Alert: Rating Upgrade (6/7/24)-Gap Inc (NYSE: GPS).

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Stock Rating Upgrade

Reflecting improving fundamentals and high Appreciation Potential, the Value Trend Rating for Gap Inc (NYSE: GPS) improved of late. GPS’ current Value Trend Rating is B and the prior Rating was C. Details supporting this higher rating are included in our next report.

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Recent Price Action

On 6/7/24, Gap Inc (NYSE: GPS) stock declined modestly by -1.1%, closing at $25.47. However, below average trading volume at 69% of normal accompanied the decline. Relative to the market the stock has been exceptionally strong over the last nine months and has risen 13.1% during the last week.

Current PriceTarget Research Rating

GPS’ future returns on capital are forecasted to exceed the cost of capital. Accordingly, the company is expected to continue to be a major Value Builder.

Gap has a current Value Trend Rating of B (Positive). This VT Rating improved in recent days from C previously. The Value Trend Rating reflects very contradictory signals from PTR’s two proprietary measures of a stock’s attractiveness. Gap has a slightly negative Appreciation Score of 36 but a very high Power Rating of 98, with the Positive Value Trend Rating the result.

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