Quantitative Investment Management LLC Makes New $2.66 Million Investment in The Gap, Inc. $GAP

Quantitative Investment Management LLC purchased a new stake in shares of The Gap, Inc. (NYSE:GAP) in the second quarter, HoldingsChannel.com reports. The institutional investor purchased 142,290 shares of the company’s stock, valued at approximately $2,657,000.

Other large investors have also added to or reduced their stakes in the company. Miller Howard Investments Inc. NY grew its stake 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 worth $41,237,000 after acquiring an additional 900,855 shares during the last quarter. LSV Asset Management raised its position in shares of GAP by 3.6% in the 4th quarter. LSV Asset Management now owns 3,462,702 shares of the company’s stock worth $88,645,000 after purchasing an additional 121,001 shares during the last quarter. BlackRock Inc. bought a new position in GAP in the 2nd quarter worth about $428,824,000. Redwood Investment Management LLC bought a new position in GAP in the 2nd quarter worth about $1,185,000. Finally, Robinhood Asset Management LLC purchased a new stake in GAP during the 2nd quarter valued at about $6,312,000. Hedge funds and other institutional investors own 58.81% of the company’s stock.

More GAP News

Here are the key news stories impacting GAP this week:

• Positive Sentiment: Quarterly earnings beat expectations: Adjusted EPS was $0.52, exceeding the $0.48 consensus estimate. Gross margin expanded 20 basis points to 41.4%, helping Gap outperform operating-profit expectations despite weaker sales. Gap names Michael Francis Old Navy CEO as quarterly profit beats estimates
• Positive Sentiment: Profit outlook raised: The company now expects fiscal 2026 EPS of $2.35 to $2.45, above the roughly $2.33 analyst consensus. Management cited continued momentum at the Gap brand, margin discipline and strength at Banana Republic. Gap lifts annual profit forecast on strength of namesake brand
• Positive Sentiment: Old Navy leadership reset: Michael Francis, a retail veteran with experience at Walmart and Target, will become Old Navy’s president and CEO on November 2, replacing Haio Barbeito. Investors appear hopeful that Francis can improve the company’s largest brand. Gap shares jump after Old Navy brings in new CEO to revive brand
• Positive Sentiment: Analyst support increased: TD Cowen and BTIG raised their price targets to $27 and assigned “buy” ratings. Bank of America also raised its target to $27, while Morgan Stanley lifted its target to $23 but retained an “equal weight” rating.
• Neutral Sentiment: Sales remained soft: Second-quarter revenue fell 2% year over year to $3.65 billion, below the $3.69 billion consensus, while comparable sales declined 1%. Full-year revenue guidance of about $15.6 billion is slightly below analyst expectations. Gap Inc. Reports Second Quarter Fiscal 2026 Results
• Negative Sentiment: Brand performance was uneven: Old Navy reported sluggish comparable sales, and Athleta continued to face pressure. The need for a leadership change underscores execution risks even as Gap and Banana Republic show stronger momentum.

Wall Street Analyst Weigh In

GAP has been the subject of a number of analyst reports. Evercore set a $20.00 price objective on shares of GAP and gave the company an “in-line” rating in a research note on Friday, May 29th. The Goldman Sachs Group cut their price target on shares of GAP from $28.00 to $25.00 and set a “buy” rating on the stock in a report on Thursday, August 20th. Morgan Stanley raised their price target on shares of GAP from $21.00 to $23.00 and gave the company an “equal weight” rating in a research report on Friday. Bank of America boosted their price objective on shares of GAP from $26.00 to $27.00 and gave the stock a “neutral” rating in a report on Friday. Finally, BTIG Research upped their price objective on GAP from $26.00 to $27.00 and gave the company a “buy” rating in a research report on Friday. Two investment analysts have rated the stock with a Strong Buy rating, five have assigned a Buy rating, ten have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $27.21.

GAP Price Performance

GAP opened at $23.48 on Monday. The company has a debt-to-equity ratio of 0.38, a quick ratio of 1.11 and a current ratio of 1.82. The stock has a market capitalization of $8.45 billion, a P/E ratio of 7.01, a P/E/G ratio of 1.36 and a beta of 2.05. The company’s 50-day simple moving average is $20.06 and its two-hundred day simple moving average is $22.84. The Gap, Inc. has a 52-week low of $18.11 and a 52-week high of $29.36.

GAP (NYSE:GAP) last announced its quarterly earnings results on Thursday, August 27th. The company reported $0.52 EPS for the quarter, topping analysts’ consensus estimates of $0.48 by $0.04. GAP had a net margin of 8.14% and a return on equity of 19.72%. The firm had revenue of $3.65 billion during the quarter, compared to analyst estimates of $3.69 billion. During the same period in the previous year, the business posted $0.57 earnings per share. The business’s revenue for the quarter was down 2.0% on a year-over-year basis. GAP has set its FY 2026 guidance at 2.350-2.450 EPS. As a group, analysts predict that The Gap, Inc. will post 2.38 EPS for the current year.

GAP Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Wednesday, October 28th. Shareholders of record on Wednesday, October 7th will be given a $0.175 dividend. This represents a $0.70 dividend on an annualized basis and a yield of 3.0%. The ex-dividend date of this dividend is Wednesday, October 7th. GAP’s payout ratio is 20.90%.

GAP 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.