Guess (GES) Stock Down in After-Hours Trading on Weak Q1 Results

NEW YORK (TheStreet) -- Guess (GES) - Get Report stock is declining by 2.25% to $16.08 in after-hours trading on Wednesday after the apparel company reported lower-than-expected financial results for the fiscal 2017 first quarter.

The Los Angeles-based company reported a loss of 23 cents per share for the quarter ended in April, while analysts were anticipating a loss of 19 cents per share.

Revenue was down by 6% year over year to $448.82 million for the latest quarter, below estimates of $464.37 million.

Retail comparable store sales in the Americas, including e-commerce, fell 4.2% in U.S. dollars and 3.1% on a constant currency basis.

"The start to the year has been a bit more challenging than we anticipated especially in the Americas and to a lesser extent in Greater China," CEO Victor Herrero said in a statement.

Guess set its earnings guidance at 4 cents to 8 cents per share for the fiscal second quarter ending July 30. Analysts were anticipating earnings of 11 cents per share.

For the full year, the company lowered its non-adjusted earnings outlook to 48 cents to 68 cents per share, from 65 cents to 85 cents per share.

Additionally, Guess issued adjusted earnings guidance of 55 cents to 75 cents per share. Wall Street was expecting earnings of 77 cents per share.

Separately, Guess has a "hold" rating and a letter grade of C+ at TheStreet Ratings because of the company's largely solid financial position with reasonable debt levels by most measures, attractive valuation levels and expanding profit margins, which offsets feeble earnings per share growth, deteriorating net income and disappointing return on equity.

You can view the full analysis from the report here: GES

TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author.