Zacks: Analysts Anticipate Gap Inc (NYSE:GPS) Will Announce Earnings of $0.53 Per Share

Equities analysts expect Gap Inc (NYSE:GPS) to post earnings of $0.53 per share for the current fiscal quarter, Zacks Investment Research reports. Eight analysts have provided estimates for GAP’s earnings, with the highest EPS estimate coming in at $0.56 and the lowest estimate coming in at $0.46. GAP posted earnings per share of $0.76 in the same quarter last year, which would indicate a negative year over year growth rate of 30.3%. The firm is scheduled to announce its next quarterly earnings report on Thursday, August 22nd.

On average, analysts expect that GAP will report full-year earnings of $2.05 per share for the current financial year, with EPS estimates ranging from $1.83 to $2.15. For the next fiscal year, analysts anticipate that the firm will post earnings of $2.13 per share, with EPS estimates ranging from $1.64 to $2.51. Zacks Investment Research’s EPS calculations are a mean average based on a survey of analysts that follow GAP.

GAP (NYSE:GPS) last posted its quarterly earnings results on Thursday, May 30th. The apparel retailer reported $0.24 EPS for the quarter, missing analysts’ consensus estimates of $0.31 by ($0.07). GAP had a return on equity of 26.73% and a net margin of 6.46%. The business had revenue of $3.71 billion for the quarter, compared to the consensus estimate of $3.78 billion. During the same quarter in the previous year, the business posted $0.42 EPS. The company’s revenue for the quarter was down 2.0% on a year-over-year basis.

Several equities research analysts have issued reports on GPS shares. Bank of America restated an “underperform” rating and set a $15.00 price objective (down from $24.00) on shares of GAP in a research report on Friday, May 31st. B. Riley cut their price objective on shares of GAP from $30.00 to $21.00 and set a “neutral” rating for the company in a research report on Friday, May 31st. JPMorgan Chase & Co. cut their price objective on shares of GAP from $24.00 to $17.00 and set an “underweight” rating for the company in a research report on Friday, May 31st. Royal Bank of Canada set a $22.00 price objective on shares of GAP and gave the stock a “hold” rating in a research report on Friday, May 31st. Finally, Argus restated a “hold” rating on shares of GAP in a research report on Tuesday, June 4th. Five investment analysts have rated the stock with a sell rating, eleven have given a hold rating and two have given a buy rating to the company’s stock. The company has a consensus rating of “Hold” and a consensus target price of $24.73.

GPS stock remained flat at $$17.83 during mid-day trading on Thursday. 4,152,246 shares of the company’s stock traded hands, compared to its average volume of 5,578,058. The firm has a fifty day moving average price of $18.41. The company has a current ratio of 1.49, a quick ratio of 0.70 and a debt-to-equity ratio of 1.92. The firm has a market cap of $6.74 billion, a price-to-earnings ratio of 6.88, a PEG ratio of 0.98 and a beta of 0.71. GAP has a 1 year low of $17.12 and a 1 year high of $32.98.

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, July 31st. Shareholders of record on Wednesday, July 10th were given a dividend of $0.2425 per share. The ex-dividend date of this dividend was Tuesday, July 9th. This represents a $0.97 annualized dividend and a yield of 5.44%. GAP’s dividend payout ratio is currently 37.45%.

In other GAP news, EVP Julie Gruber sold 3,286 shares of the business’s stock in a transaction that occurred on Monday, May 13th. The shares were sold at an average price of $24.00, for a total transaction of $78,864.00. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CEO Mcneil S. Fiske, Jr. sold 16,183 shares of the business’s stock in a transaction that occurred on Friday, June 21st. The shares were sold at an average price of $18.00, for a total transaction of $291,294.00. Following the transaction, the chief executive officer now owns 32,500 shares of the company’s stock, valued at $585,000. The disclosure for this sale can be found here. 37.60% of the stock is owned by insiders.

Institutional investors and hedge funds have recently made changes to their positions in the business. Bremer Bank National Association acquired a new position in GAP during the first quarter valued at approximately $29,000. NuWave Investment Management LLC grew its stake in shares of GAP by 11,075.0% during the first quarter. NuWave Investment Management LLC now owns 2,235 shares of the apparel retailer’s stock worth $58,000 after buying an additional 2,215 shares during the last quarter. Atlas Capital Advisors LLC bought a new stake in shares of GAP during the second quarter worth $52,000. Legacy Advisors LLC bought a new stake in shares of GAP during the first quarter worth $88,000. Finally, Parallel Advisors LLC grew its stake in shares of GAP by 103.5% during the first quarter. Parallel Advisors LLC now owns 3,623 shares of the apparel retailer’s stock worth $95,000 after buying an additional 1,843 shares during the last quarter. Institutional investors and hedge funds own 56.99% of the company’s stock.

About GAP

The Gap, Inc operates as an apparel retail company worldwide. The company offers apparel, accessories, and personal care products for men, women, and children under the Old Navy, Gap, Banana Republic, Athleta, Intermix, and Hill City brands. Its products include denim, tees, button-downs, khakis, and other products; and fitness and lifestyle products for use in yoga, training, sports, travel, and everyday activities to women and girls.

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