NYSE:GES: good value for what you're paying.

Last update: Jan 1, 2024

Our stock screening tool has pinpointed GUESS? INC (NYSE:GES) as an undervalued stock. NYSE:GES maintains a solid financial footing. Furthermore, it remains attractively priced. Let's delve into the specifics below.

Valuation Examination for NYSE:GES

ChartMill employs its own Valuation Rating system for all stocks. This score, ranging from 0 to 10, is determined by evaluating different valuation factors, including price to earnings and free cash flow, both in absolute terms and relative to the market and industry. NYSE:GES has earned a 8 for valuation:

GES is valuated reasonably with a Price/Earnings ratio of 8.01.
Based on the Price/Earnings ratio, GES is valued cheaper than 92.25% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.08. GES is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 7.71, the valuation of GES can be described as very cheap.
Based on the Price/Forward Earnings ratio, GES is valued cheaper than 92.25% of the companies in the same industry.
GES's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 20.99.
84.50% of the companies in the same industry are more expensive than GES, based on the Enterprise Value to EBITDA ratio.
GES's Price/Free Cash Flow ratio is rather cheap when compared to the industry. GES is cheaper than 87.60% of the companies in the same industry.
The excellent profitability rating of GES may justify a higher PE ratio.

Profitability Examination for NYSE:GES

ChartMill utilizes a Profitability Rating to assess stocks, scoring them on a scale of 0 to 10. This rating takes into account a variety of profitability ratios and margins, both in absolute terms and in comparison to industry peers. NYSE:GES has earned a 8 out of 10:

With a decent Return On Assets value of 7.49%, GES is doing good in the industry, outperforming 75.19% of the companies in the same industry.
With an excellent Return On Equity value of 36.10%, GES belongs to the best of the industry, outperforming 86.05% of the companies in the same industry.
GES has a Return On Invested Capital of 10.69%. This is in the better half of the industry: GES outperforms 72.87% of its industry peers.
The last Return On Invested Capital (10.69%) for GES is above the 3 year average (8.67%), which is a sign of increasing profitability.
GES's Profit Margin of 6.87% is amongst the best of the industry. GES outperforms 82.95% of its industry peers.
GES's Profit Margin has improved in the last couple of years.
The Operating Margin of GES (8.52%) is better than 76.74% of its industry peers.
GES's Operating Margin has improved in the last couple of years.
GES has a Gross Margin of 43.62%. This is in the better half of the industry: GES outperforms 72.09% of its industry peers.
In the last couple of years the Gross Margin of GES has grown nicely.

Health Insights: NYSE:GES

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. NYSE:GES has earned a 5 out of 10:

Looking at the Altman-Z score, with a value of 2.71, GES is in the better half of the industry, outperforming 60.47% of the companies in the same industry.
The Debt to FCF ratio of GES is 3.44, which is a good value as it means it would take GES, 3.44 years of fcf income to pay off all of its debts.
GES has a Debt to FCF ratio of 3.44. This is in the better half of the industry: GES outperforms 62.02% of its industry peers.
GES has a Quick ratio of 0.80. This is in the better half of the industry: GES outperforms 63.57% of its industry peers.

Looking at the Growth

Every stock receives a Growth Rating from ChartMill, ranging from 0 to 10. This rating assesses various growth aspects, including historical and projected EPS and revenue growth. NYSE:GES boasts a 4 out of 10:

The Earnings Per Share has grown by an impressive 30.32% over the past year.
Measured over the past years, GES shows a very strong growth in Earnings Per Share. The EPS has been growing by 32.43% on average per year.

Our Decent Value screener lists more Decent Value stocks and is updated daily.

Check the latest full fundamental report of GES for a complete fundamental analysis.

Disclaimer

This article should in no way be interpreted as advice in any way. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.