Have Analysts Changed Their Mind About G-III Apparel Group Ltd. (GIII), Gol Linhas Aereas Inteligentes S.A. (GOL)

G-III Apparel Group Ltd. (NASDAQ: GIII) shares are -67.13% down in the year-to-date (YTD) period and have moved -0.63% or -$0.07 lower in the latest trading session. However, stock’s trailing 12-month performance remains nearly +271.96% lower. Comparatively, the stock is -68.01% down YTD and -4.34% over the trailing 3-month period. If we look at the shorter duration, its week performance is 3.67% and -2.39% over the month.

Analyst Recommendations

On June 08, 2020, Wells Fargo recommended the GIII stock is a Equal Weight, while earlier, Barclays had Downgrade the stock as a Underweight on August 06, 2020. 9 analysts offering the recommendations for the stock have a consensus rating of 2.50 to suggest that the GIII stock is a “Moderate Buy. 1 of the 9 analysts rate the stock as a “Sell”, while 0 has rated it as “Underweight”. 4 recommend buying, with 1 rating it as an Overweight.

The stock currently trades at $11.01. The forecasts give the G-III Apparel Group Ltd. stock a price target range of $25.00 on the higher side while at least one analyst think the stock could plunge to a low of $10.00. The two limits represent an upside potential of 55.96% or -10.1%.

Earnings Forecast

Analysts estimate the earnings to decrease -25.00% in the current quarter to -$0.77, down from the $0.23 reported in the same quarter a year ago. For the current year, earnings should grow to an average of $0.24, down -31.20% from $3.19 reported last year. Analysts also offered guidance for the next financial quarter, with their average projected EPS at between $0.21 and $1.84. Wall Street estimates earnings per share to be at an average of $2.3 for the next year.

Insider Transactions Summary

According to SEC data, total insider shares purchases at the company stands at 22 over the last 12 months, while SEC filings reveal that there have been 25 insider sales over the same period. Insiders have purchases 1,145,829 shares while those sold by company executives and officers stand at 242,325. The last 3 months have seen insiders trade a total of 94,844 and 69,399 in purchases and sales respectively.

GOLDFARB MORRIS, a CEO at the company, bought 16,540 shares worth $95105.0 at $5.75 per share on Apr 02. The CEO had earlier bought another 14,209 GIII shares valued at $77865.0 on Apr 03. The shares were bought at $5.48 per share. GOLDFARB MORRIS (CEO) bought 20,200 shares at $6.54 per share on Mar 24 for a total of $0.13 million while BROSIG THOMAS, (Director) bought 8,000 shares on Mar 23 for $48480.0 with each share fetching $6.06.

Gol Linhas Aereas Inteligentes S.A. (NYSE:GOL), on the other hand, is trading around $6.53 with a market cap of $914.53M and analyst research firms have a positive stance on its shares. Analysts predict that the stock will reach $9.15 and spell out a more modest performance – a 28.63% return. Some analysts are even forecasting -$5.4 per share in earnings this year on a short term (1 year) basis.

Let us briefly look at the Gol Linhas Aereas Inteligentes S.A. (GOL) financials, with a focus on its operating details as indicated in its earnings report for the last quarter.

Company balance sheet and cash flow

GOL’s operating margin was positive on the trailing 12 months basis, remaining steady at 7.50%, while the operating expenses over the recent quarter were at $36.63 million. This represented a 45.12% of the company’s total revenues which amounted $66.74 million. With this in place, we can see that the company’s diluted EPS declined -$2.69 on the year-over-year period, shrinking to -$0.18 as given in the last earnings report.

In terms of the balance sheet & cash flow as of (Sep 2020), the total assets figure advanced to $2.75 billion from $3.53 billion over the previous quarter. Short term investments amounted to $257.23 million while total current assets were at $727.78 million. The cash flow from operating activities totaled $147.2 million, significantly lower than the $202.91 million reported in the year-ago quarter. The company’s free cash flow for the quarter was $52.66 million.

Major holders

Insiders own 64.00% of the company shares, while shares held by institutions stand at 14.60% with a share float percentage of 78.10M. Investors are also buoyed by the number of investors in a company, with Gol Linhas Aereas Inteligentes S.A. having a total of 101 institutions that hold shares in the company.