GAP’s (GAP) “Neutral” Rating Reaffirmed at JPMorgan Chase & Co.

JPMorgan Chase & Co. reiterated their neutral rating on shares of GAP (NYSE:GAP) in a report issued on Friday morning, MarketBeat Ratings reports. The brokerage currently has a $27.00 target price on the stock, down from their prior target price of $35.00.

Other equities analysts have also issued research reports about the company. TD Cowen lowered their price objective on GAP from $32.00 to $26.00 and set a “buy” rating on the stock in a research note on Monday, May 18th. The Goldman Sachs Group cut their price objective on GAP from $32.00 to $28.00 and set a “buy” rating on the stock in a report on Friday. Wall Street Zen downgraded GAP from a “buy” rating to a “hold” rating in a report on Saturday, March 7th. Citigroup lifted their target price on GAP from $25.00 to $27.00 and gave the stock a “neutral” rating in a report on Friday, March 6th. Finally, Weiss Ratings raised GAP from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Wednesday, March 25th. Two investment analysts have rated the stock with a Strong Buy rating, ten have given a Buy rating and six have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $28.71.

GAP Stock Performance

GAP opened at $21.14 on Friday. The stock has a market cap of $7.72 billion, a price-to-earnings ratio of 8.32, a PEG ratio of 1.45 and a beta of 2.11. 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 $18.68 and a 12-month high of $29.36. The business has a 50 day moving average of $24.20 and a 200-day moving average of $25.66.

GAP (NYSE:GAP) last announced its earnings results on Thursday, May 28th. The company reported $0.38 earnings per share for the quarter, missing analysts’ consensus estimates of $0.39 by ($0.01). The firm had revenue of $3.50 billion for the quarter, compared to the consensus estimate of $3.52 billion. GAP had a return on equity of 21.17% and a net margin of 6.25%.GAP’s revenue for the quarter was up 1.0% on a year-over-year basis. During the same quarter last year, the business posted $0.51 EPS. GAP has set its FY 2026 guidance at 2.300-2.400 EPS. On average, equities research analysts expect that GAP will post 2.29 earnings per share for the current year.

GAP Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, July 29th. Stockholders of record on Wednesday, July 8th will be paid a $0.175 dividend. This represents a $0.70 dividend on an annualized basis and a dividend yield of 3.3%. The ex-dividend date is Wednesday, July 8th. GAP’s payout ratio is presently 27.56%.

Insider Transactions at GAP

In other news, major shareholder John J. Fisher sold 300,000 shares of the business’s stock in a transaction that occurred on Wednesday, April 8th. The stock was sold at an average price of $25.40, for a total value of $7,620,000.00. Following the transaction, the insider owned 446,781 shares in the company, valued at $11,348,237.40. The trade was a 40.17% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Mark Breitbard sold 119,155 shares of the business’s stock in a transaction that occurred on Tuesday, March 17th. The stock was sold at an average price of $23.80, for a total value of $2,835,889.00. Following the completion of the transaction, the chief executive officer owned 135,884 shares in the company, valued at $3,234,039.20. The trade was a 46.72% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders have sold 923,098 shares of company stock worth $22,648,158. 31.00% of the stock is owned by insiders.

Hedge Funds Weigh In On GAP

A number of hedge funds and other institutional investors have recently modified their holdings of GAP. Cullen Frost Bankers Inc. purchased a new position in shares of GAP in the 4th quarter worth approximately $26,000. Plato Investment Management Ltd purchased a new position in shares of GAP in the 4th quarter worth approximately $28,000. V Square Quantitative Management LLC purchased a new position in shares of GAP in the 4th quarter worth approximately $31,000. Cornerstone Planning Group LLC purchased a new position in shares of GAP in the 3rd quarter worth approximately $35,000. Finally, EverSource Wealth Advisors LLC boosted its stake in shares of GAP by 177.0% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 7,016 shares of the company’s stock worth $153,000 after buying an additional 4,483 shares during the last quarter. 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:

• Negative Sentiment: The Gap reported Q1 EPS of $0.38, missing estimates, and revenue of $3.50 billion, also slightly below expectations. The market is reacting to the earnings miss and lower revenue trend. Article Title
• Negative Sentiment: Management lowered fiscal 2026 revenue guidance to 1% to 2% growth from 2% to 3%, citing slower Old Navy growth and weaker-than-expected spring/summer demand. Article Title
• Negative Sentiment: Several headlines highlighted that shares fell sharply after the company’s cautious Q2 outlook and sales guidance reset, with analysts and media focusing on the weak consumer backdrop and pressure on nonessential spending. Article Title
• Neutral Sentiment: Gap still posted 2% comparable sales growth for a ninth straight quarter, and the flagship Gap brand remained relatively strong, which partially offsets the weaker outlook. Article Title
• Neutral Sentiment: Analysts broadly kept positive or neutral ratings but lowered price targets, signaling that Wall Street sees upside from current levels, while acknowledging slower near-term growth. Article Title
• Negative Sentiment: A shareholder investigation notice added another overhang, reflecting investor concern that the quarter’s results may have involved disclosure or securities-law issues. Article Title

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.