Barclays Sees Risks From Price Sensitive Consumers For G-III Apparel

Barclays analyst Paul Kearney has reiterated an Equal Weight rating on the shares of G-III Apparel Group Ltd GIII and reduced the price target from $22 to $18.
The company’s second-quarter EPS of $0.39 missed the analyst consensus of $0.47.
The retailer became the sole owner of clothing and accessories brand Karl Langerfeld brand by acquiring the remaining 81% stake for €200 million.
Excluding the addition of Karl Langerfeld brand into 2H results, the analyst sees the potential for organic sales and margin pressure from an increasingly promotional retail environment.
While GIII does not believe it needs to promote in the back half, Kearney sees risks should consumers become increasingly price sensitive.
Price Action: GIII shares are trading higher by 3.61% at $18.65 on the last check Friday.

Momentum31.64

Growth61.55

Quality95.01

Value95.55

Short

Medium

Long

Analyst Calendar