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

The Gap, Inc. (NYSE:GAP) has been given an average recommendation of “Moderate Buy” by the seventeen analysts that are presently covering the stock, Marketbeat.com reports. Five equities research analysts have rated the stock with a hold rating, ten have assigned a buy rating and two have given a strong buy rating to the company. The average 12-month price target among analysts that have issued a report on the stock in the last year is $30.4615.

A number of analysts have commented on the stock. Wells Fargo & Company set a $30.00 price objective on shares of GAP and gave the company an “overweight” rating in a research note on Tuesday, December 16th. Weiss Ratings lowered shares of GAP from a “buy (b-)” rating to a “hold (c+)” rating in a report on Thursday. Telsey Advisory Group raised their price objective on shares of GAP from $32.00 to $34.00 and gave the stock an “outperform” rating in a research note on Monday, March 2nd. Evercore lifted their price objective on shares of GAP from $25.00 to $28.00 and gave the stock an “outperform” rating in a research report on Friday, November 21st. Finally, UBS Group raised shares of GAP from a “neutral” rating to a “buy” rating and boosted their target price for the company from $26.00 to $41.00 in a research note on Wednesday, January 7th.

Insider Activity at GAP

In related news, insider Julie Gruber sold 30,000 shares of the stock in a transaction dated Wednesday, December 17th. The stock was sold at an average price of $28.00, for a total value of $840,000.00. Following the completion of the sale, the insider directly owned 37,395 shares of the company’s stock, valued at approximately $1,047,060. This represents a 44.51% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO Katrina O’connell sold 16,036 shares of the firm’s stock in a transaction dated Monday, March 16th. The stock was sold at an average price of $23.74, for a total value of $380,694.64. Following the sale, the chief financial officer owned 7,718 shares of the company’s stock, valued at $183,225.32. The trade was a 67.51% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders have sold 62,066 shares of company stock valued at $1,601,247. Company insiders own 31.00% of the company’s stock.

Institutional Trading of GAP

Several institutional investors have recently made changes to their positions in GAP. Cullen Frost Bankers Inc. acquired a new stake in shares of GAP during the fourth quarter worth approximately $26,000. Root Financial Partners LLC acquired a new position in GAP in the 3rd quarter valued at approximately $27,000. Plato Investment Management Ltd purchased a new stake in GAP in the 4th quarter worth approximately $28,000. V Square Quantitative Management LLC acquired a new stake in shares of GAP during the 4th quarter valued at $31,000. Finally, Cornerstone Planning Group LLC acquired a new stake in shares of GAP during the 3rd quarter valued at $35,000. 58.81% of the stock is currently owned by institutional investors and hedge funds.

GAP Stock Up 0.5%

Shares of GAP stock opened at $23.35 on Thursday. The stock’s fifty day moving average is $26.98 and its 200-day moving average is $25.04. The firm has a market capitalization of $8.69 billion, a PE ratio of 10.86, a price-to-earnings-growth ratio of 1.34 and a beta of 2.29. The company has a quick ratio of 1.08, a current ratio of 1.75 and a debt-to-equity ratio of 0.39. GAP has a 12-month low of $16.99 and a 12-month high of $29.36.

GAP (NYSE:GAP) last released its quarterly earnings results on Thursday, March 5th. The company reported $0.45 earnings per share for the quarter, missing analysts’ consensus estimates of $0.46 by ($0.01). The company had revenue of $4.24 billion during the quarter, compared to analyst estimates of $4.24 billion. GAP had a net margin of 5.31% and a return on equity of 22.98%. The company’s revenue for the quarter was up 2.1% compared to the same quarter last year. During the same quarter last year, the business earned $0.54 EPS. GAP has set its FY 2026 guidance at 2.200-2.350 EPS. Equities analysts anticipate that GAP will post 2.02 earnings per share for the current year.

GAP Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, April 29th. Stockholders of record on Wednesday, April 8th will be issued a dividend of $0.175 per share. This is a positive change from GAP’s previous quarterly dividend of $0.17. This represents a $0.70 dividend on an annualized basis and a dividend yield of 3.0%. The ex-dividend date is Wednesday, April 8th. GAP’s dividend payout ratio is presently 30.70%.

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.