Guess (GES) PT Raised to $16.75 at UBS, Stock Expected to Trade on Take-Private Deal Dynamics

UBS analyst Mauricio Serna raised the price target on Guess (NYSE: GES) to $16.75 (from $13.00) while maintaining a Neutral rating.

The analyst commented, "On August 20th, 2025, GES announced it reached an agreement for a take-private transaction. Under the terms of the deal, current GES' shareholders will receive $16.75/share. The deal price reflected a 25% premium to GES' 15-day VWAP. Post deal, ABG will own 51% of the intellectual property.GES' Rolling Stockholders will own 49% of Guess? intellectual property and 100% of the operating company. This group includes Maurice Marciano, Paul Marciano, Nicolai Marciano, and CEO Carlos Alberini, and certain of their respective trusts. The deal is expected to close in fiscal 4Q26 (4QCY25). Upon completion of the deal, GES will become a privately held company. Accordingly, our base case is the deal closes. We are therefore adjusting our Price Target to $16.75 from $13 to reflect the rest of the deal. Until the transaction closes, we believe GES shares will trade on deal dynamics, rather than fundamentals. Separately, GES reported Q2 earnings. As such, we update our estimates to incorporate the company's latest results."

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