The Gap, Inc. (NYSE:GAP) Receives Average Rating of “Moderate Buy” from Brokerages

Shares of The Gap, Inc. (NYSE:GAP) have earned a consensus rating of “Moderate Buy” from the thirteen ratings firms that are presently covering the firm, Marketbeat reports. Five equities research analysts have rated the stock with a hold recommendation and eight have issued a buy recommendation on the company. The average 1 year price objective among analysts that have covered the stock in the last year is $28.31.

Several brokerages have recently issued reports on GAP. Argus upgraded GAP from a “hold” rating to a “buy” rating and set a $27.00 price target on the stock in a research note on Tuesday, January 21st. Citigroup decreased their target price on GAP from $32.00 to $22.00 and set a “buy” rating on the stock in a research report on Tuesday, April 8th. Barclays raised their price target on shares of GAP from $32.00 to $33.00 and gave the company an “overweight” rating in a research note on Friday, March 7th. Robert W. Baird dropped their price objective on shares of GAP from $31.00 to $29.00 and set a “neutral” rating for the company in a research note on Friday, March 7th. Finally, JPMorgan Chase & Co. decreased their target price on shares of GAP from $30.00 to $25.00 and set an “overweight” rating on the stock in a research note on Monday, April 14th.

Insider Buying and Selling

In related news, insider Sarah Gilligan sold 29,813 shares of GAP stock in a transaction on Friday, March 14th. The shares were sold at an average price of $20.34, for a total transaction of $606,396.42. Following the completion of the transaction, the insider now owns 2,634 shares of the company’s stock, valued at $53,575.56. This trade represents a 91.88 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Horacio Barbeito sold 40,764 shares of the stock in a transaction dated Friday, March 21st. The stock was sold at an average price of $20.07, for a total value of $818,133.48. Following the sale, the chief executive officer now owns 308 shares of the company’s stock, valued at approximately $6,181.56. The trade was a 99.25 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 177,495 shares of company stock valued at $3,598,459 over the last ninety days. 31.00% of the stock is owned by company insiders.

Hedge Funds Weigh In On GAP

Institutional investors have recently added to or reduced their stakes in the business. FNY Investment Advisers LLC acquired a new stake in shares of GAP during the 1st quarter worth approximately $91,000. GAMMA Investing LLC acquired a new position in shares of GAP during the 1st quarter valued at $96,000. Handelsbanken Fonder AB bought a new position in GAP during the first quarter worth $1,107,000. Polianta Ltd acquired a new stake in GAP in the first quarter worth $1,150,000. Finally, SG Americas Securities LLC bought a new stake in GAP in the first quarter valued at $3,519,000. 58.81% of the stock is owned by institutional investors and hedge funds.

GAP Stock Up 4.9 %

Shares of NYSE GAP opened at $19.13 on Monday. The stock has a market capitalization of $7.20 billion, a P/E ratio of 8.86, a PEG ratio of 0.94 and a beta of 2.15. The stock’s fifty day moving average is $20.81 and its 200 day moving average is $22.34. GAP has a 52 week low of $16.99 and a 52 week high of $26.41. The company has a debt-to-equity ratio of 0.47, a quick ratio of 0.84 and a current ratio of 1.54.

GAP (NYSE:GAP) last issued its earnings results on Thursday, March 6th. The company reported $0.54 EPS for the quarter, beating the consensus estimate of $0.36 by $0.18. The company had revenue of $4.15 billion during the quarter, compared to analysts’ expectations of $4.07 billion. GAP had a net margin of 5.40% and a return on equity of 29.03%. Sell-side analysts forecast that GAP will post 2.02 earnings per share for the current fiscal year.

GAP Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 30th. Stockholders of record on Wednesday, April 9th will be given a dividend of $0.165 per share. This represents a $0.66 dividend on an annualized basis and a dividend yield of 3.45%. This is an increase from GAP’s previous quarterly dividend of $0.15. The ex-dividend date is Wednesday, April 9th. GAP’s dividend payout ratio (DPR) is 29.86%.

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.