📈 Price History

Ratio Health

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By Category

📊 Sector Averages

About

The Gap, Inc. operates as an apparel retail company in the United States, Canada, Japan, Taiwan, and internationally. The company offers apparel, accessories, and personal care products for men, women, and children under the Old Navy, Gap, Banana Republic, and Athleta brands. The company offers its products through company-operated stores, franchise stores, websites, and third-party arrangements, as well as licensing partnerships. It has franchise agreements to operate Old Navy, Gap, Banana Republic, and Athleta in Asia, Europe, Latin America, the Middle East, and Africa. The Gap, Inc. was incorporated in 1969 and is headquartered in San Francisco, California.

Key Ratios Snapshot

📈 Growth Pattern

⚡ Latest Quarter —

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📊 Quick Scorecard

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⭐ Superinvestors Holding GAP

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Manager	Shares	Value	% of Fund	Period
Jim Simons Renaissance Technologies LLC	439.3K	$10.6M	0.02%	Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

🔍 Concall Decoded

🎙 Management Tone Tracker Cautious ~ Volatile 4 quarters analysed

Q2 2026

Confident Specific

Management used concrete numbers (EPS $0.57, 7.8% operating margin, 360 bps gross margin expansion vs two years ago) and pointed to consistent execution (sixth consecutive quarter of positive comps) while directly addressing challenges like Athleta reset and tariff headwinds.

Q3 2026

Confident Specific

Management repeatedly used phrases like 'exceeded our expectations', 'highest quarterly comp in over four years', 'momentum is clear', and provided specific numbers (comps +5%, operating margin 8.5%, AUR growth, tariff impact 190 bps).

Q4 2026

Confident Specific

Management used phrases like 'another successful fourth quarter', 'eighth consecutive quarter of positive comps', 'second consecutive year of top-line growth', and gave specific growth percentages, margin impacts, and earnings guidance throughout.

Q1 2027 latest

Cautious

Management uses phrases like 'results at the brand level were more varied' and 'we are taking a moderated view of full year revenue growth,' acknowledging Old Navy and Athleta underperformance while highlighting Gap brand strength and tariff benefits.

Guidance Reliability Pending · <3Q data

Investor Lens

The investment thesis is weaker for the near term given Old Navy's seasonal weakness and Athleta's prolonged rebuild, but Gap brand's momentum and strong capital returns provide partial offset. The raised EPS guidance on tariff relief and lower share count supports the bottom line despite lower revenue. Key watch items: Old Navy's ability to improve seasonal categories in Q2 and H2, Athleta's new product traction in fall, and competitive promotional response to tariff benefits. The balanced capital allocation (dividend + buybacks) remains a positive signal. Overall thesis is unchanged but execution risk has increased, making this a hold until clearer recovery signs emerge.

AI-generated concall tone analysis · Updated 2026-06-08 · Not investment advice

🎙 Management Tone Cautious ~ Volatile 4 quarters Full tone analysis in Intelligence →

📊 MIXED Gap Inc. reports Q1 net sales $3.5B, comps +2%, raises FY EPS outlook to $2.30-$2.40

Revenue & Profitability

Net sales $3.5 billion (+1% YoY). Comparable sales +2%. Gross margin 40.5% (down 130 bps). Merchandise margin declined 100 bps due to ~200 bps tariff headwind, implying 100 bps underlying expansion. Adjusted SG&A $1.2B (35.3% of sales). Reported operating margin 12.7%; adjusted 5.2%. Adjusted EPS $0.38 vs $0.51 last year. Full-year adjusted EPS guidance raised to $2.30-$2.40.

Outlook

Management views the consumer as resilient with no meaningful shift expected. The promotional environment has been rational but is being monitored. Geopolitical factors, fuel costs, and potential tariff changes (reversion to IEEPA rates after July 24) are key uncertainties. The company assumes no change in consumer behavior for the balance of the year.

Growth Drivers

Growth levers include strategic categories: denim, active, kids and baby at Old Navy; denim, fleece, and kids at Gap. Beauty rollout to full Old Navy fleet by year-end, and Gap fragrance relaunch (Heaven, Grass). Sports licensing partnership with Fanatics (NFL in fall). Accessories launch at Gap in fall. Gap continues to drive cultural relevance through collaborations (Victoria Beckham, Coachella Hoodie House).

Balance Sheet & CapEx

Fiscal 2026 capital expenditures expected to be approximately $650 million, primarily for stores, technology, and supply chain. About 30 Gap stores will be remodeled this year, bringing ~25% of North America specialty fleet to new concept by year-end. Investments in technology, AI, and Fashiontainment platform are ongoing.

Margins

Gross margin for full year expected flat to up slightly. Merchandise margin expansion anticipated, but occupancy deleverage of ~50 bps due to lower revenue. Tariff relief of ~$80M (50 bps benefit) is being reserved: half for potential fuel cost headwinds, half for potential pricing investments. Adjusted SG&A as % of sales expected roughly flat year-over-year, with $150M in cost savings. Q2 gross margin expected flat to down 50 bps.

Key Risks

Key risks include: tariff uncertainty (potential reversion to higher IEEPA rates after July 24); elevated fuel costs; intensified promotional environment; slower-than-expected recovery at Athleta; execution risk at Old Navy on seasonal categories; and general macroeconomic and geopolitical uncertainties. No benefit from potential tariff refunds is factored into guidance.

Generated by AI · Q1 2027 results · Not investment advice

✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter

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📞 Earnings Call Transcripts (5)

Q1 2027 Q1 2027 2026-05-28

Ninth consecutive quarter of positive comps, with Gap brand leading growth and Old Navy facing seasonal category challenges. Full-year sales outlook moderated, but EPS guidance raised on margin discipline and capital returns. Key risks include tariffs and fuel costs.

Q4 2026 Q4 2026 2026-03-05

Delivered strong Q4 and full-year results with positive comps across major brands, high gross margins, and robust cash flow. 2026 guidance calls for continued sales and margin growth, with investments in new categories and omni-channel experiences, while managing tariff risks.

Q3 2026 Q3 2026 2025-11-20

Q3 saw net sales up 3% and comps up 5%, with Old Navy, Gap, and Banana Republic all posting strong results, while Athleta declined. Gross margin and operating margin exceeded expectations despite tariff headwinds. Full-year guidance was raised for sales and margins, reflecting strong brand momentum and disciplined execution.

Q2 2026 Q2 2026 2025-08-28

Second quarter results exceeded profit expectations, with strong brand momentum at Old Navy, Gap, and Banana Republic, while Athleta remains in reset. Fiscal 2025 guidance anticipates 1-2% sales growth and a 6.7%-7% operating margin, factoring in tariff headwinds.

Q1 2026 Q1 2026 2025-05-29

First quarter results exceeded expectations with 2% sales growth, margin expansion, and strong EPS. Old Navy and Gap led market share gains, while tariff risks remain a key focus for the year. Cash position and capital returns support ongoing investments.

📊 Analysis Methodology

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Investment Risk:
Investing in securities, including US equities and ETFs, involves inherent risks including the potential loss of principal. All investments are subject to market fluctuations, economic conditions, regulatory changes, and other factors that may affect their value. Past performance is not indicative of future results. This analysis is provided for informational and educational purposes only and should not be construed as investment advice under any circumstances.

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