Gap Inc (GPS) Expected to Post Earnings of $0.58 Per Share

Brokerages expect that Gap Inc (NYSE:GPS) will post $0.58 earnings per share (EPS) for the current fiscal quarter, Zacks reports. Nine analysts have made estimates for GAP’s earnings, with the lowest EPS estimate coming in at $0.51 and the highest estimate coming in at $0.62. GAP reported earnings of $0.51 per share during the same quarter last year, which suggests a positive year-over-year growth rate of 13.7%. The firm is scheduled to issue its next quarterly earnings report on Thursday, February 22nd.

According to Zacks, analysts expect that GAP will report full year earnings of $2.10 per share for the current fiscal year, with EPS estimates ranging from $2.04 to $2.14. For the next fiscal year, analysts forecast that the business will post earnings of $2.27 per share, with EPS estimates ranging from $2.05 to $2.58. Zacks’ earnings per share averages are a mean average based on a survey of sell-side research firms that that provide coverage for GAP.

GAP (NYSE:GPS) last posted its earnings results on Thursday, November 16th. The apparel retailer reported $0.58 earnings per share for the quarter, beating analysts’ consensus estimates of $0.55 by $0.03. GAP had a net margin of 5.57% and a return on equity of 27.47%. The firm had revenue of $3.84 billion during the quarter, compared to analyst estimates of $3.76 billion. During the same period last year, the firm posted $0.60 earnings per share. GAP’s revenue for the quarter was up 1.1% compared to the same quarter last year.

GPS has been the subject of several recent analyst reports. Zacks Investment Research lowered shares of GAP from a “buy” rating to a “hold” rating in a research note on Monday, October 23rd. Oppenheimer set a $33.00 price objective on shares of GAP and gave the stock a “buy” rating in a research note on Monday, October 30th. Royal Bank of Canada set a $26.00 price objective on shares of GAP and gave the stock a “hold” rating in a research note on Monday, October 30th. TheStreet lowered shares of GAP from a “b” rating to a “c+” rating in a research note on Monday, November 13th. Finally, KeyCorp reaffirmed an “overweight” rating on shares of GAP in a research note on Friday, November 17th. Three equities research analysts have rated the stock with a sell rating, twenty-two have given a hold rating, seven have given a buy rating and one has issued a strong buy rating to the company’s stock. The company currently has a consensus rating of “Hold” and an average target price of $28.58.

GAP (NYSE GPS) opened at $34.81 on Monday. GAP has a fifty-two week low of $21.02 and a fifty-two week high of $35.24. The company has a debt-to-equity ratio of 0.41, a current ratio of 1.73 and a quick ratio of 0.77. The firm has a market cap of $13,536.12, a price-to-earnings ratio of 16.04, a P/E/G ratio of 2.07 and a beta of 0.94.

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, January 31st. Investors of record on Wednesday, January 3rd will be issued a $0.23 dividend. The ex-dividend date of this dividend is Tuesday, January 2nd. This represents a $0.92 annualized dividend and a dividend yield of 2.64%. GAP’s payout ratio is currently 42.40%.

In related news, CEO Jeff Kirwan sold 1,000 shares of GAP stock in a transaction dated Wednesday, November 1st. The stock was sold at an average price of $26.11, for a total value of $26,110.00. Following the completion of the sale, the chief executive officer now directly owns 24,268 shares in the company, valued at $633,637.48. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, major shareholder John J. Fisher sold 850,000 shares of GAP stock in a transaction dated Thursday, November 30th. The shares were sold at an average price of $32.32, for a total value of $27,472,000.00. The disclosure for this sale can be found here. Insiders sold 1,549,690 shares of company stock valued at $48,798,813 over the last 90 days. 27.30% of the stock is currently owned by corporate insiders.

Several hedge funds have recently added to or reduced their stakes in the stock. State of Alaska Department of Revenue raised its holdings in shares of GAP by 25.7% in the fourth quarter. State of Alaska Department of Revenue now owns 53,140 shares of the apparel retailer’s stock valued at $1,808,000 after acquiring an additional 10,850 shares in the last quarter. Schwab Charles Investment Management Inc. raised its holdings in GAP by 1.9% in the fourth quarter. Schwab Charles Investment Management Inc. now owns 1,418,815 shares of the apparel retailer’s stock worth $48,325,000 after purchasing an additional 26,458 shares in the last quarter. Bank of Montreal Can raised its holdings in GAP by 68.9% in the fourth quarter. Bank of Montreal Can now owns 2,212,793 shares of the apparel retailer’s stock worth $75,367,000 after purchasing an additional 902,621 shares in the last quarter. Nisa Investment Advisors LLC raised its holdings in GAP by 10.7% in the fourth quarter. Nisa Investment Advisors LLC now owns 167,612 shares of the apparel retailer’s stock worth $5,709,000 after purchasing an additional 16,155 shares in the last quarter. Finally, Bristol Advisors LLC bought a new position in GAP in the fourth quarter worth about $2,384,000. Hedge funds and other institutional investors own 54.88% of the company’s stock.

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GAP Company Profile

The Gap, Inc (Gap Inc) is an apparel retail company. The Company offers apparel, accessories and personal care products for men, women and children under the Gap, Banana Republic, Old Navy, Athleta and Intermix brands. Its products are available to customers online through Company-owned Websites and through the use of third-parties that provide logistics and fulfillment services.

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Earnings History and Estimates for GAP (NYSE:GPS)

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