GAP (NYSE:GAP) Announces Quarterly Earnings Results

GAP (NYSE:GAP) released its earnings results on Thursday. The company reported $0.54 earnings per share for the quarter, beating the consensus estimate of $0.36 by $0.18, Zacks reports. GAP had a return on equity of 29.03% and a net margin of 5.40%. The company had revenue of $4.15 billion for the quarter, compared to analysts’ expectations of $4.07 billion. GAP updated its FY 2025 guidance to EPS.

GAP Stock Up 19.3 %

Shares of NYSE GAP opened at $23.24 on Friday. GAP has a 12 month low of $18.54 and a 12 month high of $30.75. The company has a market cap of $8.76 billion, a P/E ratio of 10.76, a P/E/G ratio of 0.94 and a beta of 2.36. The stock has a 50 day simple moving average of $23.14. The company has a current ratio of 1.54, a quick ratio of 0.84 and a debt-to-equity ratio of 0.47.

GAP Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, April 30th. Investors of record on Wednesday, April 9th will be paid a dividend of $0.165 per share. This is an increase from GAP’s previous quarterly dividend of $0.15. The ex-dividend date is Wednesday, April 9th. This represents a $0.66 annualized dividend and a yield of 2.84%. GAP’s dividend payout ratio is presently 30.56%.

Insider Activity

In other news, major shareholder John J. Fisher sold 250,000 shares of the company’s stock in a transaction dated Friday, December 13th. The shares were sold at an average price of $24.18, for a total transaction of $6,045,000.00. Following the completion of the transaction, the insider now owns 1,000,752 shares of the company’s stock, valued at approximately $24,198,183.36. This represents a 19.99 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director William Sydney Fisher sold 123,950 shares of GAP stock in a transaction dated Monday, December 9th. The stock was sold at an average price of $26.24, for a total value of $3,252,448.00. Following the sale, the director now directly owns 3,696,517 shares in the company, valued at approximately $96,996,606.08. This trade represents a 3.24 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 31.00% of the stock is owned by company insiders.

Analyst Ratings Changes

Several equities research analysts recently commented on GAP shares. Robert W. Baird lowered their price target on GAP from $31.00 to $29.00 and set a “neutral” rating for the company in a research note on Friday. Barclays boosted their target price on shares of GAP from $32.00 to $33.00 and gave the stock an “overweight” rating in a research report on Friday. Morgan Stanley raised their price target on shares of GAP from $29.00 to $30.00 and gave the company an “overweight” rating in a report on Friday, November 22nd. Evercore ISI lifted their price objective on shares of GAP from $32.00 to $33.00 and gave the company an “outperform” rating in a research note on Friday, November 22nd. Finally, BMO Capital Markets increased their target price on shares of GAP from $23.00 to $25.00 and gave the stock a “market perform” rating in a research report on Friday, November 22nd. Five research analysts have rated the stock with a hold rating and seven have given a buy rating to the stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $29.33.

About GAP

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.