No Guessing Here. Retailer Being Hit Hard After Disappointing Outlook (GES)

There's no guessing what's going on with Guess GES today. Shares of the retailer are being hit hard this morning, down nearly 12% after the company reported earnings yesterday after the bell. Yesterday Guess reported earnings of 72 cents per share on revenues of $577.1 million, both of which beat analysts expectations. Guess' outlook however, was worse than anticipated. The company issued full year guidance at $2.80 to $2.85 per share, and Wall Street was expecting to hear earnings of $2.92 per share. Also of note in the earnings release was the end of "denim dominance." "We are basically at the end of the denim dominance," said Chairman and co-Founder Maurice Marciano. "Now, we have non-denim fabrics coming up and I look at that as a tremendous opportunity." Right now, denim makes up 30% of Guess's revenues. Marciano went on to say that he expects consumers to supplement their wardrobes with corduroy or twill pants, in addition to the jeans they are used to buying. "It's my strong sense, we'll end up selling more bottoms," Marciano said. Shares of Guess are falling heavily today on strong volume. Nearly 6 million shares have exchanged hands today, and the average volume is just over 1.8 million shares. Shares are currently trading at $33.84, down $4.37 in mid Thursday trading.