Guess? (GES) AI Stock Analysis

• Market Cap: $875.10M
• Dividend Yield: 6.28%
• Average Volume (3M): 419.40K
• Price to Earnings (P/E): 16.0
• Beta (1Y): 0.90
• Revenue Growth: 6.44%
• EPS Growth: -9.23%
• Country: US
• Employees: 13,000
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Retail
• EPS (TTM): 0.35
• Shares Outstanding: 52,151,600
• 10 Day Avg. Volume: 401,386
• 30 Day Avg. Volume: 419,399
• 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: 2.47
• Enterprise Value/Revenue: 0.69
• Enterprise Value/Gross Profit: 1.62
• Enterprise Value/Ebitda: 16.07
• 1Y Price Target: $16.75
• Price Target Upside: -0.24% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: $19.00 ▲(13.16% Upside)

Guess? demonstrates strong financial performance with robust cash flow and a healthy balance sheet, although profitability remains a challenge. The stock's valuation is attractive, offering a high dividend yield. The recent merger approval with Authentic Brands Group is a significant positive event, enhancing future growth prospects. Technical indicators suggest a neutral outlook, with no strong momentum in either direction.

Positive Factors

Revenue Growth

The 7% revenue growth in Q3 demonstrates strong market demand and effective business strategies, enhancing long-term financial stability.

Strategic Partnership

The merger with Authentic Brands Group positions Guess? for enhanced strategic growth, leveraging shared resources and expanding market reach.

Cash Flow Management

Significant improvement in free cash flow indicates robust cash management, supporting future investments and operational flexibility.

Negative Factors

Profitability Challenges

Declining net profit margin suggests ongoing pressure on profitability, which could hinder reinvestment and growth opportunities.

Operational Efficiency

Decreased EBIT and EBITDA margins indicate challenges in maintaining operational efficiency, potentially affecting long-term competitiveness.

Public Market Exit

Exiting public markets may limit transparency and investor engagement, impacting the company's ability to raise capital through equity markets.

Guess? Business Overview & Revenue Model

Company Description

Guess?, Inc. designs, markets, distributes, and licenses lifestyle collections of apparel and accessories for men, women, and children. It operates through five segments: Americas Retail, Americas Wholesale, Europe, Asia, and Licensing. The company's clothing collection includes jeans, pants, skirts, dresses, shorts, blouses, shirts, jackets, activewear, knitwear, and intimate apparel. It also grants licenses to design, manufacture, and distribute various products that complement its apparel lines, such as eyewear, watches, handbags, footwear, kids' and infants' apparel, outerwear, fragrance, jewelry, and other fashion accessories, as well as to wholesale partners to operate and sell products through licensed retail stores. The company markets its products under the GUESS, GUESS?, GUESS U.S.A., GUESS Jeans, GUESS? and Triangle Design, MARCIANO, Question Mark and Triangle Design, a stylized G and a stylized M, GUESS Kids, Baby GUESS, YES, G by GUESS, GUESS by MARCIANO, and Gc brand names. It sells its products through direct-to-consumer, wholesale, and licensing distribution channels. As of January 29, 2022, the company directly operated 1,068 retail stores in the Americas, Europe, and Asia. Its partner's distributors operated an additional 563 retail stores worldwide. The company also offers its products through its retail websites. Guess?, Inc. was founded in 1981 and is headquartered in Los Angeles, California.

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 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: 16.79
• 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 16.79 is above the 20-day moving average (MA) of 16.77, above the 50-day MA of 16.76, and above the 200-day MA of 14.01, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 53.96 is Neutral, neither overbought nor oversold. The STOCH value of 83.33 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
URBN	82 Outperform	$7.31B	13.52	19.34%	―	11.09%	51.51%
GAP	76 Outperform	$10.53B	12.68	25.10%	2.45%	0.29%	3.65%
ANF	74 Outperform	$5.73B	9.86	40.72%	―	7.57%	1.75%
AEO	74 Outperform	$4.55B	23.15	12.36%	2.09%	-1.15%	-0.98%
GES	72 Outperform	$875.10M	16.02	16.57%	6.28%	6.44%	-9.23%
BKE	72 Outperform	$2.84B	13.64	41.26%	6.82%	4.67%	3.46%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

Guess? Corporate Events

Guess? Stockholders Approve Merger with Authentic Brands

On November 21, 2025, Guess?, Inc. held a special meeting where stockholders approved a merger agreement with Authentic Brands Group LLC, leading to the company becoming a wholly-owned subsidiary and ceasing to be publicly traded. The third quarter of fiscal 2026 saw Guess? report a 7% increase in revenue to $791 million, with notable growth in the Americas Wholesale and Europe segments, despite challenges in the Americas Retail and Asia segments. The company also announced a strategic partnership with Authentic Brands Group, resulting in a take-private transaction expected to close in the fourth quarter of fiscal 2026.

The most recent analyst rating on (GES) stock is a Hold with a $16.75 price target. To see the full list of analyst forecasts on Guess? stock, see the GES Stock Forecast page.

Guess? Merger with Authentic Brands Gets Antitrust Clearance

On August 20, 2025, Guess?, Inc. announced a merger agreement with Authentic Brands Group LLC, which will result in Guess becoming a privately held company. The merger has faced legal challenges, including complaints from shareholders alleging insufficient disclosure of financial information. Despite these challenges, the merger received antitrust clearance from the Republic of Cyprus on November 11, 2025.

The most recent analyst rating on (GES) stock is a Hold with a $17.50 price target. To see the full list of analyst forecasts on Guess? stock, see the GES Stock Forecast page.

Guess? Awaits Final Approvals for Merger

On August 20, 2025, Guess?, Inc. entered into a Merger Agreement with Authentic Brands Group LLC and other entities, planning to transition into a privately held company. As of October 27, 2025, the Hart-Scott-Rodino Antitrust waiting period expired, but the merger’s completion is still pending regulatory approvals, stockholder approval, and other customary conditions.

The most recent analyst rating on (GES) stock is a Hold with a $17.50 price target. To see the full list of analyst forecasts on Guess? stock, see the GES Stock Forecast page.