G-III Apparel Group (NASDAQ:GIII) Issues FY 2027 Earnings Guidance

Key Points

• G-III issued FY 2027 adjusted EPS guidance of $2.20–$2.30, roughly in line with the $2.23 analyst consensus, while revenue guidance was approximately $2.7 billion. Third-quarter adjusted EPS guidance is $1.35–$1.45.
• The company’s latest quarter exceeded expectations, with adjusted EPS of $0.26 versus the $0.23 consensus and gross margin expanding to 45.2%; however, revenue fell 9.7% year over year to $554.1 million.
• Near-term pressure remains as expiring Calvin Klein and Tommy Hilfiger licenses are expected to reduce sales, while the Marc Jacobs acquisition should be slightly dilutive in FY 2027 before becoming accretive. Shares fell to $28.47, and analysts’ average rating is “Hold” with a $33 price target.

G-III Apparel Group (NASDAQ:GIII - Get Free Report) updated its FY 2027 earnings guidance on Wednesday morning. The company provided earnings per share (EPS) guidance of 2.200-2.300 for the period, compared to the consensus estimate of 2.230. The company issued revenue guidance of $2.7 billion-$2.7 billion, compared to the consensus revenue estimate of $2.7 billion. G-III Apparel Group also updated its Q3 2027 guidance to 1.350-1.450 EPS.

Wall Street Analyst Weigh In

Several research analysts have weighed in on GIII shares. Zacks Research cut shares of G-III Apparel Group from a "strong-buy" rating to a "hold" rating in a report on Tuesday, July 14th. BTIG Research upped their target price on G-III Apparel Group from $34.00 to $40.00 and gave the company a "buy" rating in a research report on Friday, June 5th. Weiss Ratings upgraded G-III Apparel Group from a "hold (c)" rating to a "buy (b-)" rating in a research note on Tuesday, June 9th. Wall Street Zen cut G-III Apparel Group from a "buy" rating to a "hold" rating in a report on Saturday, August 15th. Finally, KeyCorp restated an "overweight" rating and issued a $40.00 price target (up from $35.00) on shares of G-III Apparel Group in a research note on Monday, June 8th. Three research 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, G-III Apparel Group has an average rating of "Hold" and an average price target of $33.00.

G-III Apparel Group Stock Performance

Shares of GIII stock traded down $3.70 during trading on Wednesday, hitting $28.47. The company had a trading volume of 2,090,910 shares, compared to its average volume of 522,801. The firm has a market capitalization of $1.20 billion, a P/E ratio of 10.06 and a beta of 1.27. The stock's 50-day moving average price is $34.50 and its 200 day moving average price is $31.89. G-III Apparel Group has a one year low of $24.61 and a one year high of $37.54.

G-III Apparel Group (NASDAQ:GIII - Get Free Report) last posted its quarterly earnings results on Wednesday, September 2nd. The textile maker reported $0.26 EPS for the quarter, beating analysts' consensus estimates of $0.23 by $0.03. G-III Apparel Group had a return on equity of 5.59% and a net margin of 4.34%.During the same period in the prior year, the firm earned $0.25 earnings per share. The business's revenue was down 9.7% compared to the same quarter last year. 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. On average, research analysts anticipate that G-III Apparel Group will post 2.24 earnings per share for the current fiscal year.

G-III Apparel Group Dividend Announcement

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

G-III Apparel Group News Roundup

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

• Positive Sentiment: G-III reported second-quarter adjusted earnings of $0.26 per diluted share, ahead of consensus estimates, while GAAP earnings rose to $0.46 per share from $0.25 a year earlier. Gross margin expanded 440 basis points to 45.2%, supported by pricing and a shift toward higher-margin owned brands. G-III Q2 Earnings Beat Estimates, Fiscal 2027 EPS View Raised
• Positive Sentiment: Management raised fiscal 2027 GAAP net-income guidance to $181 million-$185 million, or $4.10-$4.20 per share, excluding the Marc Jacobs acquisition. Cash increased to $529.2 million and inventories fell 13%, indicating improved liquidity and inventory management. G-III Apparel Reports Second Quarter Results and Raises Earnings Guidance
• Positive Sentiment: G-III completed its acquisition of Marc Jacobs and targets approximately $1 billion in long-term annual revenue from the brand. The company also said sales from its go-forward portfolio grew at a high-single-digit rate, supporting its strategy to reduce reliance on expiring licenses. WHP Global and G-III Apparel Complete Marc Jacobs Acquisition
• Neutral Sentiment: The acquisition is strategically attractive but is expected to be slightly dilutive in fiscal 2027, with accretion anticipated after the first 12 months. Investors will likely seek more detailed financial targets when G-III reports third-quarter results.
• Negative Sentiment: Second-quarter sales declined 10% year over year to $554.1 million. Fiscal 2027 sales are projected at approximately $2.71 billion, incorporating an estimated $460 million loss from Calvin Klein and Tommy Hilfiger products as key licenses expire. G-III Apparel Sets Downbeat Outlook on Key License Expirations
• Negative Sentiment: Third-quarter sales are expected to fall to about $870 million from $988.6 million a year earlier, while GAAP earnings are forecast at $1.35-$1.45 per share versus $1.84 previously. Additionally, adjusted fiscal 2027 EPS guidance of $2.20-$2.30 is below the prior year's $2.61, highlighting near-term pressure beneath the improved GAAP outlook.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of GIII. Raymond James Financial Inc. bought a new position in shares of G-III Apparel Group during the second quarter valued at $41,000. Parallel Advisors LLC boosted its position in G-III Apparel Group by 231.9% during the fourth quarter. Parallel Advisors LLC now owns 1,779 shares of the textile maker's stock valued at $52,000 after acquiring an additional 1,243 shares during the last quarter. Strs Ohio acquired a new position in shares of G-III Apparel Group in the 1st quarter valued at about $77,000. Headlands Technologies LLC acquired a new position in shares of G-III Apparel Group in the 2nd quarter valued at about $109,000. Finally, State of Wyoming boosted its position in shares of G-III Apparel Group by 102.6% during the 4th quarter. State of Wyoming now owns 4,817 shares of the textile maker's stock valued at $140,000 after purchasing an additional 2,439 shares in the last quarter. Institutional investors own 92.13% of the company's stock.

G-III Apparel Group Company 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.

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.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source