Fashion company owning DKNY, Donna Karan, Karl Lagerfeld, Vilebrequin + licenses for Calvin Klein, Tommy Hilfiger, Nautica, major sports leagues. | Consumer Cyclical — Apparel / Fashion Brands | AGI Score: 4/10 | Analysis date: 2026-03-13
Trading at 0.62x book value with owned brands (DKNY, Donna Karan, Karl Lagerfeld) that are worth something. Wrote off ALL goodwill in FY2024, so tangible book IS book. $181M cash, almost no long-term debt ($3M). Net cash balance sheet + brand value + buybacks = AMR playbook candidate.
G-III Apparel is a global fashion company that designs, sources, distributes and markets apparel and accessories across 30+ owned and licensed brands. Owned brands include DKNY, Donna Karan, Karl Lagerfeld, and Vilebrequin (52% of fiscal 2025 sales). Licensed brands include Calvin Klein, Tommy Hilfiger, Nautica, and sports leagues (NFL, NBA, MLB, NHL). The company generates $3.18 billion in revenue across categories including outerwear, dresses, sportswear, swimwear, handbags, and footwear, distributed globally through department stores, specialty retailers, and company-operated stores.
| Sector | Consumer Cyclical |
| Industry | Apparel Manufacturing |
| Employees | — |
| ROE | 3.9% |
| ROA | N/A |
| Gross Margin | 39.4% |
| Operating Margin | 2.3% |
| Profit Margin | 2.3% |
| 52-Week Range | $20.33 — $34.83 |
| Beta | 1.297 |
| Avg Volume | 476,328 |
| Short Ratio | 15.65 |
| EV / EBITDA | 6.5x |
| Analyst Target | $33.25 (buy) |
| Float Shares | 38M |
| Payout Ratio | 0.0% |
| Item | Value | % of Assets | Notes |
|---|---|---|---|
| ASSETS ($2.5B) | |||
| PP&E (net) | $69M | 2.8% | Physical assets |
| Cash & Equivalents | $181M | 7.3% | |
| Other Intangibles | $27M | 1.1% | |
| Other Assets | $2.2B | 88.8% | Receivables, investments, etc. |
| LIABILITIES | |||
| Long-Term Debt | $3M | 0.1% | |
| Other Liabilities | $801M | 32.2% | |
| EQUITY | |||
| Stockholders' Equity | $1.7B | 67.6% | |
| Tangible Book Value | $1.7B | Equity minus goodwill & intangibles | |
| Tangible Book / Share | $39.17 | vs price $26.38 | |
| Metric | 2019 | 2020 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|
| Revenue | $767M | $755M | $2.8B | $3.2B | $3.1B | $3.2B |
| Net Income | $138M | $144M | $200M | -$134M | $175M | $193M |
| Total Assets | $2.2B | $2.6B | $2.7B | $2.7B | $2.7B | $2.5B |
| Equity | $1.2B | $1.3B | $1.5B | $1.4B | $1.6B | $1.7B |
| Long-Term Debt | — | — | $515M | $484M | $403M | $3M |
| Cash | $70M | $197M | $466M | $192M | $508M | $181M |
| OCF | $104M | $209M | $186M | -$105M | $588M | $316M |
| PP&E | $86M | $76M | $49M | $54M | $55M | $69M |
| Goodwill | $261M | $261M | $263M | — | $0 | $0 |
| Shares (Diluted) | 50M | 49M | 50M | 48M | 47M | 46M |
| Period | Shares (Diluted) | Change |
|---|---|---|
| 2019-01-31 | 50,274,000 | |
| 2020-01-31 | 48,895,000 | -2.7% |
| 2022-01-31 | 49,516,000 | +1.3% |
| 2023-01-31 | 47,653,000 | -3.8% |
| 2024-01-31 | 47,000,000 | -1.4% |
| 2025-01-31 | 46,116,000 | -1.9% |
| Total Change | -8.3% |
Significant buyback activity. Share count declining 8% over the period. This mechanically increases EPS and book value per share even with no underlying growth.
Current EPS: $4.19 | Current Book/Share: $36.42 | Current Price: $26.38
| Scenario | 7yr Future Price | Entry for 10x | vs Current | Assumptions |
|---|---|---|---|---|
| Conservative | $86.20 | $8.62 | +206% below | 8% EPS growth, 12x exit P/E |
| Bull Case | $167.24 | $16.72 | +58% below | 15% EPS growth, 15x exit P/E |
| Buyback Only | $52.58 | $5.26 | +402% | No revenue growth, buybacks continue at current rate, 12x P/E |
| Demand Boost | 1/10 | How much AGI increases demand for this company's products |
| Margin Expansion | 6/10 | How much AGI reduces costs / expands margins |
| Strategic Assets | 4/10 | Unique assets that become more valuable with AGI |
| Disruption Risk | 5/10 | Risk that AGI disrupts the core business model |
| Innovation Risk | 4/10 | Risk of being out-innovated by AGI-native competitors |
| Overall AGI Score | 4/10 | Category: labor_margin_play |
Reasoning: G-III is an apparel company with moderate AGI exposure. AGI could significantly automate design, sourcing, supply chain optimization, inventory management, and marketing—creating margin expansion. The company's owned brands (DKNY, Donna Karan, Karl Lagerfeld) have some brand equity moat. However, fashion is vulnerable to disruption: AGI could enable hyper-personalized direct-to-consumer brands or virtual clothing, reducing demand for traditional fashion. The licensing model provides some revenue stability. Physical manufacturing and retail distribution creates friction that slows disruption. Net impact is slightly positive from cost reduction, but offset by competitive and structural risks.
GIII (G-III Apparel) trades at 0.62x book value (0.67x tangible book) with $193M net income on a $1.1B market cap (17.4% earnings yield). ROE of 3.9%. Shares have declined 8% over the measurement period through buybacks.
Verdict: INTERESTING — Near AMR Entry Zone. This is the most compelling AMR candidate in the batch. Zero goodwill (wrote it all off), nearly zero debt ($3M!), $181M cash, owned brands with real value. At 0.62x book, the market is pricing the brand portfolio at essentially zero. The risk is fashion volatility and license dependency. But with a net cash balance sheet, the downside is limited. If brands are worth even 50% of their licensing value, the stock is undervalued. Entry zone: $20-24 (near current price).
Data sources: SEC EDGAR XBRL (CIK 821002), yfinance, 10-K filing, AGI scoring framework. Analysis date: 2026-03-13.