Group 1 - Betterware de Mexico SAPI de C (BWMX) is currently outperforming its Consumer Discretionary peers with a year-to-date return of 19.6% compared to the sector average of 11.6% [4] - The Zacks Consensus Estimate for BWMX's full-year earnings has increased by 21.4% over the past quarter, indicating improved analyst sentiment and a more positive earnings outlook [4] - Betterware de Mexico SAPI de C holds a Zacks Rank of 2 (Buy), suggesting it has characteristics that may lead to outperformance in the market over the next one to three months [3] Group 2 - Betterware de Mexico SAPI de C is part of the Consumer Products - Discretionary industry, which has an average year-to-date loss of 9.3%, highlighting BWMX's superior performance within this group [6] - The Zacks Sector Rank places the Consumer Discretionary group at 9 out of 16, reflecting its relative strength among various sectors [2] - In comparison, Guess (GES), another Consumer Discretionary stock, has also shown strong performance with a year-to-date return of 19.6% and a Zacks Rank of 2 (Buy) [5][7]

Core Viewpoint - Momentum investing focuses on "buying high and selling higher" rather than traditional strategies of "buying low and selling high" [1] Group 1: Momentum Investing Strategy - Momentum investors often face challenges in determining the right entry point, as stocks may lose momentum when their valuations exceed future growth potential [2] - Investing in bargain stocks that exhibit recent price momentum can be a safer strategy, utilizing tools like the Zacks Momentum Style Score to identify potential opportunities [3] Group 2: Case Study - Guess (GES) - Guess (GES) has shown significant price momentum, with a four-week price change of 29.9%, indicating growing investor interest [4] - Over the past 12 weeks, GES stock has gained 53.7%, with a beta of 1.24, suggesting it moves 24% more than the market [5] - GES has a Momentum Score of A, indicating a favorable time to invest based on its momentum characteristics [6] Group 3: Earnings Estimates and Valuation - GES has benefited from upward revisions in earnings estimates, earning a Zacks Rank 2 (Buy), which is associated with strong momentum effects [7] - The stock is currently trading at a Price-to-Sales ratio of 0.28, suggesting it is undervalued, as investors pay only 28 cents for each dollar of sales [7] Group 4: Additional Opportunities - Besides GES, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, presenting further investment opportunities [8] - The Zacks Premium Screens offer over 45 different strategies to help identify potential winning stocks based on various investing styles [9]

Core Insights - Guess?, Inc. reported second-quarter fiscal 2026 results with both net sales and earnings exceeding the Zacks Consensus Estimate, although earnings decreased compared to the previous year [1][3]. Financial Performance - Adjusted earnings were 26 cents per share, surpassing the Zacks Consensus Estimate of 14 cents, but down 38% from 42 cents in the same quarter last year [3][11]. - Net revenues reached $772.9 million, a 6% increase year over year, exceeding the consensus estimate of $757 million. On a constant-currency basis, revenues rose 3% [4][11]. - Adjusted earnings from operations were $28.5 million, down 25% from $37.9 million in the prior year, with an adjusted operating margin of 3.7%, down from 5.2% [5]. Segment Performance - Europe segment revenues increased by 14% on a reported basis and 9% at constant currency, with retail comparable sales rising 11% [6][11]. - Americas Retail segment revenues decreased by 1% in U.S. dollars, with retail comparable sales declining 5% [7]. - Americas Wholesale revenues fell by 11% on a reported basis, but the operating margin improved to 19.6% [8]. - Asia revenues increased by 3% on a reported basis, but retail comparable sales dropped by 2% [9]. Financial Health - The company ended the quarter with cash and cash equivalents of $189.6 million and long-term debt of approximately $258.4 million, with stockholders' equity around $487.6 million [10]. - Net cash provided by operating activities for the six months ended August 2, 2025, was $1.5 million, while free cash flow was negative $44.6 million [12]. Strategic Developments - On August 20, 2025, Guess? announced a strategic partnership with Authentic Brands Group, where Authentic will acquire 51% of the company's intellectual property [2].

Exhibit 99.1 LOS ANGELES, August 27, 2025 - Guess?, Inc. (NYSE: GES) today reported financial results for its second quarter ended August 2, 2025. Carlos Alberini, Chief Executive Officer, commented, "We are pleased with our second quarter performance, as we delivered revenues ahead of our expectations for the period. Our improved revenues were mainly driven by stronger than expected comparable store sales in our European business and in our Americas Retail segment, which showed continued improvement in sam ...

Core Insights - Guess?, Inc. (GES) is expected to report revenue growth of 3.4% year-over-year for Q2 fiscal 2026, with revenues estimated at $757.1 million [1] - However, a decline in bottom-line performance is anticipated, with earnings per share (EPS) projected at 14 cents, down from 42 cents in the prior year [2] Group 1: Revenue Drivers - Strategic acquisitions, strong wholesale momentum in Europe, and investments in digital innovation and loyalty programs are expected to support revenue growth [3] - The company is enhancing its direct-to-consumer channels and optimizing global operations for improved efficiency [3] - Management projected revenue growth of 2.9-4.7% for Q2 fiscal 2026, with currency fluctuations contributing approximately one percentage point to this growth [4] Group 2: Challenges and Costs - The company faces challenges from a complex consumer environment marked by economic pressures and changing purchasing behaviors, leading to a focus on value over premium products [5] - Higher selling, general & administrative (SG&A) expenses due to increased marketing and infrastructure investments are pressuring margins, with adjusted operating margins expected between 2.5% and 3.3% [6] Group 3: Earnings Outlook - The current Earnings ESP for Guess? is 0.00%, indicating uncertainty regarding an earnings beat this quarter [7] - The company’s Zacks Rank is 3, suggesting a hold position, which does not favor an earnings surprise [7]

Group 1 - GUESS has announced a strategic partnership with Authentic Brands Group (ABG) for privatization, with ABG acquiring 51% of GUESS for an estimated total valuation of approximately $1.4 billion, including debt [1] - The deal is expected to be completed in the fourth quarter of this year, allowing GUESS to operate with more flexibility outside the public market [1][3] - ABG is the largest sports and entertainment licensing company globally, having acquired numerous well-known brands since its establishment in 2010 [1] Group 2 - GUESS reported a revenue increase to $2.995 billion for the last fiscal year, up from $2.777 billion the previous year, but net profit significantly decreased to $60.42 million from $198 million [2] - The company faces various risks in fiscal year 2025, including potential impacts from tariffs and trade relations, particularly between the U.S. and China [2] - GUESS is evaluating strategic acquisition and alliance opportunities to mitigate risks associated with its growth plans [2] Group 3 - The privatization of GUESS is viewed as a strategic restructuring rather than a traditional merger, aimed at enhancing brand positioning and supply chain strategies in response to market uncertainties [3] - Similar trends are observed in the industry, with Skechers also announcing plans for privatization amid challenges posed by trade policies [3]

Group 1 - Wall Street analysts expect Guess (GES) to report quarterly earnings of $0.14 per share, reflecting a year-over-year decline of 66.7% [1] - Revenues for the upcoming quarter are projected to be $757.14 million, which represents a 3.4% increase from the same quarter last year [1] - There have been no revisions in the consensus EPS estimate over the last 30 days, indicating stability in analysts' forecasts [1] Group 2 - Analysts project 'Net revenue- Americas Retail' to reach $184.06 million, indicating a year-over-year change of +1.4% [3] - The estimated 'Net revenue- Americas Wholesale' is $89.66 million, suggesting a year-over-year increase of +6.2% [4] - 'Net revenue- Asia' is forecasted to be $52.98 million, reflecting a decline of -2.5% from the previous year [4] - The consensus for 'Net revenue- Europe' is $400.95 million, indicating a year-over-year increase of +4.6% [4] - The average prediction for 'Net revenue- Licensing' stands at $30.49 million, suggesting a year-over-year change of +4.8% [5] Group 3 - Guess shares have increased by +27.3% over the past month, outperforming the Zacks S&P 500 composite, which saw a +1.1% change [5] - The company holds a Zacks Rank 3 (Hold), indicating it is expected to closely follow overall market performance in the near term [5]

Core Insights - Guess is pursuing privatization through a $1.4 billion agreement with co-founders and Authentic Brands, which will acquire 51% of Guess's intellectual property [2] - Shareholders will receive $16.75 per share in cash, representing a 26% premium over the previous closing price, with the transaction expected to complete by Q4 of the fiscal year ending January 2026, pending regulatory approval [2] Financial Profile - Following the announcement, Guess shares increased nearly 26%, indicating strong investor confidence [3] - The company is currently facing $1.6 billion in debt against a market cap of $876 million, which may limit operational flexibility [5] - Revenue growth has been modest, with a three-year average of 4.7%, slightly below the S&P 500's 6.1%, but recent performance shows a 9% increase in revenues over the past twelve months to $3.1 billion, and a 10.6% year-over-year growth in the most recent quarter [5] - Profitability remains weak, with $157 million in operating income (5.1% margin), $71 million in operating cash flow (2.3%), and a net income of $14 million (0.5% margin), all below market averages [5] - Cash reserves are limited to $151 million (5.3% of assets), and the company has a high debt-to-equity ratio of 184.6% [5] Strategic Implications - The privatization initiative is expected to provide Guess with strategic flexibility and the ability to focus on long-term operational and brand initiatives without the pressures of quarterly results [3][6] - Authentic Brands' expertise in licensing and brand management may enhance Guess's global presence [3]

Group 1 - Guess? (GES) shares increased by 26.3% to $16.85, with a significant trading volume, contrasting with a 0.5% loss over the past four weeks [1][2] - The stock's rally is attributed to a $1.4 billion take-private deal with Authentic Brands Group, which will own 51% of Guess?'s intellectual property, while Rolling Stockholders retain 49% and operational control [2] - The upcoming quarterly earnings for Guess? are projected at $0.14 per share, reflecting a year-over-year decline of 66.7%, with revenues expected to reach $757.14 million, a 3.4% increase from the previous year [2] Group 2 - The consensus EPS estimate for Guess? has remained unchanged over the last 30 days, indicating that stock price movements may not sustain without earnings estimate revisions [4] - Guess? holds a Zacks Rank of 3 (Hold), similar to G-III Apparel Group (GIII), which closed at $25.85, down 0.8% in the last trading session [4] - G-III Apparel's consensus EPS estimate is $0.1, representing an 80.8% decline from the previous year, and it also holds a Zacks Rank of 3 (Hold) [5]

Core Viewpoint - Guess?, Inc. is set to go private in a $1.4 billion deal with Authentic Brands Group, resulting in a significant increase in stock price and shareholder value [1][2]. Group 1: Deal Details - The definitive agreement involves co-founders Maurice Marciano, Paul Marciano, and CEO Carlos Alberini, along with Authentic Brands Group, taking Guess? private [2]. - Shareholders will receive $16.75 per share in cash, representing a 73% premium over the closing price on March 14, 2025, prior to the acquisition proposal [2]. - Authentic Brands Group will acquire 51% of Guess?'s intellectual property, while the Marcianos and Alberini will retain 49% [3]. Group 2: Transaction Timeline and Financials - The transaction is expected to close in the fourth quarter of Guess?'s 2026 fiscal year, subject to customary approvals [4]. - Financing will be sourced from rollover equity by the Rolling Stockholders and cash commitments from Authentic Brands [4]. - Guess? plans to continue paying a quarterly dividend of $0.225 per share until the deal closes [4]. Group 3: Market Reaction - Following the announcement, Guess? stock closed up 26.31% at $16.85 [4].