GAP (NYSE:GAP) Upgraded by BMO Capital Markets to Hold Rating

Posted by Stanley Muller on Sep 11th, 2026

BMO Capital Markets upgraded shares of GAP (NYSE:GAP – Free Report) to a hold rating in a research note published on Tuesday,Zacks reports.

A number of other equities analysts have also weighed in on the stock. Barclays boosted their price objective on shares of GAP from $20.00 to $23.00 and gave the stock an “equal weight” rating in a report on Friday, August 28th. Wells Fargo & Company lifted their target price on GAP from $22.00 to $23.00 and gave the stock a “cautious” rating in a report on Friday, August 28th. Evercore set a $20.00 price target on GAP and gave the stock an “in-line” rating in a research note on Friday, May 29th. Bank of America increased their price objective on GAP from $26.00 to $27.00 and gave the company a “neutral” rating in a research report on Friday, August 28th. Finally, JPMorgan Chase & Co. reiterated a “neutral” rating and issued a $27.00 price objective (down from $35.00) on shares of GAP in a report on Friday, May 29th. Two research analysts have rated the stock with a Strong Buy rating, five have issued a Buy rating, eleven have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, GAP has an average rating of “Hold” and a consensus target price of $27.07.

Check Out Our Latest Report on GAP

GAP Stock Down 2.0%

NYSE:GAP opened at $20.93 on Tuesday. The company has a debt-to-equity ratio of 0.38, a quick ratio of 1.11 and a current ratio of 1.82. The firm has a market cap of $7.35 billion, a P/E ratio of 6.25, a P/E/G ratio of 0.91 and a beta of 2.08. GAP has a fifty-two week low of $18.11 and a fifty-two week high of $29.36. The firm has a 50-day simple moving average of $20.47 and a two-hundred day simple moving average of $22.47.

GAP (NYSE:GAP – Get Free Report) last issued its earnings results on Thursday, August 27th. The company reported $0.52 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.48 by $0.04. GAP had a net margin of 8.14% and a return on equity of 19.72%. The firm had revenue of $3.65 billion for the quarter, compared to the consensus estimate of $3.69 billion. During the same quarter in the prior year, the firm posted $0.57 earnings per share. The business’s revenue was down 2.0% on a year-over-year basis. GAP has set its FY 2026 guidance at 2.350-2.450 EPS. Analysts predict that GAP will post 2.41 earnings per share for the current fiscal year.

GAP Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 28th. Investors of record on Wednesday, October 7th will be given a dividend of $0.175 per share. This represents a $0.70 dividend on an annualized basis and a yield of 3.3%. The ex-dividend date is Wednesday, October 7th. GAP’s dividend payout ratio is 20.90%.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the company. Cullen Frost Bankers Inc. bought a new position in shares of GAP in the 4th quarter worth approximately $26,000. Global Retirement Partners LLC bought a new stake in GAP during the second quarter valued at approximately $29,000. Mitsubishi UFJ Asset Management Co. Ltd. bought a new stake in GAP during the second quarter valued at approximately $50,000. Quantbot Technologies LP purchased a new stake in GAP during the second quarter valued at approximately $73,000. Finally, Westpac Banking Corp purchased a new stake in GAP during the second quarter valued at approximately $103,000. 58.81% of the stock is owned by hedge funds and other institutional investors.

GAP News Roundup

Here are the key news stories impacting GAP this week:

Positive Sentiment: BMO Capital Markets upgraded GAP to “hold,” a less bearish stance that may reduce selling pressure and indicates the firm no longer expects meaningful underperformance. Zacks analyst action
Positive Sentiment: Zacks Research raised its FY2027 EPS forecast to $2.41 from $2.31 and its FY2028 forecast to $2.62 from $2.55. It also increased Q4 2027 EPS to $0.73 from $0.63, Q3 2028 EPS to $0.87 from $0.83, and Q4 2028 EPS to $0.66 from $0.62. These revisions suggest improved longer-term earnings expectations.
Positive Sentiment: GAP has hired a Paramount executive to help expand its brands beyond traditional apparel, signaling a strategy to create new growth channels and broaden its consumer reach. Gap taps a new executive to find its next act beyond fashion
Neutral Sentiment: The current full-year EPS consensus remains $2.41, in line with the company’s FY2026 guidance range midpoint and unchanged by the latest estimate activity. This provides a stable baseline but no new near-term catalyst.
Negative Sentiment: Zacks reduced estimates for Q1 2029 EPS to $0.53 from $0.56, Q2 2029 EPS to $0.68 from $0.71, Q2 2028 EPS to $0.61 from $0.62, and FY2029 EPS to $2.81 from $2.82. The cuts indicate some longer-term uncertainty despite the upgrades elsewhere.
Negative Sentiment: Broader specialty-retail sentiment remains cautious: Victoria’s Secret raised guidance after beating earnings estimates, but its shares weakened as comparable-sales growth slowed and valuation concerns persisted. That backdrop may weigh on apparel-retail stocks, including GAP. Victoria’s Secret’s Comeback Is Real—The Stock’s Problem Is Different

About GAP

(Get Free Report)

Gap Inc is an American specialty apparel retailer founded in 1969 by Donald and Doris Fisher in San Francisco, California. The company operates a portfolio of consumer brands focused on clothing, accessories and personal-care products for women, men and children.

Its principal brands include Old Navy, Gap, Banana Republic and Athleta. Products are sold through company-operated stores, franchise locations and digital channels, with offerings spanning casual apparel, denim, activewear, accessories and lifestyle products.

Gap Inc serves customers in North America and selected international markets through its retail and e-commerce operations.