Barclays Has Lowered Expectations for GAP (NYSE:GAP) Stock Price

GAP (NYSE:GAP) had its target price cut by Barclays from $33.00 to $26.00 in a research report issued to clients and investors on Friday,Benzinga reports. The brokerage presently has an “overweight” rating on the stock. Barclays‘s price target suggests a potential upside of 24.65% from the stock’s current price.

Several other brokerages also recently issued reports on GAP. Evercore set a $20.00 price target on GAP and gave the stock an “in-line” rating in a report on Friday. TD Cowen cut their target price on GAP from $32.00 to $26.00 and set a “buy” rating on the stock in a research note on Monday, May 18th. Citigroup boosted their price target on shares of GAP from $25.00 to $27.00 and gave the stock a “neutral” rating in a report on Friday, March 6th. BTIG Research reiterated a “buy” rating and issued a $28.00 price objective on shares of GAP in a research note on Friday. Finally, Weiss Ratings upgraded shares of GAP from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Wednesday, March 25th. Two research analysts have rated the stock with a Strong Buy rating, ten have issued a Buy rating and six have given a Hold rating to the company’s stock. According to data from MarketBeat.com, GAP currently has an average rating of “Moderate Buy” and an average price target of $29.14.

GAP Trading Down 16.6%

GAP traded down $4.14 during trading on Friday, hitting $20.86. The company’s stock had a trading volume of 12,311,128 shares, compared to its average volume of 7,770,943. The firm has a market capitalization of $7.62 billion, a P/E ratio of 9.74, a PEG ratio of 1.39 and a beta of 2.11. GAP has a twelve month low of $18.68 and a twelve month high of $29.36. The stock’s fifty day moving average price is $24.26 and its 200-day moving average price is $25.69. 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 (NYSE:GAP) last announced its quarterly earnings data on Thursday, May 28th. The company reported $0.38 EPS for the quarter, missing analysts’ consensus estimates of $0.39 by ($0.01). GAP had a net margin of 5.31% and a return on equity of 22.98%. The firm had revenue of $3.50 billion during the quarter, compared to analyst estimates of $3.52 billion. During the same period last year, the business posted $0.51 EPS. The company’s revenue was up 1.0% on a year-over-year basis. GAP has set its FY 2026 guidance at 2.300-2.400 EPS. Analysts anticipate that GAP will post 2.29 EPS for the current year.

Insider Buying and Selling at GAP

In other GAP news, insider Julie Gruber sold 5,302 shares of the business’s stock in a transaction that occurred on Friday, April 17th. The stock was sold at an average price of $27.00, for a total value of $143,154.00. Following the completion of the sale, the insider owned 58,414 shares in the company, valued at approximately $1,577,178. The trade was a 8.32% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, major shareholder John J. Fisher sold 300,000 shares of the stock in a transaction dated Wednesday, April 8th. The stock was sold at an average price of $25.40, for a total transaction of $7,620,000.00. Following the sale, the insider owned 446,781 shares of the company’s stock, valued at approximately $11,348,237.40. This represents a 40.17% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders have sold 923,098 shares of company stock valued at $22,648,158. 31.00% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On GAP

Institutional investors have recently bought and sold shares of the stock. LSV Asset Management lifted its position in GAP by 3.6% during the fourth quarter. LSV Asset Management now owns 3,462,702 shares of the company’s stock valued at $88,645,000 after buying an additional 121,001 shares during the period. Quantbot Technologies LP purchased a new stake in GAP during the 3rd quarter valued at about $1,845,000. Quent Capital LLC increased its stake in GAP by 1,900.2% during the 4th quarter. Quent Capital LLC now owns 21,202 shares of the company’s stock valued at $543,000 after purchasing an additional 20,142 shares in the last quarter. Miller Howard Investments Inc. NY bought a new stake in GAP during the 4th quarter valued at about $20,561,000. Finally, Neo Ivy Capital Management purchased a new position in GAP in the 3rd quarter worth approximately $3,555,000. 58.81% of the stock is owned by institutional investors.

More GAP News

Here are the key news stories impacting GAP this week:

• Positive Sentiment: Gap reported positive comparable sales for the ninth straight quarter, with net sales up 1% and gross margin of 40.5% topping expectations. The company also raised its full-year EPS outlook, and Goldman Sachs and BTIG both reiterated buy ratings with a $28 price target, suggesting analysts still see upside from current levels. Gap Inc. Reports First Quarter Fiscal 2026 Results, Raises Full Year Earnings Per Share Outlook
• Neutral Sentiment: The company posted adjusted-looking mixed quarter details, with EPS of $0.38 versus $0.39 expected and revenue of $3.50 billion versus $3.52 billion expected, indicating the results were close to forecasts but not strong enough to offset concerns about guidance. Gap Quarterly Earnings Report
• Negative Sentiment: Management lowered full-year sales guidance, citing weaker-than-expected performance at Old Navy and a cautious consumer backdrop. Reuters also noted apparel stocks fell on signs that discretionary spending remains constrained, which is weighing on sentiment around GAP. Reuters: Gap, American Eagle fall as weak apparel demand signals constrained consumer spending

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.