Stocks · Consumer Cyclical · Apparel - Retail
The Gap, Inc. GAP
$22.51 -0.97% Close, Oct 2, 2026 · NYSE · Market cap $8.10B
Inexpensive vs sector
Next earnings report: Nov 19, 2026
Scroll or pinch to zoom, drag to move. Daily prices adjusted for splits. Markers: E = earnings (green beat, red miss), S = split, D = dividend.
Three things to know
- At 6.7× trailing earnings, the shares trade at the lowest P/E of the company's past five years.
- Diluted EPS over the last four quarters was $3.35, up 43.2% year over year.
- The stock is in a downtrend: below its 200-day average, with the 50-day average below the 200-day.
PromtFinance scores
Each score is a percentile within the Consumer Cyclical sector (0–100). Under each score: how the stock ranks in its sector on every component. As of Oct 5, 2026.
How fast revenue, earnings and cash flow are growing.
- Revenue growth (TTM, YoY)Bottom 37%
- EPS growth (TTM, YoY)Top 21%
- FCF growth (TTM, YoY)Top 34%
- Revenue growth, 3-year CAGRBottom 39%
- Revenue growth accelerationBottom 38%
Returns on capital, margins, earnings quality and balance-sheet strength.
- Return on invested capitalTop 25%
- Gross marginTop 35%
- Operating marginTop 32%
- Cash conversion (OCF / net income)Bottom 37%
- Accruals (lower is better)Bottom 40%
- Net debt / EBITDA (lower is better)Top 38%
- Interest coverTop 20%
How cheap the shares are relative to earnings, cash flow and their own history.
- Earnings yieldTop 4%
- Free-cash-flow yieldTop 16%
- EBITDA / enterprise valueTop 11%
- Sales / enterprise valueTop 29%
- P/E vs own 5-year history (lower is better)Top 8%
Strength and persistence of the price trend, including versus the S&P 500.
- 12-month return excluding last monthTop 43%
- 6-month returnBottom 37%
- 1-year return vs S&P 500Top 38%
- Distance from 52-week highTop 42%
- Trend checklist (0–4)Top 34%
Earnings surprises and analyst sentiment (estimate-revision history is being collected).
- Average EPS surprise, last 4 quartersBottom 38%
- Consecutive EPS beatsBottom 48%
- Share of analysts rating BuyBottom 18%
- Upside to consensus price targetBottom 23%
Low volatility, shallow drawdowns, low market sensitivity and modest leverage.
- Volatility, 60 days (lower is better)Bottom 46%
- Maximum drawdown, 3 yearsTop 24%
- Beta vs S&P 500 (lower is better)Bottom 49%
- Net debt / EBITDA (lower is better)Top 38%
What changed
Latest four quarters versus the same period a year earlier (growth: versus one quarter earlier).
| Measure | Before | Now | |
|---|---|---|---|
| Revenue growth (YoY) | 1.6% | 1.1% | ↓ |
| EPS growth (YoY) | 10.0% | 43.2% | ↑ |
| Gross margin | 41.1% | 43.3% | ↑ |
| Operating margin | 7.7% | 11.0% | ↑ |
| FCF margin | 5.1% | 7.2% | ↑ |
Fundamental momentum
| Measure | Now (TTM) | Year / quarter before | Sector rank | |
|---|---|---|---|---|
| Revenue growth (TTM, YoY) | 1.1% | 1.6% | ↓ | Bottom 37% |
| EPS growth (TTM, YoY) | 43.2% | 10.0% | ↑ | Top 21% |
| Gross margin | 43.3% | 41.1% | ↑ | Top 35% |
| Operating margin | 11.0% | 7.7% | ↑ | Top 32% |
| Net margin | 8.1% | 5.9% | ↑ | — |
| Free-cash-flow margin | 7.2% | 5.1% | ↑ | — |
| Return on invested capital | 12.0% | — | Top 25% | |
| Revenue growth, 3-year CAGR | -0.5% | — | Bottom 39% |
Quality of earnings and balance sheet
- Cash conversion (OCF / net income)Above 1× means profits are backed by cash.
- 1.47×
- Accruals (net income − OCF) / assetsLower is better; high accruals can signal weaker earnings quality.
- -4.6%
- Stock-based compensation / revenueA cost to shareholders through dilution.
- 0.6%
- Net debt / EBITDABelow 1× is conservative; above 3× is high leverage.
- 2.03×
- Interest cover (operating income / interest)How many times operating profit covers interest.
- 18.1×
Shareholder returns
- Dividend yield (dividends paid, TTM)
- 3.07%
- Net buyback yield (TTM)
- 7.15%
- Shareholder yield
- 10.22%
- Share count change, 1 year
- -2.1%
- Share count change, 3-year CAGR
- +0.0%
Shareholder yield = dividends + net buybacks over the last four quarters, divided by market cap.
Based on the four quarters through Aug 1, 2026 (filed Aug 28, 2026).
Earnings and expectations
Earnings momentum
- Consecutive EPS beats
- 2
- Beats in the last 8 reports
- 7 of 8
- Average EPS surprise, last 4
- +3.9%
- Average 2-day reaction, last 8
- -0.0%
- Positive 20 days after report
- 4 of 8
Analysts
- Consensus price target
- $25.67
- Target vs current price
- +14.0%
- Analysts with a rating
- 48
- Share rating Buy or Strong Buy
- 31%
- Consensus rating
- Hold
How the stock reacted to recent reports
| Report date | EPS surprise | 2 days | 5 days | 20 days | 60 days |
|---|---|---|---|---|---|
| Aug 27, 2026 | +8.2% | -1.7% | +4.3% | +2.6% | — |
| May 28, 2026 | +1.8% | +4.0% | -11.9% | -15.9% | -17.7% |
| Mar 5, 2026 | +0.0% | -1.9% | -15.1% | -10.7% | -23.8% |
| Nov 20, 2025 | +5.6% | -1.8% | +17.2% | +16.2% | +19.3% |
| Aug 28, 2025 | +3.4% | -2.8% | +7.3% | -0.5% | +3.4% |
| May 29, 2025 | +12.9% | -1.0% | -25.5% | -22.2% | -24.2% |
| Mar 6, 2025 | +50.0% | -1.8% | +6.0% | +12.8% | +12.4% |
| Nov 21, 2024 | +24.1% | +6.9% | +17.5% | +15.8% | +8.6% |
Returns from the close before each report. Past reactions do not determine future ones.
Earnings history
| Report date | EPS | Estimate | Surprise | Revenue |
|---|---|---|---|---|
| Aug 27, 2026 | $0.52 | $0.48 | +8.2% | $3.65B |
| May 28, 2026 | $0.38 | $0.37 | +1.8% | $3.50B |
| Mar 5, 2026 | $0.45 | $0.45 | +0.0% | $4.24B |
| Nov 20, 2025 | $0.62 | $0.59 | +5.6% | $3.94B |
| Aug 28, 2025 | $0.57 | $0.55 | +3.4% | $3.73B |
| May 29, 2025 | $0.51 | $0.45 | +12.9% | $3.46B |
| Mar 6, 2025 | $0.54 | $0.36 | +50.0% | $4.15B |
| Nov 21, 2024 | $0.72 | $0.58 | +24.1% | $3.83B |
Valuation in context
| Multiple | Now | 5-year median | 5-year percentile | Sector rank (cheapness) |
|---|---|---|---|---|
| P/E (trailing) | 6.7× | 11.9× | 0th | Top 4% |
| P/E (forward) | 9.3× | — | — | — |
| EV / EBITDA | 6.6× | — | — | Top 11% |
| EV / Sales | 0.76× | — | — | Top 29% |
| Free-cash-flow yield | 13.70% | — | — | Top 16% |
| Earnings yield | 14.88% | — | — | Top 4% |
P/E over the past five years
Range 7.0× – 189.0× since Jul 31, 2021. Each point: price on the filing date divided by trailing-twelve-month EPS known then.
What moved the stock over the past year
- Price return, 1 year
- +4.0%
- Earnings per share growth (TTM)
- +43.2%
- Change in P/E multiple
- -25.5%
Most of the move came from earnings growth.
Technical state
Trend checklist
- ✓ Price above 20-day average
- ✓ Price above 50-day average
- ✗ Price above 200-day average
- ✗ 50-day average above 200-day
- ✓ MACD histogram positive
Trend quality
- Days above the 50-day average
- 10
- Days above the 200-day average
- 0
- 50-day average slope (20 days)
- +4.3%
- 200-day average slope (20 days)
- -1.8%
- Distance from 50-day average
- +6.8%
- Distance from 200-day average
- -4.3%
- RSI (14)
- 56.8
- Relative volume
- 0.67×
Risk and drawdowns
- Volatility, 60 days (annualized)
- 44.0%
- Volatility vs own 5-year history
- 23th percentile · Normal for this stock
- Beta vs S&P 500 (2 years, weekly)
- 1.06
- Correlation with S&P 500
- 0.34
- Current drawdown from 1-year high
- -22.7%
- Maximum drawdown, 3 years
- -39.2%
Largest declines in the past six years
| From peak | To low | Decline | Length | Recovery |
|---|---|---|---|---|
| May 17, 2021 | May 25, 2023 | -79.6% | 510 days | Not yet recovered |
| Nov 24, 2020 | Jan 4, 2021 | -28.5% | 26 days | 42 days (Mar 5, 2021) |
| Mar 15, 2021 | Mar 24, 2021 | -15.2% | 7 days | 11 days (Apr 9, 2021) |
Declines of 10% or more from a closing high, measured on daily closes.
Financial statements
- Market cap
- $8.10B
- P/E (TTM)
- 6.7
- EPS, diluted (TTM)
- $3.35
- Revenue (TTM)
- $15.33B
- Dividend yield
- 3.80%
- 52-week range
- $18.11 – $29.36
| FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | |
|---|---|---|---|---|---|
| Revenue | $16.67B | $15.62B | $14.89B | $15.09B | $15.37B |
| Gross profit | $6.64B | $5.36B | $5.78B | $6.23B | $6.27B |
| Operating income | $810.0M | -$69.0M | $560.0M | $1.11B | $1.11B |
| Net income | $256.0M | -$202.0M | $502.0M | $844.0M | $816.0M |
| EPS (diluted) | $0.67 | -$0.55 | $1.34 | $2.20 | $2.14 |
| Q3 2024 | Q4 2024 | Q1 2025 | Q2 2025 | Q3 2025 | Q4 2025 | Q1 2026 | Q2 2026 | |
|---|---|---|---|---|---|---|---|---|
| Revenue | $3.83B | $4.15B | $3.46B | $3.73B | $3.94B | $4.24B | $3.50B | $3.65B |
| Net income | $274.0M | $206.0M | $193.0M | $216.0M | $236.0M | $171.0M | $339.0M | $501.0M |
| EPS (diluted) | $0.72 | $0.54 | $0.51 | $0.57 | $0.62 | $0.45 | $0.90 | $1.38 |
| FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | |
|---|---|---|---|---|---|
| Operating cash flow | $809.0M | $607.0M | $1.53B | $1.49B | $1.29B |
| Capital expenditure | -$694.0M | -$685.0M | -$420.0M | -$447.0M | -$470.0M |
| Free cash flow | $115.0M | -$78.0M | $1.11B | $1.04B | $823.0M |
| Dividends paid | -$226.0M | -$220.0M | -$222.0M | -$225.0M | -$247.0M |
| Net share buybacks | -$201.0M | -$123.0M | $0 | -$75.0M | -$130.0M |
Cash outflows are shown as negative numbers.
- Cash and short-term investments
- $2.48B
- Total assets
- $12.86B
- Total liabilities
- $8.90B
- Total debt
- $5.72B
- Net debt
- $3.62B
- Shareholders’ equity
- $3.95B
As of Aug 1, 2026 (filed Aug 28, 2026).
Dividends
| Ex-date | Amount | Paid |
|---|---|---|
| Oct 7, 2026 | $0.18 | Oct 28, 2026 |
| Jul 8, 2026 | $0.18 | Jul 29, 2026 |
| Apr 8, 2026 | $0.18 | Apr 29, 2026 |
| Jan 7, 2026 | $0.17 | Jan 28, 2026 |
| Oct 8, 2025 | $0.17 | Oct 29, 2025 |
| Jul 9, 2025 | $0.17 | Jul 30, 2025 |
| Apr 9, 2025 | $0.17 | Apr 30, 2025 |
| Jan 8, 2025 | $0.15 | Jan 29, 2025 |
Short interest
- Shares sold short
- 26,223,096
- Days to cover
- 3.92
- Change vs previous report
- -10.5%
FINRA short interest, settlement date Sep 15, 2026.
Stock splits
- Jun 22, 1999
- 3-for-2
- Dec 1, 1998
- 3-for-2
- Dec 23, 1997
- 3-for-2
- Apr 11, 1996
- 2-for-1
- Jul 23, 1991
- 2-for-1