NasdaqGS:GIII

Stock Analysis Report

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Executive Summary

G-III Apparel Group, Ltd. designs, sources, and markets women’s and men’s apparel in the United States and internationally. More Details


Snowflake Analysis

Very undervalued with excellent balance sheet.


Similar Companies

Share Price & News

How has G-III Apparel Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: GIII's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-6.3%

GIII

5.1%

US Luxury

-2.4%

US Market


1 Year Return

-44.5%

GIII

15.2%

US Luxury

12.0%

US Market

Return vs Industry: GIII underperformed the US Luxury industry which returned 15.2% over the past year.

Return vs Market: GIII underperformed the US Market which returned 12% over the past year.


Shareholder returns

GIIIIndustryMarket
7 Day-6.3%5.1%-2.4%
30 Day26.1%5.8%-6.5%
90 Day20.2%25.6%8.4%
1 Year-44.5%-44.5%16.5%15.2%14.5%12.0%
3 Year-51.7%-51.7%77.9%69.7%34.8%25.8%
5 Year-77.6%-77.6%52.2%42.3%82.1%61.6%

Price Volatility Vs. Market

How volatile is G-III Apparel Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is G-III Apparel Group undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: GIII ($14.03) is trading below our estimate of fair value ($161.77)

Significantly Below Fair Value: GIII is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: GIII is good value based on its PE Ratio (10.1x) compared to the US Luxury industry average (33x).

PE vs Market: GIII is good value based on its PE Ratio (10.1x) compared to the US market (17.5x).


Price to Earnings Growth Ratio

PEG Ratio: GIII is good value based on its PEG Ratio (0.3x)


Price to Book Ratio

PB vs Industry: GIII is good value based on its PB Ratio (0.5x) compared to the US Luxury industry average (1.3x).


Next Steps

Future Growth

How is G-III Apparel Group forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

36.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GIII's forecast earnings growth (36.3% per year) is above the savings rate (2.2%).

Earnings vs Market: GIII's earnings (36.3% per year) are forecast to grow faster than the US market (22.9% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: GIII's revenue (7.7% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: GIII's revenue (7.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if GIII's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has G-III Apparel Group performed over the past 5 years?

4.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GIII has a large one-off loss of $39.1M impacting its July 31 2020 financial results.

Growing Profit Margin: GIII's current net profit margins (2.6%) are lower than last year (4.5%).


Past Earnings Growth Analysis

Earnings Trend: GIII's earnings have grown by 4.8% per year over the past 5 years.

Accelerating Growth: GIII's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: GIII had negative earnings growth (-53%) over the past year, making it difficult to compare to the Luxury industry average (-54.2%).


Return on Equity

High ROE: GIII's Return on Equity (5.4%) is considered low.


Next Steps

Financial Health

How is G-III Apparel Group's financial position?


Financial Position Analysis

Short Term Liabilities: GIII's short term assets ($1.2B) exceed its short term liabilities ($472.4M).

Long Term Liabilities: GIII's short term assets ($1.2B) exceed its long term liabilities ($559.6M).


Debt to Equity History and Analysis

Debt Level: GIII's debt to equity ratio (33%) is considered satisfactory.

Reducing Debt: GIII's debt to equity ratio has increased from 1.2% to 33% over the past 5 years.

Debt Coverage: GIII's debt is well covered by operating cash flow (98.3%).

Interest Coverage: GIII's interest payments on its debt are well covered by EBIT (3.7x coverage).


Balance Sheet


Next Steps

Dividend

What is G-III Apparel Group current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate GIII's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate GIII's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if GIII's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if GIII's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of GIII's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

7.0yrs

Average management tenure


CEO

Morris Goldfarb (69 yo)

no data

Tenure

US$16,597,492

Compensation

Mr. Morris Goldfarb serves as the Chairman of the Board and Chief Executive Officer of G-III Apparel Group, Ltd. and served as its President until September 15, 2016. Mr. Goldfarb served as the President a ...


CEO Compensation Analysis

Compensation vs Market: Morris's total compensation ($USD16.60M) is above average for companies of similar size in the US market ($USD3.10M).

Compensation vs Earnings: Morris's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Morris Goldfarb
Chairman & CEOno dataUS$16.60m7.91%
$ 53.7m
Sammy Aaron
Vice Chairman & President15.17yrsUS$10.83m0.52%
$ 3.5m
Neal Nackman
Chief Financial Officer15yrsUS$1.52m0.11%
$ 769.5k
Wayne Miller
COO & Secretary16.75yrsUS$5.63m0.22%
$ 1.5m
Jeffrey Goldfarb
Executive VP11.67yrsUS$2.96m0.76%
$ 5.2m
Priya Trivedi
VP of Investor Relations & Treasurerno datano datano data
Jeanette Nostra-Katz
Senior Advisor & Director7yrsno data0.049%
$ 335.6k
Deborah Gaertner
Group President of G-III Women's Leather Fashions12.5yrsUS$376.26kno data
Barbara Kennedy
President of Wholesale-Design3.67yrsno datano data

7.0yrs

Average Tenure

62yo

Average Age

Experienced Management: GIII's management team is seasoned and experienced (7 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Morris Goldfarb
Chairman & CEOno dataUS$16.60m7.91%
$ 53.7m
Sammy Aaron
Vice Chairman & President15.17yrsUS$10.83m0.52%
$ 3.5m
Jeffrey Goldfarb
Executive VP11.67yrsUS$2.96m0.76%
$ 5.2m
Jeanette Nostra-Katz
Senior Advisor & Director7yrsno data0.049%
$ 335.6k
Alan Feller
Independent Director24.67yrsUS$198.00k0.023%
$ 157.1k
Willem van Bokhorst
Independent Director31.67yrsUS$159.99k0.10%
$ 701.5k
Thomas Brosig
Independent Director28.67yrsUS$178.99k0.038%
$ 260.8k
Richard White
Lead Independent Directorno dataUS$254.98k0.14%
$ 952.8k
Robert Johnson
Independent Directorno datano datano data
Laura Pomerantz
Independent Director15yrsUS$148.99k0.11%
$ 736.3k
Cheryl Vitali
Independent Director9.17yrsUS$138.99k0.051%
$ 347.6k
Victor Herrero
Independent Director1.25yrsUS$137.99kno data

15.0yrs

Average Tenure

68.5yo

Average Age

Experienced Board: GIII's board of directors are seasoned and experienced ( 15 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

G-III Apparel Group, Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: G-III Apparel Group, Ltd.
  • Ticker: GIII
  • Exchange: NasdaqGS
  • Founded: 1956
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: US$678.472m
  • Shares outstanding: 48.36m
  • Website: https://www.giii.com

Number of Employees


Location

  • G-III Apparel Group, Ltd.
  • 512 Seventh Avenue
  • New York
  • New York
  • 10018
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GIIINasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDDec 1989
GI4DB (Deutsche Boerse AG)YesCommon StockDEEURDec 1989

Biography

G-III Apparel Group, Ltd. designs, sources, and markets women’s and men’s apparel in the United States and internationally. The company operates in two segments, Wholesale Operations and Retail Operations. ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/26 06:17
End of Day Share Price2020/09/25 00:00
Earnings2020/07/31
Annual Earnings2020/01/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.