Guess (GES) ROE %: 20.60% (As of Oct. 2025) — 129% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

GES Guess Inc GES
55 GF Score
Price $16.81
GF Value $30.05
! 6 Warning Signs
View Full Analysis

What is Guess ROE %?

Guess GES 55 ROE % is 20.60% as of Oct. 2025, which is 129% above its 10-year median of 8.99. GuruFocus rates GES with a GF Score™ of 55/100 and a GF Value™ of $30.05. The stock has 6 warning signs investors should review.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Guess's annualized net income for the quarter that ended in Oct. 2025 was $103 Mil. Guess's average Total Stockholders Equity over the quarter that ended in Oct. 2025 was $498 Mil. Therefore, Guess's annualized ROE % for the quarter that ended in Oct. 2025 was 20.60%.

The historical rank and industry rank for Guess's ROE % or its related term are showing as below:

GES' s ROE % Range Over the Past 10 Years
Min: -13.73   Med: 8.99   Max: 32.52
Current: 16.5

During the past 13 years, Guess's highest ROE % was 32.52%. The lowest was -13.73%. And the median was 8.99%.

GES's ROE % is not ranked
in the Retail - Cyclical industry.
Industry Median: 6.54 vs GES: 16.50

Guess  (NYSE:GES) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Oct. 2025 )
=Net Income/Total Stockholders Equity
=102.592/498.025
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(102.592 / 3165.708)*(3165.708 / 2991.397)*(2991.397 / 498.025)
=Net Margin %*Asset Turnover*Equity Multiplier
=3.24 %*1.0583*6.0065
=ROA %*Equity Multiplier
=3.43 %*6.0065
=20.60 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Oct. 2025 )
=Net Income/Total Stockholders Equity
=102.592/498.025
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (102.592 / 153.52) * (153.52 / 107.824) * (107.824 / 3165.708) * (3165.708 / 2991.397) * (2991.397 / 498.025)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.6683 * 1.4238 * 3.41 % * 1.0583 * 6.0065
=20.60 %

Note: The net income data used here is four times the quarterly (Oct. 2025) net income data. The Revenue data used here is four times the quarterly (Oct. 2025) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Guess ROE % Related Terms


Guess ROE % Historical Data

* Premium members only.

The historical data trend for Guess's ROE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Guess ROE % Chart

Guess Annual Data
Trend Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24 Jan25
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -13.73 29.39 25.87 32.52 10.16

Guess Quarterly Data
Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -19.87 68.14 -26.65 5.14 20.60

GES vs SFIX, SCVL, CRI: ROE % Comparison

For the Apparel Retail subindustry, Guess's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Guess ROE % vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Guess's ROE % distribution charts can be found below:

* The bar in red indicates where Guess's ROE % falls into.


GES
55GF Score
Guess Inc GES
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Guess ROE % Calculation

Guess's annualized ROE % for the fiscal year that ended in Jan. 2025 is calculated as

ROE %=Net Income (A: Jan. 2025 )/( (Total Stockholders Equity (A: Jan. 2024 )+Total Stockholders Equity (A: Jan. 2025 ))/ count )
=60.423/( (684.94+505.007)/ 2 )
=60.423/594.9735
=10.16 %

Guess's annualized ROE % for the quarter that ended in Oct. 2025 is calculated as

ROE %=Net Income (Q: Oct. 2025 )/( (Total Stockholders Equity (Q: Jul. 2025 )+Total Stockholders Equity (Q: Oct. 2025 ))/ count )
=102.592/( (487.551+508.499)/ 2 )
=102.592/498.025
=20.60 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Oct. 2025) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 20.60% mean?
Guess (GES) has a ROE % of 20.60% as of Oct. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Guess and its competitors. This is 129% above median its historical median of 8.99.
Is Guess' ROE % too high?
Guess' current ROE % of 20.60% is 129% above median its 10-year median of 8.99. The Retail - Cyclical industry median ROE % is 6.54. Guess' value of 20.60% is 215% above this industry median. Overall, Guess has a GF Score™ of 55/100, reflecting its overall financial health beyond just this single metric.
How does Guess' ROE % compare to SFIX and SCVL?
Guess' ROE % of 20.60% can be compared against companies in the Retail - Cyclical industry. The industry median ROE % is 6.54. Guess' value of 20.60% is 215% above this benchmark. While the company's 10-year median is 8.99 vs. the industry median of 6.54, Guess has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Retail - Cyclical company?
The median ROE % among Retail - Cyclical companies is 6.54, based on 1,099 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Guess's current ROE % of 20.60% is 215% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Guess and its competitors. For the Retail - Cyclical industry, the median ROE % is 6.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Guess's current ROE % is 20.60%, which is 129% above median its own 10-year median of 8.99. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Guess stock overvalued right now?
Guess (GES) has a current ROE % of 20.60%. The stock's GF Value™ is $30.05, compared to a current price of $16.81 — trading 44.1% below its estimated fair value. The current ROE % is 20.60%, which is 129% above median its 10-year median of 8.99 and 215% above the Retail - Cyclical industry median of 6.54. Guess' overall GF Score™ is 55/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Guess (GES), the current ROE % is 20.60% as of Oct. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Guess (GES) Overvalued in 2026?

Based on GuruFocus' analysis, Guess stock appears to be undervalued. The current stock price of $16.81 is trading 44.1% below its estimated GF Value™ of $30.05.

Key valuation signals for GES:

  • ROE %: 20.60% (129% above median its 10-year median of 8.99)
  • GF Value™: $30.05 vs. price of $16.81 (44.1% below fair value)
  • GF Score™: 55/100 with 6 warning signs
  • Industry Position: 215% above the Retail - Cyclical median

No single metric tells the full story. See the GES stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Guess Business Description

Address Strada Regina 44, Bioggio, CHE, CH-6934
Guess Inc designs, markets, distributes and licenses lifestyle collections of contemporary apparel and accessories for men, women and children that reflect the American lifestyle and European fashion sensibilities. The lines include full collections of clothing, including jeans, pants, skirts, dresses, active wear, shorts, blouses, shirts, jackets, knitwear, outerwear and intimate apparel. Its apparel is marketed under numerous trademarks, including GUESS, GUESS?, GUESS U.S.A., GUESS JEANS, GUESS? and Triangle Design, MARCIANO, Question Mark and Triangle Design, a stylized G and a stylized M, GUESS Kids, Baby GUESS, YES, G by GUESS (GbG), GUESS by MARCIANO and Gc.
55GF Score

Get the complete analysis for GES

ROE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$16.81
Price
$30.05
GF Value