Gap price target raised to $26 from $24 at Telsey Advisory

Telsey Advisory raised the firm’s price target on Gap (GAP) to $26 from $24 and keeps a Market Perform rating on the shares. Gap’s results reflect continued progress in re-establishing its brands, with sales and gross margin deleverage coming in better than expected, benefiting from AUR growth despite the tariff impact, the analyst tells investors in a research note. However, the firm says visibility to longer-term profitability across the portfolio remains uncertain.