Gap (NYSE:GPS) : As the Gap Inc reported its year-over-year sales numbers and unvelied full-year adjusted earnings per share to be in range of $1.92, which exceeded the Wall Street forecasts, soon after the market closed on Thursday, stock prices soared up by over 10% during after-hours.
However, the excitement was short-lived as the market received mixed response from analysts, and the stock prices closed at $23.34 on Friday, marking an increase of barely 0.4%. The comparable store sales went up by 4% over 5 weeks period, ending Dec 31, 2016, marking a decent growth over company’s performance during the same period during the previous year.
The net sales for the 5-week period were again up by 3%, touching the $2.07B mark, as opposed to $2.01B from prev. year stats, and Old Navy locations showed an impressive 12% growth, far higher than the consensus estimate of 2.3%.
Sabrina Simmons, the CFO of the company was quoted as saying – “We are pleased with the momentum we gained over the holiday season, driven primarily by a positive customer response at Gap and Old Navy, and based upon latest stats, we expect full-year adjusted earnings per share to be in range of $1.92.”
However, Company’s Banana Republic stores sales figures were estimated to suffer 5.3% drop by the analysts, but as per the numbers reported by Gap Inc, the drop was around 7%. Jefferies reiterated their price target of $36 with“Buy” rating, whereas Roxanne Meyer, an analyst at MKM Partners maintained “Neutral” rating, with $28.00 target price. Company is expected to release official sales data for January 2017 on 6th of February, and it’d be interesting to see the updated numbers on Feb 7.
Stocks of Gap, Inc. (The) (NYSE:GPS) rallied by 4.01% during the past week but lost 10.02% on a 4-week basis. The company has outperformed the S&P 500 by 2.27% in the past week but underperformed the index by 10.71% in the last 4 weeks.
Several research reports has been issued on the company performance. In the latest statement by the brokerage house, Mizuho reiterated its outlook on Gap, Inc. (The) (NYSE:GPS). The current rating of the shares is Neutral, according to the research report released by the firm. Previously, the company had a rating of NULL. The brokerage firm set the price target from $28 per share to a new PT of $27 per share. The rating by the firm was issued on December 2, 2016.
Gap, Inc. (The) (NYSE:GPS) : On Friday heightened volatility was witnessed in Gap, Inc. (The) (NYSE:GPS) which led to swings in the share price. The stock opened for trading at $24.33 and hit $24.46 on the upside , eventually ending the session at $23.34, with a gain of 0.39% or 0.09 points. The heightened volatility saw the trading volume jump to 16,363,108 shares. The 52-week high of the share price is $30.74 and the company has a market cap of $9,310 million. The 52-week low of the share price is at $17 .
On the company’s insider trading activities,The officer (Global Pres., Banana Republic) of Gap Inc, Owen Andi sold 11,381 shares at $30.19 on March 21, 2016. The Insider selling transaction had a total value worth of $343,592. The Insider information was disclosed with the Securities and Exchange Commission in a Form 4 filing. Currently the company Insiders own 30% of Gap, Inc. (The) shares according to the proxy statements. In the past twelve weeks, the net percent change held by company insiders has changed by -65.23% . Institutional Investors own 57.59% of Gap, Inc. (The) shares. During last six month period, the net percent change held by insiders has seen a change of -65.23%.
The Gap, Inc. is an apparel retail company. The Company offers apparel, accessories, and personal care products for men, women, and children under the Gap, Banana Republic, Old Navy, Piperlime, Athleta and Intermix brands. In addition to operating in the specialty, outlet, online and franchise channels, Gap Inc. is an apparel retailer in using omni-channel capabilities for digital world and physical stores. Its omni-channel services include order-in-store, reserve-in-store, find-in-store and ship-from-store that are tailored across its portfolio of brands. Gap includes GapKids, babyGap, GapMaternity, GapBody and GapFit collections. It also offers handbags, shoes, jewelry, eyewear and personal care products, among others. It has Company-operated stores in the United States, Canada, the United Kingdom, France, Ireland, Japan, Italy, China and Hong Kong. It operates Gap, Banana Republic and Old Navy stores throughout Asia, Australia, Europe, Latin America, the Middle East and Africa.