Stock AnalizGap Inc. GAP
Clothing/Shoe/Accessory Stores · data as of November 13, 2026
Gap Inc. (GAP) is a consumer discretionary company listed in the US with a market value of about $7.4B. In the twelve months to August 1, 2026 it had revenue of $15.3B and net income of $1.2B, a net margin of 8.1%.
Its overall Stock Analiz score is 2.4 out of 5 (weak). The strongest part is value (4/5); the weakest is future growth (1/5).
Key numbers: a P/E of 6.3, a price to free cash flow of 7.7, 5-year revenue growth of 2% a year, a 5-year average ROIC of 6%. A discounted cash flow model with moderate assumptions puts its intrinsic value about 5% above the current price.
Score: 2.4 / 5
Checks passed
- P/E below 25
- P/E below the industry median
- P/FCF below 20
- Price below intrinsic value (DCF, moderate assumptions)
- Profit margin improving
- ROE above 15%
- Positive free cash flow
- Interest covered more than 5 times
Checks not passed
- PEG below 1.5
- Revenue growth above 10% last year
- 3-year revenue growth above 10% a year
- 3-year free cash flow growth above 10% a year
- Strong R&D investment or growth above 20%
- 5-year EPS growth above 10% a year
- 5-year revenue growth above 8% a year
- 5-year average ROIC above 12%
Valuation
Growth and quality
Financials, last 10 years
| Fiscal year | TTM | 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $15.3B | $15.4B | $15.1B | $14.9B | $15.6B | $16.7B | $13.8B | $16.4B | $16.6B | $15.9B | $15.5B |
| Net income | $1.2B | $816M | $844M | $502M | -$202M | $256M | -$665M | $351M | $1.0B | $848M | $676M |
| Free cash flow | $957M | $823M | $1.0B | $1.1B | -$78M | $115M | -$155M | $709M | $676M | $649M | $1.2B |
| EPS (diluted) | $3.34 | $2.13 | $2.20 | $1.34 | $-0.55 | $0.67 | $-1.78 | $0.93 | $2.59 | $2.14 | $1.69 |
| Net margin | 8.1% | 5.3% | 5.6% | 3.4% | -1.3% | 1.5% | -4.8% | 2.1% | 6.0% | 5.3% | 4.4% |
| ROIC | — | 8.5% | 9.4% | 6.3% | -0.7% | 7.1% | -5.1% | 3.5% | 9.1% | 20.1% | 17.0% |
From the company’s 10-K and 10-Q filings with the SEC. TTM = trailing twelve months.
What analysts expect
The average 12-month price target from 18 analysts is $26.48, 26% above the current price; targets range from $21.00 to $42.00; the consensus rating is “Buy”; expected EPS is $2.40 for the fiscal year ending January 31, 2027.
Frequently asked questions
What is Gap’s P/E ratio?
About 6.3, based on the last twelve months of diluted earnings per share (forward P/E about 7.5).
Is Gap stock undervalued?
Our DCF model with moderate assumptions puts its intrinsic value about 5% above the current market value. A model is a range, not a promise; try your own assumptions in the DCF calculator.
Does Gap pay a dividend?
Yes. The dividend yield is about 3.25%, and it has paid dividends for 9 years in our data.
Is Gap a good stock to buy?
We do not give buy or sell advice. Gap scores 2.4 out of 5 on our five checks (value, growth, track record, financial health and shareholder returns); the checks above show why.
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Generated from SEC filings, analyst consensus estimates and market prices, rebuilt every day. Educational information, not investment advice.