These Analysts Raise Their Forecasts On G-III Apparel After Better-Than-Expected Q3 Earnings

Core Viewpoint - G-III Apparel Group Ltd reported better-than-expected third-quarter adjusted EPS results and raised its FY26 adjusted EPS guidance despite facing challenges in the consumer environment and tariff-related margin pressures [1][2]. Financial Performance - The company reported third-quarter adjusted earnings per share of $1.90, exceeding the analyst consensus estimate of $1.61 [1]. - Quarterly sales amounted to $988.649 million, which is a 9% decrease year over year and fell short of the expected $1.012 billion [1]. Guidance Update - G-III Apparel raised its fiscal 2026 adjusted EPS guidance from a range of $2.55-$2.75 to $2.80-$2.90, compared to the previous estimate of $2.68 [4]. - The company lowered its fiscal 2026 sales guidance from $3.020 billion to $2.980 billion, aligning with the previous estimate of $3.020 billion [4]. Market Reaction - Following the earnings announcement, G-III Apparel shares increased by 1.8%, trading at $31.36 [4]. - Analysts adjusted their price targets for G-III Apparel, with Telsey Advisory Group raising it from $30 to $34, Keybanc from $33 to $35, and UBS from $28 to $32 [5]. Tariff Impact - The company anticipates tariffs to have a gross impact of approximately $135 million, which will be partially offset by supplier support, sourcing changes, and selective price increases, resulting in a net unmitigated impact of about $65 million factored into the guidance [3].