Sales (P/S): 0.22
• P/FCF Ratio: 18.78
• Enterprise Value/Market Cap: 2.76
• Enterprise Value/Revenue: 0.78
• Enterprise Value/Gross Profit: 1.84
• Enterprise Value/Ebitda: 24.48
• 1Y Price Target: $16.75
• Price Target Upside: -1.00% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 60 Neutral
• Price Target: $18.00 ▲(6.38% Upside)

Guess? shows strong cash flow and revenue growth, particularly in European and Americas wholesale segments, which are positive indicators. However, high P/E ratio suggests overvaluation, and challenges in profitability and operational efficiency persist. Technical indicators show a neutral to slightly bullish trend, but valuation concerns weigh heavily on the overall score.

Positive Factors

Brand Recognition

Strong brand recognition enables Guess? to maintain competitive pricing power and customer loyalty, supporting long-term revenue stability.

Global Presence

A global presence diversifies revenue streams and reduces dependency on any single market, enhancing resilience against regional economic fluctuations.

Gross Profit Margin

A solid gross profit margin indicates effective cost management and pricing strategies, which are crucial for sustaining profitability over time.

Negative Factors

Profitability Challenges

Low net profit margins suggest difficulty in controlling costs or inefficiencies, which could hinder long-term profitability and shareholder value.

Cash Flow Issues

Significant decline in cash flow generation limits the company's ability to invest in growth opportunities and manage debt, impacting financial flexibility.

Leverage Concerns

High leverage can increase financial risk and limit the company's ability to withstand economic downturns, affecting long-term stability.

Guess? Business Overview & Revenue Model

Company Description

Guess?, Inc. is a global lifestyle brand known for its trendy apparel, accessories, and footwear. Founded in 1981, the company operates in the fashion retail sector, offering a wide range of products including denim, casual wear, and formal attire for men, women, and children. With a strong emphasis on innovative designs and branding, Guess? has established a significant presence in various international markets through its retail stores, e-commerce platforms, and wholesale distribution.

How the Company Makes Money

Guess? generates revenue primarily through the sale of its products across multiple channels. Key revenue streams include direct sales from its retail stores and e-commerce websites, as well as wholesale distribution to department stores and specialty retailers. The company also profits from licensing agreements that allow third parties to produce and sell Guess? branded products, expanding its reach without incurring substantial manufacturing costs. Seasonal promotions, collaborations, and a strong brand image further contribute to driving sales and enhancing customer loyalty.

Guess? Financial Statement Overview

Summary

Guess? has shown resilience in revenue growth and cash flow generation, despite facing challenges in profitability and operational efficiency. The balance sheet reflects a healthier debt-to-equity ratio, although profitability metrics like ROE have declined. The company's strong cash flow performance is a positive indicator of its ability to manage liquidity and invest in future growth.

Income Statement

Guess? has shown a modest revenue growth rate of 1.71% in the TTM, with a gross profit margin of 42.43% and a net profit margin of 2.92%. While the company has maintained a stable gross profit margin, the net profit margin has decreased compared to previous years, indicating pressure on profitability. The EBIT and EBITDA margins have also declined, suggesting challenges in operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.92 in the TTM, indicating a better balance between debt and equity financing. However, the return on equity has decreased to 4.14%, reflecting reduced profitability relative to shareholders' equity. The equity ratio stands at 52.13%, showing a solid equity base relative to total assets.

Cash Flow

Guess? has demonstrated significant improvement in free cash flow growth, with a 115.97% increase in the TTM. The operating cash flow to net income ratio is 0.13, and the free cash flow to net income ratio is 0.84, indicating strong cash generation relative to net income. This suggests improved cash flow management and liquidity.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	3.00B	2.78B	2.69B	2.59B	1.88B
Gross Profit	1.30B	1.22B	1.15B	1.17B	697.10M
EBITDA	178.52M	318.65M	316.39M	364.37M	-890.00K
Net Income	60.42M	198.20M	149.61M	171.36M	-80.74M
Balance Sheet
Total Assets	2.77B	2.59B	2.43B	2.56B	2.47B
Cash, Cash Equivalents and Short-Term Investments	187.70M	360.29M	275.76M	415.56M	469.11M
Total Debt	1.42B	1.16B	1.30B	1.35B	1.46B
Total Liabilities	2.22B	1.85B	1.84B	1.89B	1.90B
Stockholders Equity	505.01M	684.94M	534.11M	622.66M	543.66M
Cash Flow
Free Cash Flow	35.59M	256.17M	79.69M	68.12M	190.17M
Operating Cash Flow	121.68M	330.38M	169.19M	131.64M	209.05M
Investing Cash Flow	-113.16M	-75.14M	-89.87M	-62.28M	-22.16M
Financing Cash Flow	-165.50M	-168.84M	-217.19M	-97.04M	-9.91M

Guess? Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 16.92
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GES, the sentiment is Positive. The current price of 16.92 is below the 20-day moving average (MA) of 16.96, above the 50-day MA of 16.89, and above the 200-day MA of 13.30, indicating a bullish trend. The MACD of 0.06 indicates Negative momentum. The RSI at 63.31 is Neutral, neither overbought nor oversold. The STOCH value of 90.81 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GES.

Guess? Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ANF	78 Outperform	$4.71B	9.60	40.72%	―	7.57%	1.75%
URBN	77 Outperform	$7.02B	14.79	19.34%	―	11.09%	51.51%
GAP	76 Outperform	$10.23B	12.32	25.10%	2.66%	0.29%	3.65%
BKE	76 Outperform	$2.88B	13.81	41.26%	6.93%	4.67%	3.46%
AEO	72 Outperform	$3.60B	20.46	12.17%	2.35%	-2.73%	-16.71%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
GES	60 Neutral	$889.19M	16.23	16.63%	6.60%	6.44%	-8.90%

Guess? Corporate Events

Guess?, Inc. Faces Strategic Constraints Amid Merger Agreement with Authentic

The Merger Agreement imposes significant restrictions on Guess?, Inc.’s business activities, requiring them to operate within the ordinary course and seek Authentic’s consent for various strategic actions. These constraints, which include limitations on amending organizational documents, acquiring or disposing of assets, and altering financial practices, may hinder the company’s ability to capitalize on market opportunities and respond to competitive pressures. Such restrictions could negatively impact Guess?, Inc.’s business performance, stock price, and perceived acquisition value, especially if there are delays or complications in completing the Proposed Transaction. The inability to act swiftly in a dynamic market environment poses a substantial risk to the company’s future growth and adaptability.

Guess?, Inc. Reports Revenue Growth Amid Strategic Shift

Guess?, Inc. is a global lifestyle brand known for designing, marketing, and distributing contemporary apparel, denim, and accessories, with a presence in over 100 countries through its retail stores and partners.

Guess? Announces Merger Agreement with Authentic Brands

On August 20, 2025, Guess?, Inc. announced an Agreement and Plan of Merger with Authentic Brands Group LLC to take the company private. Under this agreement, Authentic will acquire 51% of Guess?’s intellectual property, while the Rolling Stockholders, including Maurice Marciano, Paul Marciano, and Carlos Alberini, will own 49%. Guess? shareholders will receive $16.75 per share in cash, representing a 73% premium over the stock’s previous closing price. The transaction values Guess? at approximately $1.4 billion and is expected to close in the fourth quarter of the 2026 fiscal year. Current management will continue to run the business, and the company’s common stock will no longer be publicly listed. This strategic partnership aims to enhance Guess?’s global reach and operational flexibility, leveraging Authentic’s expertise in brand management.

The most recent analyst rating on (GES) stock is a Hold with a $13.00 price target. To see the full list of analyst forecasts on Guess? stock, see the GES Stock Forecast page.