G-III Apparel Group Ltd. (NASDAQ: GIII) stock fell -3.02% on Tuesday to $15.71 against a previous-day closing price of $16.20. With 0.5 million shares changed hands, the volume of the stock remained lighter than its average volume of 1.21 million shares. During the session, the Apparel Retail company that operates in wider Consumer Cyclical sector, reached to the highest price of $16.11 whereas the lowest price it dropped to was $15.71. The 52-week range on GIII shows that it touched its highest point at $31.70 and its lowest point at $11.60 during that stretch. It currently has a 1-year price target of $15.33. Beta for the stock currently stands at 2.62.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of GIII was up-trending over the past week, with a rise of 1.95%, but this was up by 19.47% over a month. Three-month performance dropped to -9.14% while six-month performance fell -30.46%. The stock lost -37.71% in the past year, while it has gained 14.59% so far this year. A look at the trailing 12-month EPS for GIII yields 3.60 with Next year EPS estimates of 3.16. For the next quarter, that number is 0.45. This implies an EPS growth rate of 739.30% for this year and 8.97% for next year. EPS is expected to decline by -10.70% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 29.90%.
Float and Shares Shorts:
At present, 47.49 million GIII shares are outstanding with a float of 41.26 million shares on hand for trading. On Oct 13, 2022, short shares totaled 3.15 million, which was 6.64% higher than short shares on Sep 14, 2022. In addition to Mr. Morris Goldfarb as the firm’s Chairman & CEO, Mr. Sammy Aaron serves as its Vice Chairman & Pres.
Through their ownership of 94.44% of GIII’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 49.63% of GIII, in contrast to 42.75% held by mutual funds. Shares owned by individuals account for 25.94%. As the largest shareholder in GIII with 14.44% of the stake, BlackRock Fund Advisors holds 6,857,421 shares worth 6,857,421. A second-largest stockholder of GIII, The Vanguard Group, Inc., holds 4,662,772 shares, controlling over 9.82% of the firm’s shares. Dimensional Fund Advisors LP is the third largest shareholder in GIII, holding 3,331,882 shares or 7.02% stake. With a 6.66% stake in GIII, the iShares Core S&P Small Cap ETF is the largest stakeholder. A total of 3,161,638 shares are owned by the mutual fund manager. The Vanguard Total Stock Market Index, which owns about 2.59% of GIII stock, is the second-largest Mutual Fund holder. It holds 1,231,141 shares valued at 16.88 million. Vanguard Small Cap Index Fund holds 2.19% of the stake in GIII, owning 1,040,051 shares worth 14.26 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for GIII since 6 analysts follow the stock currently. There are 1 analysts who recommend BUY ratings, while 0 suggest SELL ratings. Of the remaining analysts, 5 believe that the stock is worth HOLDING, 0 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With GIII analysts setting a high price target of $17.00 and a low target of $13.00, the average target price over the next 12 months is $15.33. Based on these targets, GIII could surge 8.21% to reach the target high and fall by -17.25% to reach the target low. Reaching the average price target will result in a decline of -2.42% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. GIII will report FY 2023 earnings on 03/23/2023. Analysts have provided yearly estimates in a range of $3.65 being high and $2.90 being low. For GIII, this leads to a yearly average estimate of $3.12. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. G-III Apparel Group Ltd. surprised analysts by -$0.58 when it reported $1.26 EPS against a consensus estimate of $1.84. The surprise factor in the prior quarter was $0.29. Based on analyst estimates, the high estimate for the next quarter is $0.46 and the low estimate is $0.34. The average estimate for the next quarter is thus $0.42.
Summary of Insider Activity:
Insiders traded GIII stock several times over the past three months with 3 Buys and 0 Sells. In these transactions, 279,270 shares were bought while 0 shares were sold. The number of buy transactions has increased to 21 while that of sell transactions has risen to 9 over the past year. The total number of shares bought during that period was 986,729 while 458,715 shares were sold.