Piper Jaffray Reiterates Overweight Rating On Guess?

According to Piper Jaffray, Guess? GES Overweight rating is reiterated. Piper Jaffray reported that it is reiterating its Overweight rating and $48 price target following meetings and store visits in China and South Korea with members of Guess' mgmt team. “We expect FY12 to be a year of controlled growth in Asia as mgmt focuses on making long-term investments in the region and building partnerships with franchisees. We expect sales growth to accelerate and product margins to expand in 2H FY12 and FY13 as new stores open and the company cycles transitioning to a less promotional cadence in China. Over the next several years we believe Asia will become a key driver of earnings for GES through scale leverage and category expansion.” Guess? closed yesterday at $38.18.