Wedbush Cuts Price Target and Estimates on Guess (GES), Sees Near Term Pressure
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Price: $16.81 --0%
Rating Summary:
4 Buy, 9 Hold, 5 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
Rating Summary:
4 Buy, 9 Hold, 5 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
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Wedbush is reaffirming its Neutral rating on shares of Guess (NYSE: GES) and is cutting its price target from $50 to $37 following its second quarter results.
The company released its second quarter results above expectations, but due to overall macro concerns it lowered its FY11 earnings guidance. As a result the firm cut its Q3 and FY11 EPS estimates from $0.85 and $3.40 to $0.72 and $3.28. Wedbush also lowered its FY12 EPS estimate from $3.90 to $3.70.
The firm is currently forecasting an annual comp of 1.7 percent in 2011 with EBIT of 16.4 percent. Managements full year 2011 guidance calls for EPS of $3.25-3.35 with $2.74-2.78 billion in sales and EBIT margin of 16-16.5 percent.
An analyst at Wedbush comments, "Although we acknowledge the company’s compelling growth profile with a plethora of global expansion opportunities and impressive inventory and expense controls, we await indications of stabilizations in Europe before becoming more constructive with our forecasts and rating."
For more ratings news on Guess click here and for the rating history of Guess click here.
Shares of Guess closed at $33.29 yesterday.
The company released its second quarter results above expectations, but due to overall macro concerns it lowered its FY11 earnings guidance. As a result the firm cut its Q3 and FY11 EPS estimates from $0.85 and $3.40 to $0.72 and $3.28. Wedbush also lowered its FY12 EPS estimate from $3.90 to $3.70.
The firm is currently forecasting an annual comp of 1.7 percent in 2011 with EBIT of 16.4 percent. Managements full year 2011 guidance calls for EPS of $3.25-3.35 with $2.74-2.78 billion in sales and EBIT margin of 16-16.5 percent.
An analyst at Wedbush comments, "Although we acknowledge the company’s compelling growth profile with a plethora of global expansion opportunities and impressive inventory and expense controls, we await indications of stabilizations in Europe before becoming more constructive with our forecasts and rating."
For more ratings news on Guess click here and for the rating history of Guess click here.
Shares of Guess closed at $33.29 yesterday.
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