GAP (NYSE:GAP) Upgraded to Buy at Wall Street Zen

Key Points

• GAP has been upgraded from a "hold" to a "buy" rating by Wall Street Zen, reflecting a positive outlook on the stock.
• Analysts have varying price targets for GAP, with Citigroup lowering its target from $33 to $30, while Goldman Sachs reduced its target from $28 to $26.
• GAP reported earnings of $0.51 per share for the last quarter, exceeding expectations and showing a year-over-year revenue increase of 2.2%.

GAP (NYSE:GAP - Get Free Report) was upgraded by equities research analysts at Wall Street Zen from a "hold" rating to a "buy" rating in a report released on Saturday.

A number of other equities research analysts have also recently weighed in on GAP. Citigroup lowered their price target on GAP from $33.00 to $30.00 and set a "buy" rating on the stock in a report on Friday, May 30th. UBS Group lowered their price target on GAP from $29.00 to $27.00 and set a "neutral" rating on the stock in a report on Friday, May 30th. Jefferies Financial Group restated a "hold" rating and issued a $29.00 price target (up previously from $26.00) on shares of GAP in a report on Wednesday, May 21st. Telsey Advisory Group restated a "market perform" rating and issued a $26.00 price target on shares of GAP in a report on Friday, May 30th. Finally, The Goldman Sachs Group lowered their price target on GAP from $28.00 to $26.00 and set a "buy" rating on the stock in a report on Tuesday. Seven analysts have rated the stock with a hold rating and nine have issued a buy rating to the company's stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $28.53.

GAP Stock Performance

NYSE GAP opened at $20.64 on Friday. The company has a current ratio of 1.71, a quick ratio of 0.98 and a debt-to-equity ratio of 0.45. The business's 50 day moving average is $22.79 and its two-hundred day moving average is $22.25. GAP has a 12-month low of $16.99 and a 12-month high of $29.29. The stock has a market capitalization of $7.77 billion, a price-to-earnings ratio of 8.94, a PEG ratio of 2.20 and a beta of 2.14.

GAP (NYSE:GAP - Get Free Report) last released its earnings results on Thursday, May 29th. The company reported $0.51 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.44 by $0.07. GAP had a return on equity of 27.86% and a net margin of 5.80%. The company had revenue of $3.46 billion for the quarter, compared to analysts' expectations of $3.41 billion. During the same quarter in the previous year, the firm posted $0.41 EPS. The firm's quarterly revenue was up 2.2% on a year-over-year basis. Research analysts expect that GAP will post 2.02 EPS for the current year.

Insider Buying and Selling at GAP

In other GAP news, CEO Mark Breitbard sold 51,385 shares of the stock in a transaction on Friday, May 16th. The stock was sold at an average price of $27.00, for a total transaction of $1,387,395.00. Following the transaction, the chief executive officer owned 123,985 shares of the company's stock, valued at $3,347,595. This represents a 29.30% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. 30.56% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in the business. Hexagon Capital Partners LLC purchased a new position in shares of GAP during the 1st quarter worth $30,000. Public Employees Retirement System of Ohio lifted its stake in shares of GAP by 4.8% during the 2nd quarter. Public Employees Retirement System of Ohio now owns 71,420 shares of the company's stock worth $1,558,000 after purchasing an additional 3,269 shares during the period. First Horizon Advisors Inc. purchased a new position in shares of GAP during the 1st quarter worth $75,000. Brooklyn Investment Group purchased a new position in shares of GAP during the 1st quarter worth $80,000. Finally, Deseret Mutual Benefit Administrators purchased a new position in shares of GAP during the 1st quarter worth $81,000. Hedge funds and other institutional investors own 58.81% of the company's stock.

GAP Company Profile

Gap, Inc operates as a global apparel retail company, which offers clothing, apparel, accessories, and personal care products for men, women, and children. The firm operates through the following segments: Gap Global, Old Navy Global, Banana Republic Global, Athleta, and Other. The Gap Global segment includes apparel and accessories for men and women under the Gap brand, along with the GapKids, BabyGap, GapMaternity, GapBody, and GapFit collections.

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