Company Deep Dive

Business segments breakdown, earnings transcript analysis, management credibility scoring, competitive landscape, and scenario modelling.

Request Deep Dive(50 Feathers)

GAP

STRONG BUYFLAG

The Gap, Inc. · Consumer Cyclical · United States · $6.8B · Avg Vol: $152M/d

86
StockRank
Get insider-trade alerts
Q
67
V
72
M
44
P/E (TTM)
8.1x
ROE
27.6%
D/E
1.5x
Dividend %
3.3%
AI CONVICTION THESIS

The Gap has quality Q67 and value V74, but momentum at M44 is below the calibrated floor, so stage one fails.

COMPANY DESCRIPTION

The Gap, Inc. is a global apparel retail company operating a portfolio of iconic brands including Gap, Old Navy, Banana Republic, and Athleta. The company benefits from widespread brand recognition and a significant retail presence across online and physical channels, allowing it to cater to diverse customer segments. This multi-brand strategy provides a competitive edge in the highly dynamic consumer cyclical sector.

FINANCIAL SUMMARY (USD)

Year20222023202420252026CAGRTTM2027E2028EFwd CAGR
Revenue16.7B15.6B14.9B15.1B15.4B-2.0%15.4B15.6B16.0B2.1%
EPS0.68-0.551.362.242.1934.0%2.462.752.7311.5%
Shares371.0M366.0M372.0M374.0M371.9M+0.2%360.0M
Debt6.3B6.0B5.4B5.5B5.6B-2.7%5.6B
Equity2.7B2.2B2.6B3.3B3.8B8.7%
Op CF809.0M607.0M1.5B1.5B1.3B12.4%1.6B
Inv CF-446.0M-227.0M-334.0M-692.0M-600.0M
Fin CF-1.5B6.0M-567.0M-321.0M-419.0M
Loading 1Y...
PRICE (1Y)-13.0%
18.3519.2920.2321.1622.10Jun 11Jul 6Jul 24
SMA 50SMA 200
Close
$19.01
RSI (14)
48.1
52W High
$28.88
From 52W High
0.7%

SCORE BREAKDOWN

Quality
67
ROIC
13.1%72.7
ROE
27.6%90.3
GP/Assets
49.4%79.3
Op. Margin
12.7%76.4
FCF/Assets
7.4%71.9
Piotroski
653.7
Int. Cover
13.2x56.7
D/E Ratio
1.54x14.7
Current Ratio
1.81x60.6
Value
72
P/E (TTM)
8.1x87.8
EV/EBITDA
5.7x79.1
P/FCF
7.4x76.4
P/B
2.0x40.5
P/S
0.5x73.3
Div Yield
3.3%58.3
Momentum
44
52W High %
66%36.5
RS 6M
-37%23.1
SMA 50/200
0.87x23.6
EPS Rev 4W
+0.0%86.4
EPS Rev 12W
-0.1%66.1
EPS Improve
+6%21.1
Q Growth
76%82.4

FUNDAMENTALS

Market Cap
$6.8B
P/E (Forward)
7.6x
Gross Margin
40.5%

SECTOR PEERS

Closest peers in Consumer Cyclical, ranked by industry match, size, and score similarity. Cross-listings of GAP are excluded.

TickerCompanyMkt CapStockRankSignal
GAPThe Gap, Inc.(you)$6.8B86STRONG BUY
URBNUrban Outfitters, Inc.$6.0B76BUY
ANFAbercrombie & Fitch Co.$4.2B83STRONG BUY
VSXYVictorias Secret & Co.$6.6B64HOLD
BKEThe Buckle, Inc.$2.2B82STRONG BUY
CRICarter's, Inc.$1.4B78BUY
BOOTBoot Barn Holdings, Inc.$4.5B50HOLD
BURLBurlington Stores, Inc.$22.0B59HOLD
AEOAmerican Eagle Outfitters, Inc.$2.8B53HOLD
ROSTRoss Stores, Inc.$76.6B78BUY

Peer medians: ROE 9.9% · P/E 22.6x · Gross margin 37.5%

The Gap, Inc. (GAP) — Stock Score Summary

The Gap, Inc. (GAP) has a MoatMap StockRank of 86/100 based on Quality (67/100), Value (72/100), and Momentum (44/100) factor scores. The current signal is STRONG BUY. The Gap has quality Q67 and value V74, but momentum at M44 is below the calibrated floor, so stage one fails.

The Gap, Inc. is a global apparel retail company operating a portfolio of iconic brands including Gap, Old Navy, Banana Republic, and Athleta. The company benefits from widespread brand recognition and a significant retail presence across online and physical channels, allowing it to cater to diverse customer segments. This multi-brand strategy provides a competitive edge in the highly dynamic consumer cyclical sector.

Key Financial Metrics

Price$19.01
Market Cap$6.8B
P/E (TTM)8.08
P/E (Forward)7.63
Price/Book1.96
Return on Equity27.6%
Return on Invested Capital13.1%
Debt/Equity1.54x
Gross Margin40.5%
Operating Margin12.7%
Revenue Growth1.0%
Dividend Yield3.3%
Free Cash Flow$928M

The Gap, Inc. operates in the Apparel Retail industry, part of the Consumer Cyclical sector (United States).

Frequently Asked Questions

What is The Gap, Inc.’s (GAP) StockRank?
MoatMap’s StockRank for The Gap, Inc. (GAP) is 86/100, with a Strong Buy signal. It is a composite of Quality (67), Value (72), and Momentum (44) factor ranks across MoatMap’s 20,000+ stock universe.
Does The Gap, Inc. have an economic moat?
The Gap, Inc. (GAP) has a Quality factor score of 67/100. The Quality factor combines ROIC, Piotroski F-Score, and leverage — the financial fingerprints of a durable competitive advantage. A Quality score above 70 typically indicates a company with the characteristics of a moated business.
Is The Gap, Inc. a buy, hold, or sell?
MoatMap’s current signal for The Gap, Inc. (GAP) is Strong Buy, based on a StockRank of 86/100. Signals are derived mechanically from the StockRank composite and should be one input among many — combine with your own thesis on management, competitive position, and valuation.
What sector is The Gap, Inc. in?
The Gap, Inc. (GAP) operates in the Consumer Cyclical sector, specifically the Apparel Retail industry (United States).