- Angela Gonzalez-Rodriguez |
Shares at G-III Apparel Group, Ltd. (nasdaqgs:GIII) rose by 2 percent in the past week and 7.82 percent for the last 4 weeks, having had outperformed the S&P 500 by 1.7 percent in the past week. That outperformance increases to 8.05 percent for the last 4 weeks.
On another note, the company announced Tuesday that its Board of Directors has approved a two-for-one-stock split of the company’s common stock to be paid as a stock dividend to those shareholders recorded as of the close of business on April 20, 2015.
They will receive one additional share of common stock for each share of common stock held on that date. The new shares are expected to be issued on May 1, 2015. NASDAQ trading on a split-adjusted basis is expected to begin on May 4, 2015, added Bloomberg.
The Company had outstanding approximately 22.5 million shares of its common stock as of April 6, 2015. After the stock split, the Company will have outstanding approximately 45.0 million shares of its common stock.
“We are pleased to take this action as a result of our strong operating results and stock price performance. This stock split reflects the belief in our long-term Company initiatives and underlines our ongoing commitment to enhancing shareholder value,” explained in a note to investors Morris Goldfarb, G-III’s Chairman, Chief Executive Officer and President.
It is noteworthy that the retailer previously provided guidance for its fiscal year ending January 31, 2016 regarding net income per diluted share. On a split-adjusted basis, the company expects net income to be between 2.53 and 2.63 dollars per diluted share, compared to net income between 5.05 and 5.25 dollars per diluted share on a pre-split basis.
Lately, the stock has received upwards ratings from an array of analysts. Thus, Stephens & Co. maintains their ‘overweight’ rating on the shares and have raised their price target from 108 dollars per share to 122 dollars per share.
G-III Apparel Group, LTD. (NASDAQ:GIII) has a market cap of 2,554 million dollars and the number of outstanding shares is 22,487,000.