HS Management Partners LLC Makes New $7.45 Million Investment in The Gap, Inc. $GAP

HS Management Partners LLC acquired a new stake in The Gap, Inc. (NYSE:GAP) during the second quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm acquired 398,957 shares of the company’s stock, valued at approximately $7,453,000. GAP makes up about 2.6% of HS Management Partners LLC’s holdings, making the stock its 21st largest holding.

Other institutional investors and hedge funds also recently made changes to their positions in the company. Amundi bought a new position in GAP in the 1st quarter valued at about $259,000. EverSource Wealth Advisors LLC increased its holdings in GAP by 177.0% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 7,016 shares of the company’s stock worth $153,000 after purchasing an additional 4,483 shares in the last quarter. Jump Financial LLC purchased a new stake in shares of GAP in the second quarter worth approximately $612,000. California State Teachers Retirement System raised its stake in shares of GAP by 0.8% in the second quarter. California State Teachers Retirement System now owns 226,506 shares of the company’s stock worth $4,940,000 after purchasing an additional 1,703 shares during the last quarter. Finally, Ameriprise Financial Inc. lifted its holdings in shares of GAP by 42.7% in the second quarter. Ameriprise Financial Inc. now owns 4,407,809 shares of the company’s stock valued at $96,134,000 after purchasing an additional 1,318,322 shares in the last quarter. Institutional investors and hedge funds own 58.81% of the company’s stock.

Analyst Upgrades and Downgrades

Several research analysts recently issued reports on the company. Barclays reaffirmed an “equal weight” rating and set a $20.00 target price (down from $26.00) on shares of GAP in a research report on Tuesday, August 11th. JPMorgan Chase & Co. restated a “neutral” rating and set a $27.00 price objective (down from $35.00) on shares of GAP in a research note on Friday, May 29th. Evercore set a $20.00 price objective on shares of GAP and gave the stock an “in-line” rating in a report on Friday, May 29th. Morgan Stanley reiterated an “equal weight” rating and issued a $21.00 target price on shares of GAP in a research note on Monday, July 6th. Finally, BTIG Research set a $26.00 target price on shares of GAP in a report on Thursday, July 30th. Two equities research analysts have rated the stock with a Strong Buy rating, five have assigned a Buy rating and eleven have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $26.50.

GAP Trading Down 0.5%

NYSE:GAP opened at $20.07 on Wednesday. The Gap, Inc. has a 12 month low of $18.11 and a 12 month high of $29.36. The company has a current ratio of 1.81, a quick ratio of 1.08 and a debt-to-equity ratio of 0.41. The firm’s 50 day moving average is $20.18 and its 200 day moving average is $23.27. The stock has a market capitalization of $7.23 billion, a PE ratio of 7.90, a price-to-earnings-growth ratio of 1.21 and a beta of 2.05.

GAP (NYSE:GAP) last announced its quarterly earnings data on Thursday, May 28th. The company reported $0.38 earnings per share for the quarter, missing the consensus estimate of $0.39 by ($0.01). GAP had a net margin of 6.25% and a return on equity of 21.13%. The firm had revenue of $3.50 billion for the quarter, compared to the consensus estimate of $3.52 billion. During the same period last year, the company posted $0.51 earnings per share. GAP’s revenue for the quarter was up 1.0% on a year-over-year basis. GAP has set its FY 2026 guidance at 2.300-2.400 EPS. Sell-side analysts expect that The Gap, Inc. will post 2.34 earnings per share for the current year.

GAP Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, October 28th. Stockholders 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 dividend yield of 3.5%. The ex-dividend date of this dividend is Wednesday, October 7th. GAP’s dividend payout ratio is currently 27.56%.

GAP Profile

Gap Inc is a global specialty retailer renowned for its portfolio of apparel and accessories brands, including Gap, Banana Republic, Old Navy and Athleta. The company designs, sources and markets clothing across a broad price range and style spectrum, catering to men, women and children. Its offerings extend from everyday wardrobe essentials such as denim, tees and outerwear to performance and lifestyle pieces, reflecting each brand’s distinct identity and price point.

Founded in San Francisco in 1969 by Donald and Doris Fisher, Gap Inc has grown into one of the world’s largest apparel companies.