Deutsche Bank AG Takes Position in The Gap, Inc. $GAP

Deutsche Bank AG bought a new position in shares of The Gap, Inc. (NYSE:GAP) in the second quarter, HoldingsChannel reports. The institutional investor bought 95,186 shares of the company’s stock, valued at approximately $1,778,000.

Several other large investors have also made changes to their positions in GAP. Ameriprise Financial Inc. increased its position in GAP by 4.1% in the third quarter. Ameriprise Financial Inc. now owns 4,588,800 shares of the company’s stock worth $98,154,000 after purchasing an additional 180,991 shares during the period. Geode Capital Management LLC lifted its position in GAP by 0.3% during the 4th quarter. Geode Capital Management LLC now owns 4,291,846 shares of the company’s stock valued at $110,750,000 after purchasing an additional 14,141 shares during the period. LSV Asset Management lifted its position in GAP by 3.6% during the 4th quarter. LSV Asset Management now owns 3,462,702 shares of the company’s stock valued at $88,645,000 after purchasing an additional 121,001 shares during the period. Bank of New York Mellon Corp boosted its stake in shares of GAP by 13.0% in the 4th quarter. Bank of New York Mellon Corp now owns 3,195,934 shares of the company’s stock valued at $81,816,000 after purchasing an additional 368,191 shares during the last quarter. Finally, Miller Howard Investments Inc. NY boosted its stake in shares of GAP by 112.2% in 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. Institutional investors and hedge funds own 58.81% of the company’s stock.

GAP Stock Up 12.9%

GAP stock opened at $23.48 on Friday. The firm has a market capitalization of $8.45 billion, a price-to-earnings ratio of 7.01, a PEG ratio of 1.23 and a beta of 2.05. The company’s 50 day simple moving average is $20.06 and its 200 day simple moving average is $22.87. 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 Gap, Inc. has a fifty-two week low of $18.11 and a fifty-two week high of $29.36.

GAP (NYSE:GAP) last announced its quarterly earnings results on Thursday, August 27th. The company reported $0.52 earnings per share for the quarter, topping analysts’ consensus estimates of $0.48 by $0.04. GAP had a net margin of 8.14% and a return on equity of 20.05%. The company had revenue of $3.65 billion for the quarter, compared to analysts’ expectations of $3.69 billion. During the same period last year, the firm posted $0.57 earnings per share. The business’s quarterly revenue was down 2.0% compared to the same quarter last year. GAP has set its FY 2026 guidance at 2.350-2.450 EPS. As a group, sell-side analysts anticipate that The Gap, Inc. will post 2.33 EPS for the current year.

GAP Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, October 28th. Shareholders of record on Wednesday, October 7th will be issued a $0.175 dividend. This represents a $0.70 annualized dividend and a dividend yield of 3.0%. The ex-dividend date is Wednesday, October 7th. GAP’s dividend payout ratio is 27.56%.

Analyst Ratings Changes

A number of equities research analysts recently weighed in on GAP shares. Jefferies Financial Group downgraded shares of GAP from a “buy” rating to a “hold” rating and dropped their price target for the stock from $29.00 to $23.00 in a research note on Wednesday, August 12th. Barclays lifted their target price on shares of GAP from $20.00 to $23.00 and gave the stock an “equal weight” rating in a report on Friday. BTIG Research upped their target price on shares of GAP from $26.00 to $27.00 and gave the company a “buy” rating in a research report on Friday. TD Cowen increased their price target on GAP from $23.00 to $27.00 and gave the company a “buy” rating in a research note on Friday. Finally, The Goldman Sachs Group reduced their price target on GAP from $28.00 to $25.00 and set a “buy” rating on the stock in a research report on Thursday, August 20th. Two analysts have rated the stock with a Strong Buy rating, five have assigned a Buy rating, ten have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company presently has a consensus rating of “Hold” and an average target price of $27.21.

More GAP News

Here are the key news stories impacting GAP this week:

• Positive Sentiment: Quarterly earnings beat expectations: Adjusted EPS was $0.52, exceeding the $0.48 consensus estimate. Gross margin expanded 20 basis points to 41.4%, helping Gap outperform operating-profit expectations despite weaker sales. Gap names Michael Francis Old Navy CEO as quarterly profit beats estimates
• Positive Sentiment: Profit outlook raised: The company now expects fiscal 2026 EPS of $2.35 to $2.45, above the roughly $2.33 analyst consensus. Management cited continued momentum at the Gap brand, margin discipline and strength at Banana Republic. Gap lifts annual profit forecast on strength of namesake brand
• Positive Sentiment: Old Navy leadership reset: Michael Francis, a retail veteran with experience at Walmart and Target, will become Old Navy’s president and CEO on November 2, replacing Haio Barbeito. Investors appear hopeful that Francis can improve the company’s largest brand. Gap shares jump after Old Navy brings in new CEO to revive brand
• Positive Sentiment: Analyst support increased: TD Cowen and BTIG raised their price targets to $27 and assigned “buy” ratings. Bank of America also raised its target to $27, while Morgan Stanley lifted its target to $23 but retained an “equal weight” rating.
• Neutral Sentiment: Sales remained soft: Second-quarter revenue fell 2% year over year to $3.65 billion, below the $3.69 billion consensus, while comparable sales declined 1%. Full-year revenue guidance of about $15.6 billion is slightly below analyst expectations. Gap Inc. Reports Second Quarter Fiscal 2026 Results
• Negative Sentiment: Brand performance was uneven: Old Navy reported sluggish comparable sales, and Athleta continued to face pressure. The need for a leadership change underscores execution risks even as Gap and Banana Republic show stronger momentum.

GAP Profile

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.