Mizuho Securities Reiterates a Hold Rating on Gap

By Jason Carr

In a report released today, Betty Chen from Mizuho Securities reiterated a Hold rating on Gap (NYSE: GPS), with a price target of $28. The company’s shares closed yesterday at $30.71, close to its 52-week high of $30.74.

According to TipRanks.com, Chen is ranked 0 out of 5 stars with an average return of -5.8% and a 42.3% success rate. Chen covers the Services sector, focusing on stocks such as Abercrombie Fitch, Children’s Place, and Urban Outfitters.

Currently, the analyst consensus on Gap is Hold and the average price target is $25.14, representing a -18.1% downside.

In a report issued on November 8, FBR Capital also reiterated a Hold rating on the stock with a $22 price target.

Based on Gap’s latest earnings report for the quarter ending October 31, the company posted quarterly revenue of $3.8 billion and quarterly net profit of $204 million. In comparison, last year the company earned revenue of $3.86 billion and had a net profit of $248 million.

Based on the recent corporate insider activity of 40 insiders, corporate insider sentiment is neutral on the stock. Most recently, in March 2016, Solomon Goldfarb, the EVP, Digital & Customer Exp. of GPS sold 1,122 shares for a total of $33,144.

Gap, Inc. operates as a global apparel retail company. It offers apparel, accessories, and personal care products for men, women, and children under the Gap, Banana Republic, Old Navy, Athleta, and Intermix brands. It operates through the following segments: Gap Global, Old Navy Global, Banana Republic Global, Athleta, and Intermix. The Gap Global segment includes apparel and accessories for men and women under the Gap brand, along with the GapKids, BabyGap, GapMaternity, GapBody, and GapFit collections. The Old Navy Global segment offers clothing and accessories for adults and children. The Banana Republic Global segment provides clothing, eyewear, jewelry, shoes, handbags, and fragrances. The Athleta segment offers fitness apparel for women. The Intermix segment features styles from various designers. The company was founded by Donald G. Fisher and Doris F. Fisher in July 1969 and is headquartered in San Francisco, CA.