Bank of New York Mellon Corp Purchases New Stake in G-III Apparel Group, LTD. $GIII

Key Points

• Bank of New York Mellon purchased 270,343 G-III shares worth approximately $9.1 million, giving it a 0.64% stake. Institutional investors collectively own 92.13% of the company.
• G-III’s second-quarter earnings exceeded expectations, with EPS of $0.26 and gross-margin expansion, while the company raised full-year fiscal 2027 adjusted EPS guidance to $2.20–$2.30.
• Despite improved profitability, sales fell nearly 10% year over year and third-quarter guidance came in below analyst estimates. Shares opened at $28.47, down 11.5%, while analysts’ consensus rating remained Hold with a $33 target price.

Bank of New York Mellon Corp purchased a new stake in shares of G-III Apparel Group, LTD. (NASDAQ:GIII - Free Report) in the 2nd quarter, according to the company in its most recent disclosure with the SEC. The firm purchased 270,343 shares of the textile maker's stock, valued at approximately $9,113,000. Bank of New York Mellon Corp owned about 0.64% of G-III Apparel Group at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also recently added to or reduced their stakes in the company. Norges Bank bought a new position in shares of G-III Apparel Group in the fourth quarter valued at about $36,200,000. Balyasny Asset Management L.P. bought a new position in G-III Apparel Group in the 2nd quarter valued at about $7,546,000. Barclays PLC lifted its position in G-III Apparel Group by 54.0% during the fourth quarter. Barclays PLC now owns 717,607 shares of the textile maker's stock worth $20,782,000 after acquiring an additional 251,502 shares during the last quarter. Arrowstreet Capital Limited Partnership lifted its position in G-III Apparel Group by 30.6% during the third quarter. Arrowstreet Capital Limited Partnership now owns 1,054,266 shares of the textile maker's stock worth $28,054,000 after acquiring an additional 247,245 shares during the last quarter. Finally, Edgestream Partners L.P. bought a new stake in shares of G-III Apparel Group during the first quarter worth approximately $5,756,000. 92.13% of the stock is owned by institutional investors.

Key Headlines Impacting G-III Apparel Group

Here are the key news stories impacting G-III Apparel Group this week:

• Positive Sentiment: G-III reported second-quarter fiscal 2027 diluted EPS of $0.46, up from $0.25 a year earlier and above analyst expectations. Gross margin expanded 440 basis points to 45.2%, supported by pricing and a greater mix of higher-margin owned brands. G-III Apparel Group Reports Second Quarter Fiscal 2027 Results and Raises Earnings Guidance
• Positive Sentiment: The company raised fiscal 2027 non-GAAP EPS guidance to $2.20-$2.30, broadly in line with the $2.23 consensus, while GAAP EPS is expected at $4.10-$4.20. Cash increased to $529.2 million, inventories fell 13%, and debt declined year over year. G-III Q2 Earnings Beat Estimates, Fiscal 2027 EPS View Raised
• Positive Sentiment: G-III and WHP Global completed the acquisition of Marc Jacobs from LVMH. Management views the brand as a major long-term growth opportunity, targeting approximately $1 billion in annual revenue as the portfolio transformation progresses. WHP Global and G-III Apparel Group Complete Acquisition of Marc Jacobs
• Neutral Sentiment: Owned and “go-forward” brands grew at a high-single-digit rate, suggesting the business is gaining quality and profitability as G-III shifts away from lower-margin licensed products.
• Negative Sentiment: Second-quarter net sales declined 10% year over year to $554.1 million. Fiscal 2027 sales are expected to be approximately $2.71 billion, incorporating the loss of roughly $460 million in Calvin Klein and Tommy Hilfiger product revenue as those licenses expire.
• Negative Sentiment: Third-quarter guidance was the key disappointment: EPS of $1.35-$1.45 and revenue of about $870 million compare with consensus estimates of $1.73 and $897.8 million, respectively. The Marc Jacobs acquisition is also expected to be slightly dilutive in fiscal 2027, adding near-term execution risk. G-III Apparel Sets Downbeat Outlook on Key License Expirations

Analyst Upgrades and Downgrades

GIII has been the topic of several research reports. Telsey Advisory Group reaffirmed a "market perform" rating and issued a $38.00 target price (up from $29.00) on shares of G-III Apparel Group in a research report on Monday, June 8th. Zacks Research cut G-III Apparel Group from a "strong-buy" rating to a "hold" rating in a report on Tuesday, July 14th. BTIG Research boosted their price target on G-III Apparel Group from $34.00 to $40.00 and gave the company a "buy" rating in a research note on Friday, June 5th. KeyCorp reaffirmed an "overweight" rating and issued a $40.00 price objective (up from $35.00) on shares of G-III Apparel Group in a report on Monday, June 8th. Finally, Weiss Ratings upgraded G-III Apparel Group from a "hold (c)" rating to a "buy (b-)" rating in a research report on Tuesday, June 9th. Three analysts have rated the stock with a Buy rating, three have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock presently has an average rating of "Hold" and a consensus target price of $33.00.

G-III Apparel Group Stock Down 11.5%

NASDAQ GIII opened at $28.47 on Thursday. The firm has a 50-day moving average price of $34.38 and a two-hundred day moving average price of $31.88. G-III Apparel Group, LTD. has a 12-month low of $24.61 and a 12-month high of $37.54. The company has a market capitalization of $1.20 billion, a P/E ratio of 10.06 and a beta of 1.27.

G-III Apparel Group (NASDAQ:GIII - Get Free Report) last announced its earnings results on Wednesday, September 2nd. The textile maker reported $0.26 EPS for the quarter, topping the consensus estimate of $0.23 by $0.03. G-III Apparel Group had a net margin of 4.34% and a return on equity of 5.59%. The company had revenue of $554.09 million for the quarter, compared to analysts' expectations of $570.37 million. During the same period last year, the firm earned $0.25 earnings per share. The business's revenue for the quarter was down 9.7% on a year-over-year basis. G-III Apparel Group has set its Q3 2027 guidance at 1.350-1.450 EPS and its FY 2027 guidance at 2.200-2.300 EPS. Equities analysts expect that G-III Apparel Group, LTD. will post 2.24 EPS for the current year.

G-III Apparel Group Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 29th. Shareholders of record on Tuesday, September 15th will be paid a dividend of $0.10 per share. This represents a $0.40 dividend on an annualized basis and a yield of 1.4%. The ex-dividend date is Tuesday, September 15th. G-III Apparel Group's dividend payout ratio (DPR) is 14.13%.

G-III Apparel Group Profile

G-III Apparel Group, Ltd. is a global fashion company engaged in the design, sourcing, marketing and distribution of women's and men's apparel, outerwear, footwear, handbags and fashion accessories. Founded in 1956 and headquartered in New York City, the company has grown from an importer of ladies' apparel into a diversified apparel business with a portfolio of owned and licensed brands.

The company's product offerings span a broad spectrum of price points and styles, including formal and casual outerwear, sportswear, performance wear and contemporary fashion.

Want to see what other hedge funds are holding GIII? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for G-III Apparel Group, LTD. (NASDAQ:GIII - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.