Looking back on apparel and accessories stocks’ Q3 earnings, we examine this quarter’s best and worst performers, including Movado (NYSE:MOV) and its peers.
Thanks to social media and the internet, not only are styles changing more frequently today than in decades past but also consumers are shifting the way they buy their goods, favoring omnichannel and e-commerce experiences. Some apparel and accessories companies have made concerted efforts to adapt while those who are slower to move may fall behind.
The 17 apparel and accessories stocks we track reported a mixed Q3. As a group, revenues along with next quarter’s revenue guidance were in line with analysts’ consensus estimates.
Luckily, apparel and accessories stocks have performed well with share prices up 20.7% on average since the latest earnings results.
Movado (NYSE:MOV)
With its watches displayed in 20 museums around the world, Movado (NYSE:MOV) is a watchmaking company with a portfolio of watch brands and accessories.
Movado reported revenues of $182.7 million, down 2.6% year on year. This print fell short of analysts’ expectations by 2.6%. Overall, it was a slower quarter for the company with a significant miss of analysts’ EPS estimates and full-year EPS guidance slightly missing analysts’ expectations.
Efraim Grinberg, Chairman and Chief Executive Officer, stated, “We continued to advance our strategy in the third quarter, unveiling a captivating Movado brand-building marketing campaign in September, launching iconic product families across our brand portfolio, and delivering solid growth in our digital channel, all while maintaining a strong balance sheet.”
Unsurprisingly, the stock is down 8.3% since reporting and currently trades at $19.12.
Read our full report on Movado here, it’s free.
Best Q3: Stitch Fix (NASDAQ:SFIX)
One of the original subscription box companies, Stitch Fix (NASDAQ:SFIX) is an online personal styling and fashion service that curates personalized clothing selections for customers.
Stitch Fix reported revenues of $318.8 million, down 12.6% year on year, outperforming analysts’ expectations by 3.9%. The business had an exceptional quarter with EBITDA guidance for next quarter exceeding analysts’ expectations and a solid beat of analysts’ EPS estimates.
Stitch Fix delivered the biggest analyst estimates beat and highest full-year guidance raise among its peers. The market seems happy with the results as the stock is up 9.3% since reporting. It currently trades at $5.03.
Is now the time to buy Stitch Fix? Access our full analysis of the earnings results here, it’s free.
Weakest Q3: Figs (NYSE:FIGS)
Rising to fame via TikTok and founded in 2013 by Heather Hasson and Trina Spear, Figs (NYSE:FIGS) is a healthcare apparel company known for its stylish approach to medical attire and uniforms.
Figs reported revenues of $140.2 million, down 1.5% year on year, falling short of analysts’ expectations by 2.1%. It was a disappointing quarter as it posted a significant miss of analysts’ adjusted operating income estimates.
As expected, the stock is down 19.5% since the results and currently trades at $5.37.
Read our full analysis of Figs’s results here.
Under Armour (NYSE:UAA)
Founded in 1996 by a former University of Maryland football player, Under Armour (NYSE:UAA) is an apparel brand specializing in sportswear designed to improve athletic performance.
Under Armour reported revenues of $1.40 billion, down 10.7% year on year. This result topped analysts’ expectations by 1.1%. It was a strong quarter as it also produced a solid beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.
The stock is down 6.3% since reporting and currently trades at $8.20.
Read our full, actionable report on Under Armour here, it’s free.
G-III (NASDAQ:GIII)
Founded as a small leather goods business, G-III (NASDAQ:GIII) is a fashion and apparel conglomerate with a diverse portfolio of brands.
G-III reported revenues of $1.09 billion, up 1.8% year on year. This print came in 1.1% below analysts' expectations. Aside from that, it was a mixed quarter as it also produced an impressive beat of analysts’ adjusted operating income estimates but full-year revenue guidance missing analysts’ expectations.
G-III had the weakest full-year guidance update among its peers. The stock is down 3.7% since reporting and currently trades at $30.40.
Read our full, actionable report on G-III here, it’s free.
Market Update
Thanks to the Fed's series of rate hikes in 2022 and 2023, inflation has cooled significantly from its post-pandemic highs, drawing closer to the 2% goal. This disinflation has occurred without severely impacting economic growth, suggesting the success of a soft landing. The stock market thrived in 2024, spurred by recent rate cuts (0.5% in September and 0.25% each in November and December), and a notable surge followed Donald Trump's presidential election win in November, propelling indices to historic highs. Nonetheless, the outlook for 2025 remains clouded by the pace and magnitude of future rate cuts as well as potential changes in trade policy and corporate taxes once the Trump administration takes over. The path forward is marked by uncertainty.
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