The Gap Inc. [NYSE: GPS] price plunged by -4.84 percent to reach at -$1.7. The company report on May 28, 2021 that Gap Inc. Reports First Quarter Results.
First quarter comparable sales increased 28% year-over year, and 13% versus 2019.
Net sales of $4 billion were up 89% versus 2020 and up 8% compared to 2019 pre-COVID levels.
A sum of 15246135 shares traded at recent session while its average daily volume was at 6.64M shares. The Gap Inc. shares reached a high of $35.14 and dropped to a low of $32.86 until finishing in the latest session at $33.45.
The one-year GPS stock forecast points to a potential downside of -4.17. The average equity rating for GPS stock is currently 2.80, trading closer to a bullish pattern in the stock market.
Guru’s Opinion on The Gap Inc. [GPS]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for GPS shares is $32.11 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on GPS stock is a recommendation set at 2.80. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Telsey Advisory Group have made an estimate for The Gap Inc. shares, keeping their opinion on the stock as Market Perform, with their previous recommendation back on May 28, 2021. While these analysts kept the previous recommendation, Telsey Advisory Group raised their target price from $27 to $35. The new note on the price target was released on May 25, 2021, representing the official price target for The Gap Inc. stock. Previously, the target price had yet another raise to $23, while Credit Suisse analysts kept a Neutral rating on GPS stock.
The Average True Range (ATR) for The Gap Inc. is set at 1.72, with the Price to Sales ratio for GPS stock in the period of the last 12 months amounting to 0.84. The Price to Book ratio for the last quarter was 4.83, with the Price to Cash per share for the same quarter was set at 6.09. Price to Free Cash Flow for GPS in the course of the last twelve months was 14.58 with Quick ratio for the last quarter at 0.90.
GPS Stock Performance Analysis:
The Gap Inc. [GPS] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 2.80. With this latest performance, GPS shares dropped by -1.18% in over the last four-week period, additionally plugging by 54.86% over the last 6 months – not to mention a rise of 275.84% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for GPS stock in for the last two-week period is set at 49.41, with the RSI for the last a single of trading hit 47.37, and the three-weeks RSI is set at 51.42 for The Gap Inc. [GPS]. The present Moving Average for the last 50 days of trading for this stock 32.63, while it was recorded at 33.61 for the last single week of trading, and 23.96 for the last 200 days.
Insight into The Gap Inc. Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and The Gap Inc. [GPS] shares currently have an operating margin of -2.25 and a Gross Margin at +34.00. The Gap Inc.’s Net Margin is presently recorded at -4.82.
Return on Total Capital for GPS is now -2.92, given the latest momentum, and Return on Invested Capital for the company is -6.81. Return on Equity for this stock declined to -22.43, with Return on Assets sitting at -4.85. When it comes to the capital structure of this company, The Gap Inc. [GPS] has a Total Debt to Total Equity ratio set at 293.19. Additionally, GPS Total Debt to Total Capital is recorded at 74.57, with Total Debt to Total Assets ending up at 55.66. Long-Term Debt to Equity for the company is recorded at 261.40, with the Long-Term Debt to Total Capital now at 66.48.
Reflecting on the efficiency of the workforce at the company, The Gap Inc. [GPS] managed to generate an average of -$5,684 per employee. Receivables Turnover for the company is 40.65 with a Total Asset Turnover recorded at a value of 1.01.The Gap Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 0.90 and a Current Ratio set at 1.50.
GPS Stock EPS
With the latest financial reports released by the company, The Gap Inc. posted -0.17/share EPS, while the average EPS was predicted by analysts to be reported at -0.41/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 58.50%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for GPS. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for The Gap Inc. go to 4.90%.
The Gap Inc. [GPS] Insider Position Details
There are presently around $6,713 million, or 54.90% of GPS stock, in the hands of institutional investors. The top three institutional holders of GPS stocks are: VANGUARD GROUP INC with ownership of 26,508,356, which is approximately 1.47% of the company’s market cap and around 8.90% of the total institutional ownership; DODGE & COX, holding 24,299,762 shares of the stock with an approximate value of $812.83 million in GPS stocks shares; and BLACKROCK INC., currently with $534.28 million in GPS stock with ownership of nearly 29.937% of the company’s market capitalization.
Positions in The Gap Inc. stocks held by institutional investors increased at the end of May and at the time of the May reporting period, where 187 institutional holders increased their position in The Gap Inc. [NYSE:GPS] by around 44,465,799 shares. Additionally, 234 investors decreased positions by around 40,201,812 shares, while 59 investors held positions by with 116,020,716 shares. The mentioned changes placed institutional holdings at 200,688,327 shares, according to the latest SEC report filing. GPS stock had 92 new institutional investments in for a total of 10,640,293 shares, while 74 institutional investors sold positions of 17,834,980 shares during the same period.