Analyst Ratings for Gap Inc. (GPS)

Updated: 2017-07-29

Analysts covering Gap Inc. (NYSE:GPS) have given it a consensus rating of Hold. A consensus rating of Hold was previously issued for GPS last month.

4 analysts declared GPS a buy, 0 gave an overweight rating, 18 issued a hold rating, 2 gave an underweight rating, and 4 issued a sell rating. Today, there are 1 more analysts optimistic about the company future as compared with 90 days ago. Meanwhile, the number of analysts pessimistic about the company has increased by 0.

Several price targets were given for GPS by the analysts covering the stock. The most optimistic analyst gave a price target of 35, implying potential capital gains of 47.12 percent. The lowest price target was 20, implying potential capital losses of -15.93 percent. Many analysts are not unbiased in their coverage of stocks, including price targets and stock ratings, so care must be taken in interpreting numbers released by them.

In the last 30 days, analysts have changed their quarterly earnings estimates upwards by an average of 0 percent. This can be compared with the average change in earnings estimates over the past 3 months, which is -7.14 percent. Over the past 30 days, FY earnings estimates have also changed upwards by 0 percent. If we look at the last 90 days instead, we find a net average change of 0.76 percent in FY estimates.

Investors like to see analysts making revisions in the same direction, as that raises confidence in the revisions. 2 analysts made positive revisions to their quarterly estimates over the past month, which can be compared to the 0 analysts that decreased their estimates. Also over the last month, 2 analysts increased their estimates for the FY earnings, while 0 analysts made negative revisions to their fiscal year's estimates.

The growth rate of GPS's earnings is estimated by analysts to be 13.17 percent. People on Wall Street often look at a company's PEG ratio. Smaller PEG ratios are desirable, because that is often interpreted as the company being fairly priced relative to its growth rate. Many investors consider PEG ratios between 0 and 1 as preferrable, though it could be better to see where the ratio stands relative to peers in the industry. The PEG ratio of GPS is 1.04.

GPS has a 52-week high of 30.74 and a 52-week low of 21.02. The current market price is above the trailing year's low by 13.18 percent, and below the high by 22.61 percent. GPS has a P/E ratio of 13.75. Investors typically compare the P/E ratio to a company's peers in the industry. The GPS value stock report compares GPS to some of its peers using value stock charts. The stock has a market capitalization of $9.6 billion. GPS's next earnings release will be on 0000-00-00, which is days away.