Hum-dee-dum, it's just another day at the office for Guess?
The stock market applauded the latest figures, pushing the stock up in recent trading to all-time highs in the upper $60s. For the month, comps increased 9.6% year over year. This figure is even more impressive because it comes atop a 17.5% comp increase in December 2005.
The stellar year-ago results initially led me to take a closer look at the stock; I also found its merchandise very appealing, as my wallet can attest. While the stock was trading in the low teens at the time, I saw a company simultaneously accelerating its top line and expanding margins. At the time, though, I was unsure whether the impressive results were simply a one-time anomaly.
I think we can now take it to the bank that the company's return to glory was no fluke. Its stock is now up more than 300% since I wrote that article.
My Foolish colleague Seth Jayson has also been on top of the developing Guess? story. In his last write-up on the retailer, he noted that overseas expansion and a vastly improved operation are a couple of reasons why things are looking good.
Perhaps the #1 reason why Guess? has been kicking butt is its fashionable clothing. I spend time going to different apparel retailers to see what's working and what's not. Over the past couple of years, I've found very little not working for Guess? The brand uses the right dashes of edginess, sexiness, and tastefulness to attract the twentysomething crowd.
There are any number of brands vying for this important demographic, including True Religion
Foolanthropy is celebrating its 10th year! To learn more about our five Foolish charities or to make a donation, visit www.foolanthropy.com.
Gap is both a Stock Advisor and an Inside Value recommendation. And if neither of those two newsletters seems appealing, we've got seven others to choose from. So click here to find one you love and take a free 30-day trial.