Alexandra Straton, an analyst from Morgan Stanley, maintained the Buy rating on Gap Inc (GAP – Research Report). The associated price target is $27.00.
Don’t Miss TipRanks’ Half-Year Sale
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
- Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week.
Alexandra Straton’s rating is based on a combination of factors that highlight Gap Inc’s strategic focus and potential for growth. The management’s commitment to long-term business health and consistency, even in the face of short-term challenges like tariffs, is a significant factor. Their transparent approach to both company-wide and brand-specific strategies, particularly in terms of brand revitalization and competitive pricing, strengthens confidence in the company’s direction.
Furthermore, the potential for margin expansion to historical levels over time is a key consideration in the Buy rating. The improving profitability trajectories across all brands suggest a promising path towards higher EBIT margins. These elements collectively reinforce the conviction in maintaining an Overweight rating with a price target of $27.
In another report released on June 2, J.P. Morgan also maintained a Buy rating on the stock with a $29.00 price target.