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1st Prd 14:40

Guess Inc. shares slump on rating

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Shares of the apparel maker fell after Morgan Stanley initiated coverage of the shares on Friday. The firm issued an underweight rating, indicating the undervalued stock makes it tempting, but the firm believes that Guess “contains the largest risks and lowest earnings visibility in our coverage universe.’’ It believes the core businesses in the US and Europe will be pressured “in the near term.”

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