Guess?, Inc. GES is likely to register a decline in its bottom line when it reports fourth-quarter fiscal 2025 earnings on April 3. The consensus mark for earnings has moved down by 2.7% over the last seven days to $1.41 per share, indicating a decline of 29.9% from the year-ago quarter’s reported figure. The consensus mark for fiscal 2025 earnings is pegged at $1.87 per share, projecting a 40.5% year-over-year decrease. GES has a trailing four-quarter negative earnings surprise of 8.7%, on average.
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Guess?’s top line is likely to increase year over year in the fiscal fourth quarter. The Zacks Consensus Estimate for its quarterly revenues is pegged at $899 million, which indicates 0.9% growth from the year-ago quarter. The consensus mark for the fiscal 2025 top line is pegged at $2.96 billion, indicating a 6.7% year-over-year increase.
Things to Consider About GES’ Upcoming Results
Guess? is navigating a complex consumer landscape, influenced by evolving purchasing behaviors, economic pressures and regional disparities. Macroeconomic factors, such as inflation and economic uncertainty, are prompting consumers to prioritize value-driven purchases. In its last earnings call, the company highlighted that it expects weak consumer sentiment and sluggish customer traffic in North America and Asia, which will continue to affect its business in the fiscal fourth quarter, which includes the crucial holiday season.
In addition, rising freight costs are emerging as a challenge for Guess?, affecting both operational efficiency and profitability. For the fiscal fourth quarter, the company projects an extra $5 million in freight-related expenses, further squeezing margins. These higher costs, including increased ocean shipping charges and air freight usage, are expected to have had a particularly negative impact on its European business, which has been a major revenue contributor.
On an adjusted basis, Guess?’s earnings per share (EPS) is forecasted in the range of $1.37-$1.52 for the fiscal fourth quarter. The adjusted operating margin is expected between 12.2% and 13% in the to-be-reported quarter.
Guess?, Inc. Price and EPS Surprise
Guess?, Inc. Price and EPS Surprise
Guess?, Inc. price-eps-surprise | Guess?, Inc. Quote
With an expanding product portfolio, growing direct-to-consumer channels and effective cost management, Guess? is strategically positioned to navigate challenges. The company continues to see positive results from its wholesale operations, particularly in the European and Americas markets. For the fourth quarter of fiscal 2025, management anticipates revenue growth range of 2.2% to 5.4%.
Earnings Whispers for GES Stock
Our proven model doesn’t conclusively predict an earnings beat for Guess? this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Guess? currently carries a Zacks Rank #4 (Sell) and has an Earnings ESP of 0.00%.
Stocks With the Favorable Combination
Here are some companies worth considering, as our model shows that these have the right combination of elements to beat on earnings this reporting cycle.
RH RH currently has an Earnings ESP of +0.94% and a Zacks Rank of 3. The company is likely to register an increase in the top and bottom lines when it reports fourth-quarter fiscal 2024 numbers. The Zacks Consensus Estimate for RH’s quarterly EPS is pegged at $1.91, up 165.3% from the year-ago period. RH has a trailing four-quarter negative earnings surprise of 113.6%, on average. You can see the complete list of today’s Zacks #1 Rank stocks here.
The consensus estimate for RH’s quarterly revenues is pegged at $827.3 million, which implies an increase of 12.1% from the prior-year quarter.
Monster Beverage MNST currently has an Earnings ESP of +0.37% and a Zacks Rank of 3. The company is expected to register growth in its top and bottom lines when it reports first-quarter 2025 results. The Zacks Consensus Estimate for MNST’s quarterly earnings has been stable in the last 30 days at 46 cents per share, indicating 9.5% growth from the year-ago quarter's number.
The consensus estimate for Monster Beverage’s quarterly revenues is pegged at almost $2 billion, implying a rise of 3.7% from the figure in the prior-year quarter. MNST reported a negative earnings surprise of 5.8%, on average, in the trailing four quarters.
Tyson Foods, Inc. TSN currently has an Earnings ESP of +2.35% and a Zacks Rank of 3. The Zacks Consensus Estimate for second-quarter fiscal 2025 EPS is pegged at 85 cents, which implies a 37.1% increase year over year.
The Zacks Consensus Estimate for Tyson Foods’ quarterly revenues is pegged at $13.1 billion, which indicates growth of 0.2% from the figure reported in the prior-year quarter. TSN reported an earnings surprise of almost 52%, on average, in the trailing four quarters.
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