Citigroup Inc. Downgrades Gap Inc. (GPS) to Sell
Gap Inc. (NYSE:GPS) was downgraded by stock analysts at Citigroup Inc. from a “neutral” rating to a “sell” rating in a research report issued to clients and investors on Friday.
A number of other equities analysts have also weighed in on GPS. Vetr lowered Gap from a “hold” rating to a “sell” rating and set a $23.22 target price for the company. in a research report on Thursday, July 21st. Wolfe Research upgraded Gap from a “peer perform” rating to an “outperform” rating and set a $30.00 price target for the company in a research note on Monday, July 25th. Standpoint Research downgraded Gap from a “buy” rating to a “hold” rating in a research note on Monday, July 25th. Wells Fargo & Co. restated a “market perform” rating and set a $26.00 price target (up from $21.00) on shares of Gap in a research note on Tuesday, July 26th. Finally, FBR & Co set a $22.00 price target on Gap and gave the company a “hold” rating in a research note on Friday, August 5th. Six equities research analysts have rated the stock with a sell rating, twenty-four have assigned a hold rating and five have assigned a buy rating to the company. The stock currently has an average rating of “Hold” and a consensus price target of $24.65.
Shares of Gap (NYSE:GPS) opened at 30.71 on Friday. The stock has a market capitalization of $12.24 billion, a P/E ratio of 17.30 and a beta of 1.06. Gap has a 52 week low of $17.00 and a 52 week high of $30.74. The company has a 50-day moving average of $26.38 and a 200-day moving average of $23.32.
Gap (NYSE:GPS) last issued its earnings results on Thursday, November 17th. The apparel retailer reported $0.60 earnings per share for the quarter, hitting the Zacks’ consensus estimate of $0.60. Gap had a return on equity of 33.26% and a net margin of 4.60%. The business earned $3.80 billion during the quarter, compared to analyst estimates of $3.74 billion. During the same quarter in the previous year, the firm earned $0.63 EPS. Gap’s revenue was down 1.5% on a year-over-year basis. On average, analysts anticipate that Gap will post $2.02 EPS for the current year.
The firm also recently declared a quarterly dividend, which will be paid on Wednesday, January 25th. Shareholders of record on Wednesday, January 4th will be paid a $0.23 dividend. This represents a $0.92 dividend on an annualized basis and a yield of 3.00%. The ex-dividend date of this dividend is Friday, December 30th. Gap’s dividend payout ratio (DPR) is presently 51.98%.
Several hedge funds and other institutional investors have recently made changes to their positions in the company. Blair William & Co. IL boosted its position in shares of Gap by 0.5% in the second quarter. Blair William & Co. IL now owns 18,164 shares of the apparel retailer’s stock valued at $385,000 after buying an additional 84 shares during the last quarter. Cypress Capital Group boosted its position in shares of Gap by 0.9% in the first quarter. Cypress Capital Group now owns 16,426 shares of the apparel retailer’s stock valued at $482,000 after buying an additional 148 shares during the last quarter. Sumitomo Mitsui Asset Management Company LTD boosted its position in shares of Gap by 0.9% in the third quarter. Sumitomo Mitsui Asset Management Company LTD now owns 18,783 shares of the apparel retailer’s stock valued at $417,000 after buying an additional 166 shares during the last quarter. Charter Trust Co. boosted its position in shares of Gap by 1.6% in the second quarter. Charter Trust Co. now owns 11,374 shares of the apparel retailer’s stock valued at $241,000 after buying an additional 175 shares during the last quarter. Finally, World Asset Management Inc boosted its position in shares of Gap by 0.9% in the third quarter. World Asset Management Inc now owns 25,916 shares of the apparel retailer’s stock valued at $576,000 after buying an additional 223 shares during the last quarter. Hedge funds and other institutional investors own 57.23% of the company’s stock.
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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