G-III Apparel Group (NASDAQ:GIII) Shares Down 4% – Here’s What Happened

Shares of G-III Apparel Group, LTD. (NASDAQ:GIII) were down 4% on Wednesday . The company traded as low as $30.65 and last traded at $30.8860. 137,550 shares were traded during trading, a decline of 73% from the average daily volume of 514,074 shares. The stock had previously closed at $32.17.

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 GAAP diluted EPS of $0.46, up from $0.25 a year earlier and above analysts’ expectations. Gross margin expanded 440 basis points to 45.2%, helped by pricing and a shift toward higher-margin owned brands. G-III second-quarter results and guidance
• Positive Sentiment: The company raised fiscal 2027 GAAP net income guidance to $181 million-$185 million, or $4.10-$4.20 per share, excluding the Marc Jacobs acquisition. Management also said its go-forward brand portfolio grew at a high-single-digit rate. G-III earnings beat and raised EPS outlook
• Positive Sentiment: G-III completed its acquisition of Marc Jacobs alongside WHP Global. The brand is targeted to generate $1 billion in long-term annual revenue, strengthening G-III’s owned-brand portfolio and potential growth profile. Marc Jacobs acquisition completion
• Neutral Sentiment: G-III’s cash balance rose to $529.2 million while inventories fell 13% year over year, indicating improved liquidity and inventory management. The company also repurchased shares and paid dividends during the quarter.
• Negative Sentiment: Second-quarter net sales fell 10% to $554.1 million. Fiscal 2027 sales are expected to be approximately $2.71 billion, down from $2.96 billion, partly reflecting the loss of roughly $460 million in Calvin Klein and Tommy Hilfiger product sales. G-III quarterly earnings report
• Negative Sentiment: Underlying non-GAAP EPS was $0.26, only slightly above $0.25 last year, and full-year non-GAAP EPS guidance of $2.20-$2.30 is below the prior year’s $2.61. Management expects Marc Jacobs to be slightly dilutive in fiscal 2027, while third-quarter sales and earnings are also projected below the prior-year period.

Analysts Set New Price Targets

Several equities analysts have recently weighed in on the stock. KeyCorp reissued an “overweight” rating and issued a $40.00 price objective (up from $35.00) on shares of G-III Apparel Group in a research report on Monday, June 8th. Wall Street Zen cut G-III Apparel Group from a “buy” rating to a “hold” rating in a report on Saturday, August 15th. Weiss Ratings raised G-III Apparel Group from a “hold (c)” rating to a “buy (b-)” rating in a report on Tuesday, June 9th. 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. Finally, Telsey Advisory Group reiterated a “market perform” rating and set a $38.00 price objective (up from $29.00) on shares of G-III Apparel Group in a research report on Monday, June 8th. Three research analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, G-III Apparel Group has an average rating of “Hold” and an average target price of $33.00.

G-III Apparel Group Price Performance

The stock has a market cap of $1.22 billion, a price-to-earnings ratio of 10.36 and a beta of 1.27. The business’s 50-day simple moving average is $34.50 and its two-hundred day simple moving average is $31.89.

G-III Apparel Group (NASDAQ:GIII) last issued its quarterly earnings data on Wednesday, September 2nd. The textile maker reported $0.26 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates 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’s revenue for the quarter was down 9.7% compared to the same quarter last year. During the same period last year, the firm posted $0.25 earnings per share. Equities research analysts forecast that G-III Apparel Group, LTD. will post 2.24 earnings per share for the current year.

G-III Apparel Group Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 29th. Stockholders of record on Tuesday, September 15th will be given a $0.10 dividend. The ex-dividend date 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%.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in GIII. Amundi acquired a new position in shares of G-III Apparel Group during the 2nd quarter valued at $344,000. HighTower Advisors LLC purchased a new stake in shares of G-III Apparel Group during the 2nd quarter valued at $209,000. California State Teachers Retirement System grew its stake in shares of G-III Apparel Group by 3,825.1% during the 2nd quarter. California State Teachers Retirement System now owns 1,408,404 shares of the textile maker’s stock worth $47,477,000 after acquiring an additional 1,372,522 shares during the period. Nykredit A S purchased a new position in G-III Apparel Group in the 2nd quarter valued at approximately $33,000. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its position in shares of G-III Apparel Group by 8.6% during the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 79,560 shares of the textile maker’s stock worth $2,682,000 after acquiring an additional 6,325 shares in the last quarter. 92.13% of the stock is owned by institutional investors and hedge funds.

About G-III Apparel Group

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.