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GAP

Strong BuyUnloved QualityFLAG

The Gap, Inc. · Consumer Cyclical · United States · $8.5B · Avg Vol: $157M/d

83
StockRank
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Q
67
V
71
M
42
P/E (TTM)
6.8x
ROE
33.8%
D/E
1.4x
Dividend %
3.0%
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%15.3B15.5B16.0B2.0%
EPS0.68-0.551.362.242.1934.0%3.323.412.7712.4%
Shares371.0M366.0M372.0M374.0M371.9M+0.2%351.3M
Debt6.3B6.0B5.4B5.5B5.6B-2.7%5.7B
Equity2.7B2.2B2.6B3.3B3.8B8.7%
Op CF809.0M607.0M1.5B1.5B1.3B12.4%1.5B
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)+2.6%
19.6520.6121.5622.5223.48Jul 30Aug 20Sep 10
SMA 50SMA 200

Close
$20.91
RSI (14)
57.5
52W High
$28.88
From 52W High
0.7%

SCORE BREAKDOWN

Quality
67
ROIC
15.1%75.3
ROE
33.8%94.0
GP/Assets
49.2%78.7
Op. Margin
6.7%50.1
FCF/Assets
8.9%78.0
Piotroski
654.2
Int. Cover
15.3x62.9
D/E Ratio
1.45x14.5
Current Ratio
1.82x60.5
Value
71
P/E (TTM)
6.8x92.1
EV/EBITDA
7.6x68.4
P/FCF
7.5x79.8
P/B
2.0x44.3
P/S
0.5x72.1
Div Yield
3.0%58.1
Momentum
42
52W High %
72%45.5
RS 6M
-22%35.4
SMA 50/200
0.86x20.0
EPS Rev 4W
+1.2%39.6
EPS Rev 12W
+1.2%61.4
EPS Improve
-21%10.0
Q Growth
132%88.0

FUNDAMENTALS

Market Cap
$8.5B
P/E (Forward)
8.5x
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)$8.5B83Strong Buy
URBNUrban Outfitters, Inc.$6.9B79Buy
VSXYVictorias Secret & Co.$7.0B69Buy
ANFAbercrombie & Fitch Co.$6.6B96Strong Buy
CRICarter's, Inc.$1.2B81Strong Buy
BKEThe Buckle, Inc.$2.2B67Buy
ROSTRoss Stores, Inc.$73.3B74Buy
BOOTBoot Barn Holdings, Inc.$4.7B37Hold
AEOAmerican Eagle Outfitters, Inc.$2.8B47Hold
BURLBurlington Stores, Inc.$17.1B33Sell

Peer medians: ROE 8.4% · P/E 19.7x · Gross margin 36.5%

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

The Gap, Inc. (GAP) has a MoatMap StockRank of 83/100 based on Quality (67/100), Value (71/100), and Momentum (42/100) 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$20.91
Market Cap$8.5B
P/E (TTM)6.76
P/E (Forward)8.50
Price/Book1.99
Return on Equity33.8%
Return on Invested Capital15.1%
Debt/Equity1.45x
Gross Margin40.5%
Operating Margin6.7%
Revenue Growth-2.0%
Dividend Yield3.0%
Free Cash Flow$1.1B

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 83/100, with a Strong Buy signal. It is a composite of Quality (67), Value (71), and Momentum (42) factor ranks across MoatMap’s universe of 25,000+ stocks.
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 83/100. 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).