Fintel reports that on May 26, 2023, Telsey Advisory Group maintained coverage of Gap (NYSE:GPS) with a Market Perform recommendation.
Analyst Price Forecast Suggests 60.88% Upside
As of May 11, 2023, the average one-year price target for Gap is 11.94. The forecasts range from a low of 7.07 to a high of $18.90. The average price target represents an increase of 60.88% from its latest reported closing price of 7.42.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for Gap is 16,166MM, an increase of 3.52%. The projected annual non-GAAP EPS is 0.78.
Gap Declares $0.15 Dividend
On May 9, 2023 the company declared a regular quarterly dividend of $0.15 per share ($0.60 annualized). Shareholders of record as of July 5, 2023 will receive the payment on July 26, 2023. Previously, the company paid $0.15 per share.
At the current share price of $7.42 / share, the stock’s dividend yield is 8.09%.
Looking back five years and taking a sample every week, the average dividend yield has been 4.27%, the lowest has been 1.32%, and the highest has been 7.57%. The standard deviation of yields is 1.55 (n=179).
The current dividend yield is 2.46 standard deviations above the historical average.
Additionally, the company’s dividend payout ratio is -1.09. The payout ratio tells us how much of a company’s income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company’s income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend – not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
What is the Fund Sentiment?
There are 702 funds or institutions reporting positions in Gap. This is a decrease of 12 owner(s) or 1.68% in the last quarter. Average portfolio weight of all funds dedicated to GPS is 0.11%, an increase of 24.19%. Total shares owned by institutions decreased in the last three months by 1.72% to 266,709K shares. The put/call ratio of GPS is 1.08, indicating a bearish outlook.
What are Other Shareholders Doing?
Dodge & Cox holds 37,722K shares representing 10.26% ownership of the company. In it’s prior filing, the firm reported owning 37,980K shares, representing a decrease of 0.68%. The firm decreased its portfolio allocation in GPS by 12.16% over the last quarter.
DODGX – Dodge & Cox Stock Fund holds 26,632K shares representing 7.24% ownership of the company. No change in the last quarter.
Pzena Investment Management holds 10,644K shares representing 2.89% ownership of the company. In it’s prior filing, the firm reported owning 10,858K shares, representing a decrease of 2.01%. The firm decreased its portfolio allocation in GPS by 15.25% over the last quarter.
Citadel Advisors holds 8,684K shares representing 2.36% ownership of the company. In it’s prior filing, the firm reported owning 6,222K shares, representing an increase of 28.35%. The firm increased its portfolio allocation in GPS by 1.49% over the last quarter.
VTSMX – Vanguard Total Stock Market Index Fund Investor Shares holds 7,308K shares representing 1.99% ownership of the company. In it’s prior filing, the firm reported owning 7,230K shares, representing an increase of 1.07%. The firm decreased its portfolio allocation in GPS by 16.93% over the last quarter.
Gap Background Information
(This description is provided by the company.)
Gap Inc., a collection of purpose-led lifestyle brands, is a leading global retailer offering clothing, accessories, and personal care products for men, women, and children under the Old Navy, Gap, Banana Republic, Athleta, Intermix, and Janie and Jack brands. Fiscal year 2019 net sales were $16.4 billion. Gap Inc. products are available for purchase worldwide through company-operated stores, franchise stores, and e-commerce sites.
Key filings for this company:
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
