Risk factor
Weak & very vulnerable to price shocks
Profitability factor
Undervalued vs peers
About
G-III Apparel Group, Ltd. operates as a global fashion enterprise, specializing in the design, procurement, and commercialization of clothing lines for both women and men across the United States and internationally. The company's business model is structured around two core divisions: Wholesale Operations and Retail Operations. Its extensive product portfolio features a wide array of apparel, including outerwear, dresses, diverse sportswear collections, swimwear, women's suits, and performance wear. Complementing its clothing offerings, G-III also provides a range of accessories such as women's handbags, footwear, small leather goods, cold weather gear, and luggage. The company markets its merchandise under a significant collection of proprietary brands, which includes DKNY, Donna Karan, Vilebrequin, Eliza J, Jessica Howard, Andrew Marc, Marc New York, Sonia Rykiel, Black Rivet, G-III Sports by Carl Banks, and G-III for Her. Furthermore, G-III holds licensing agreements for an impressive roster of renowned brands like Calvin Klein, Tommy Hilfiger, Karl Lagerfeld Paris, Levi's, Guess?, Kenneth Cole, Cole Haan, Vince Camuto, and Dockers. Expanding its reach into sports, the company also maintains licenses with prominent athletic organizations such as the National Football League, Major League Baseball, National Basketball Association, and National Hockey League, alongside rights for approximately 150 U.S. colleges and universities. G-III distributes its products through various retail channels, encompassing major department stores, specialized boutiques, and mass merchant retailers. By January 31, 2022, the company managed a substantial physical retail footprint, operating 96 Vilebrequin stores, 60 combined DKNY and Karl Lagerfeld Paris outlets, and an additional 26 dedicated DKNY stores. Products are also accessible for purchase through online platforms. Established in 1956, G-III Apparel Group, Ltd. maintains its corporate headquarters in New York, New York.
Company Valuation
From both historical and forecast perspectives, the stock is underpriced compared to similar stocks. In particular, the stock is reasonably priced on P/E, 'cheap' on EV/E
Target Price
The average target price of GIII is 38 and suggests 8% upside potential. Usually, this means a HOLD recommendation among investment firms. This neutral recommendation sug