GES - Guess? Inc - increased its quarterly cash dividend by 33.3%

Guess? Inc. (GES) posted record results for the second quarter in early September. The quarterly report included an increased annual earnings guidance that ranges between $1.75 and $1.80 per share. Analysts are currently forecasting full-year earnings of $1.89, which is seven cents above the estimates of two months ago. GES is expected to grow by 24% over the next three to five years. The apparel company also increased its quarterly cash dividend by 33.3% to eight cents per share. Guess is yielding 0.6% right now. Full Analysis Guess? Inc. designs, markets, distributes and licenses one of the world's leading lifestyle collections of casual apparel, accessories and related consumer products. The lines include full collections of denim and cotton clothing, including jeans, pants, overalls, skirts, dresses, shorts, blouses, shirts, jackets and knitwear. In addition, it has granted licenses to manufacture and distribute a broad range of products that complement its apparel lines, including clothing for infants and children, activewear, footwear, eyewear, watches, and home products. As of year-end 2006, the company operated approximately 336 stores, including 192 full-price retail stores, 103 factory outlet stores, 25 Marciano stores and 16 Guess Accessories stores in the U.S. and Canada. It also operated 24 stores in Europe and three stores in Mexico through a joint venture. In early September, the company announced record second-quarter earnings per share of 40 cents, exceeding the consensus estimate by 21%. Revenues reached a record $388.3 million, a 48% year-over-year increase. Guess also upped its full-year earnings outlook to a range of $1.79 to $1.84 from a previous range of $1.75 to $1.80. Analysts are currently forecasting full-year earnings of $1.89 per share, which is seven cents above the estimates of two months ago. GES is expected to grow by 24% over the next three to five years. That figure compares favorably to the industry�s growth expectation of 17% over the next three to five years. The apparel company also increased its quarterly cash dividend by 33.3% to eight cents per share. The dividend was paid on October 5, 2007. Guess is yielding 0.6% right now. Paul Marciano, Chief Executive Officer, stated "Strong performance across all of our product lines in our retail business in North America led to a 16.2% same store sales increase for the quarter. This was our 18th consecutive quarter of same store sales growth. Our European segment was especially strong, and contributed nearly half of the Company's revenue growth with a 121% increase in revenues. Strength in our Asian business, driven mainly by our South Korean operation, contributed to a 75% revenue increase in the wholesale segment. Our licensing business also continued to perform well above our expectations - posting revenue growth of 51% in the quarter." The return on equity (ROE) for GES currently resides at 37%, more than tripling the industry�s average of 12%. Guess is a Zacks #2 Rank (Buy) stock. Zacks #2 Rank stocks have generated an average annual return of 21.7% since 1988. Because the Zacks Rank has a market cap bias, Growth & Income investors may find a greater number of large-cap stocks by considering both Zacks #1 Rank (Strong Buy) and Zacks #2 Rank (Buy) stocks in their selection criteria. Content Courtesy: Zacks Investment Research #1 Ranked Stocks Highlight Archive To truly take advantage of the Zacks Rank, you need to first understand how it works. That is why we created the free special report: Zacks Rank Guide: Harnessing the Power of Earnings Estimate Revisions. | Blog Home| VitalStocks Home