TD Cowen Raises GAP (NYSE:GAP) Price Target to $27.00

GAP (NYSE:GAP) had its price target raised by investment analysts at TD Cowen from $23.00 to $27.00 in a research note issued on Friday,Benzinga reports. The brokerage presently has a “buy” rating on the stock. TD Cowen’s price objective would indicate a potential upside of 13.68% from the stock’s previous close.

Other equities analysts have also issued research reports about the stock. Barclays increased their target price on shares of GAP from $20.00 to $23.00 and gave the stock an “equal weight” rating in a research report on Friday. The Goldman Sachs Group decreased their price target on shares of GAP from $28.00 to $25.00 and set a “buy” rating on the stock in a report on Thursday, August 20th. Jefferies Financial Group cut shares of GAP from a “buy” rating to a “hold” rating and lowered their price objective for the company from $29.00 to $23.00 in a research report on Wednesday, August 12th. Weiss Ratings downgraded shares of GAP from a “hold (c+)” rating to a “hold (c)” rating in a report on Tuesday, July 28th. Finally, Evercore set a $20.00 target price on shares of GAP and gave the stock an “in-line” rating in a research report on Friday, May 29th. Two investment analysts have rated the stock with a Strong Buy rating, five have assigned a Buy rating, ten have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company has a consensus rating of “Hold” and an average price target of $27.21.

GAP Stock Performance

Shares of NYSE GAP traded up $2.96 during trading on Friday, reaching $23.75. 13,678,246 shares of the stock traded hands, compared to its average volume of 7,799,565. The company has a debt-to-equity ratio of 0.41, a current ratio of 1.81 and a quick ratio of 1.08. The stock has a market capitalization of $8.55 billion, a P/E ratio of 9.35, a price-to-earnings-growth ratio of 1.25 and a beta of 2.05. GAP has a 52-week low of $18.11 and a 52-week high of $29.36. The company has a 50-day moving average of $20.01 and a 200-day moving average of $22.87.

GAP (NYSE:GAP) last announced its quarterly earnings data on Thursday, August 27th. The company reported $0.52 earnings per share for the quarter, topping the consensus estimate of $0.48 by $0.04. GAP had a return on equity of 21.13% and a net margin of 6.25%.The company had revenue of $3.65 billion during the quarter, compared to analyst estimates of $3.69 billion. During the same quarter last year, the firm posted $0.57 EPS. The firm’s revenue for the quarter was down 2.0% on a year-over-year basis. GAP has set its FY 2026 guidance at 2.350-2.450 EPS. Analysts forecast that GAP will post 2.33 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of GAP. Miller Howard Investments Inc. NY grew its holdings in shares of GAP by 112.2% during the 1st quarter. Miller Howard Investments Inc. NY now owns 1,704,021 shares of the company’s stock valued at $41,237,000 after purchasing an additional 900,855 shares during the last quarter. LSV Asset Management lifted its stake in GAP by 3.6% in the fourth quarter. LSV Asset Management now owns 3,462,702 shares of the company’s stock worth $88,645,000 after purchasing an additional 121,001 shares during the last quarter. BlackRock Inc. bought a new stake in GAP in the second quarter worth $428,824,000. Redwood Investment Management LLC purchased a new stake in GAP during the second quarter valued at about $1,185,000. Finally, Robinhood Asset Management LLC purchased a new stake in GAP during the second quarter valued at about $6,312,000. 58.81% of the stock is currently owned by institutional investors.

Trending Headlines about GAP

Here are the key news stories impacting GAP this week:

• Positive Sentiment: Old Navy leadership overhaul: Gap appointed retail veteran Michael Francis as Old Navy’s president and CEO, effective November 2. Francis, who has experience at Walmart and Target, will replace Haio Barbeito and is expected to address weakening sales at the company’s largest brand. Gap shares jump after Old Navy brings in new CEO to revive brand
• Positive Sentiment: Quarterly profit beat and higher EPS forecast: Second-quarter adjusted earnings of $0.52 per share exceeded the $0.48 consensus estimate. Gross margin expanded to 41.4%, and Gap raised fiscal 2026 EPS guidance to $2.35–$2.45, above the $2.33 analyst consensus. The namesake Gap and Banana Republic brands reportedly outperformed expectations, helping offset weakness elsewhere. Gap lifts annual profit forecast on strength of namesake brand
• Positive Sentiment: Shareholder returns and operating discipline: Gap said it returned $726 million to shareholders through buybacks and dividends year to date, while exceeding reported and adjusted operating-margin expectations. Gap Inc. Reports Second Quarter Fiscal 2026 Results
• Neutral Sentiment: Analyst views improved but remain mixed: BTIG and Bank of America raised their price targets to $27, while BTIG rated the stock “buy” and Bank of America remained “neutral.” Morgan Stanley lifted its target to $23 but maintained an “equal weight” rating, indicating limited near-term conviction.
• Negative Sentiment: Sales remain pressured: Second-quarter revenue fell 2% year over year to $3.65 billion, below the $3.69 billion consensus, while comparable sales declined 1%. Fiscal-year revenue guidance of approximately $15.6 billion is also slightly below expectations, underscoring continued challenges at Old Navy and in a cautious consumer environment. Gap announces new Old Navy CEO following sluggish quarterly sales

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.