GAP Target of Unusually High Options Trading (NYSE:GAP)

The Gap, Inc. (NYSE:GAP) saw unusually large options trading on Tuesday. Stock investors bought 10,046 put options on the company. This represents an increase of approximately 24% compared to the average volume of 8,129 put options.

Analysts Set New Price Targets

Several equities research analysts recently weighed in on the stock. Morgan Stanley reaffirmed an “equal weight” rating and set a $21.00 price objective on shares of GAP in a research report on Monday, July 6th. Jefferies Financial Group lowered shares of GAP from a “buy” rating to a “hold” rating and decreased their target price for the company from $29.00 to $23.00 in a report on Wednesday, August 12th. TD Cowen dropped their target price on shares of GAP from $26.00 to $23.00 and set a “buy” rating for the company in a research report on Tuesday, August 18th. Evercore set a $20.00 price target on shares of GAP and gave the stock an “in-line” rating in a research report on Friday, May 29th. Finally, Bank of America decreased their price objective on shares of GAP from $29.00 to $26.00 and set a “neutral” rating on the stock in a research note on Friday, May 29th. Two analysts have rated the stock with a Strong Buy rating, five have assigned a Buy rating and eleven have issued a Hold rating to the company’s stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $26.29.

Institutional Trading of GAP

A number of hedge funds have recently added to or reduced their stakes in GAP. Cullen Frost Bankers Inc. bought a new position in shares of GAP in the 4th quarter valued at $26,000. Plato Investment Management Ltd bought a new stake in GAP during the 4th quarter worth $28,000. Global Retirement Partners LLC acquired a new position in GAP in the 2nd quarter worth about $29,000. Mitsubishi UFJ Asset Management Co. Ltd. bought a new position in GAP in the second quarter valued at about $50,000. Finally, Quantbot Technologies LP bought a new position in GAP in the second quarter valued at about $73,000. Institutional investors and hedge funds own 58.81% of the company’s stock.

GAP Stock Performance

GAP stock opened at $20.15 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 stock has a market cap of $7.25 billion, a PE ratio of 7.93, a P/E/G ratio of 1.21 and a beta of 2.05. GAP has a 12-month low of $18.11 and a 12-month high of $29.36. The business’s 50-day moving average price is $20.01 and its two-hundred day moving average price is $22.98.

GAP (NYSE:GAP) last posted 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 during the quarter, compared to the consensus estimate of $3.52 billion. During the same period last year, the company posted $0.51 EPS. The firm’s revenue was up 1.0% compared to the same quarter last year. GAP has set its FY 2026 guidance at 2.300-2.400 EPS. As a group, analysts expect that GAP will post 2.33 earnings per share for the current fiscal year.

GAP Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 28th. Investors of record on Wednesday, October 7th will be paid a $0.175 dividend. The ex-dividend date of this dividend is Wednesday, October 7th. This represents a $0.70 annualized dividend and a yield of 3.5%. GAP’s dividend payout ratio is presently 27.56%.

GAP Company Profile

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.