The Gap, Inc. (NYSE:GAP) Receives Average Rating of “Moderate Buy” from Brokerages

The Gap, Inc. (NYSE:GAP) has been given an average recommendation of “Moderate Buy” by the eighteen brokerages that are currently covering the firm, Marketbeat reports. Eight equities research analysts have rated the stock with a hold recommendation, eight have assigned a buy recommendation and two have issued a strong buy recommendation on the company. The average 12 month price target among brokerages that have updated their coverage on the stock in the last year is $28.00.

Several equities analysts have recently weighed in on GAP shares. JPMorgan Chase & Co. restated a “neutral” rating and issued a $27.00 target price (down from $35.00) on shares of GAP in a research report on Friday, May 29th. Evercore set a $20.00 price objective on GAP and gave the company an “in-line” rating in a research note on Friday, May 29th. Bank of America decreased their price objective on GAP from $29.00 to $26.00 and set a “neutral” rating on the stock in a report on Friday, May 29th. Jefferies Financial Group lowered their target price on shares of GAP from $32.00 to $29.00 and set a “buy” rating on the stock in a research note on Friday, May 29th. Finally, The Goldman Sachs Group dropped their target price on shares of GAP from $32.00 to $28.00 and set a “buy” rating for the company in a report on Friday, May 29th.

Institutional Trading of GAP

A number of hedge funds have recently bought and sold shares of the business. Ameriprise Financial Inc. lifted its stake in GAP by 42.7% in the 2nd quarter. Ameriprise Financial Inc. now owns 4,407,809 shares of the company’s stock worth $96,134,000 after purchasing an additional 1,318,322 shares in the last quarter. Miller Howard Investments Inc. NY grew its position in shares of GAP by 112.2% in the first quarter. Miller Howard Investments Inc. NY now owns 1,704,021 shares of the company’s stock valued at $41,237,000 after purchasing an additional 900,855 shares in the last quarter. Jump Financial LLC grew its position in shares of GAP by 2,197.8% in the third quarter. Jump Financial LLC now owns 645,150 shares of the company’s stock valued at $13,800,000 after purchasing an additional 617,073 shares in the last quarter. Bank of New York Mellon Corp increased its holdings in shares of GAP by 13.0% in the fourth quarter. Bank of New York Mellon Corp now owns 3,195,934 shares of the company’s stock valued at $81,816,000 after purchasing an additional 368,191 shares during the last quarter. Finally, BI Asset Management Fondsmaeglerselskab A S acquired a new stake in shares of GAP in the fourth quarter valued at approximately $4,801,000. Institutional investors and hedge funds own 58.81% of the company’s stock.

GAP Stock Performance

GAP opened at $19.56 on Wednesday. The company has a quick ratio of 1.08, a current ratio of 1.81 and a debt-to-equity ratio of 0.41. The company has a market cap of $7.04 billion, a price-to-earnings ratio of 7.70, a PEG ratio of 1.17 and a beta of 2.04. GAP has a 52-week low of $18.11 and a 52-week high of $29.36. The firm’s fifty day simple moving average is $20.90 and its two-hundred day simple moving average is $24.21.

GAP (NYSE:GAP) last released its earnings results on Thursday, May 28th. The company reported $0.38 EPS for the quarter, missing analysts’ consensus estimates of $0.39 by ($0.01). GAP had a return on equity of 21.13% and a net margin of 6.25%.The company had revenue of $3.50 billion for the quarter, compared to analysts’ expectations of $3.52 billion. During the same period in the prior year, the firm earned $0.51 EPS. The firm’s revenue for the quarter was up 1.0% on a year-over-year basis. GAP has set its FY 2026 guidance at 2.300-2.400 EPS. Equities analysts anticipate that GAP will post 2.34 earnings per share for the current fiscal year.

GAP Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, July 29th. Investors of record on Wednesday, July 8th will be given a dividend of $0.175 per share. The ex-dividend date is Wednesday, July 8th. This represents a $0.70 dividend on an annualized basis and a yield of 3.6%. GAP’s payout ratio is presently 27.56%.

About GAP

Gap Inc is a global specialty retailer renowned for its portfolio of apparel and accessories brands, including Gap, Banana Republic, Old Navy and Athleta. The company designs, sources and markets clothing across a broad price range and style spectrum, catering to men, women and children. Its offerings extend from everyday wardrobe essentials such as denim, tees and outerwear to performance and lifestyle pieces, reflecting each brand’s distinct identity and price point.

Founded in San Francisco in 1969 by Donald and Doris Fisher, Gap Inc has grown into one of the world’s largest apparel companies.