Needham & Company Reiterates a 'Hold' on Gap, Inc. (GPS); Raising Estimates
Tweet
Share
E-mailGet Alerts GPS Hot Sheet
Price: $24.55 --0%
Rating Summary:
14 Buy, 23 Hold, 3 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Rating Summary:
14 Buy, 23 Hold, 3 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Join SI Premium – FREE
Needham & Company reiterates a 'Hold' on Gap, Inc. (NYSE: GPS).
Analyst, Christine Chen, said, "At ~11x our FY13 EPS estimate of $2.02, GPS is trading slightly below the sector average of ~13x, in-range of its long-term organic growth rate of 10% to 12%, which we think is a fair valuation at this time given the opportunity for margin expansion in F2H12 vs. high sourcing costs and lack of pricing power in F2H11. We think the product continues to look better vs. LY, but are concerned that promotional activity at both Gap and BR (while effective traffic drivers) has trained the customer to wait for sales, eroding pricing power."
"We are raising our F3Q, F4Q & FY12 EPS estimates to $0.51, $0.61 & $1.80, respectively, up from $0.48, $0.55 & $1.72...We are introducing F1Q, F2Q, F3Q, F4Q & FY13 EPS estimates of $0.40, $0.38, $0.56, $0.68 & $2.02."
For an analyst ratings summary and ratings history on Gap, Inc. click here. For more ratings news on Gap, Inc. click here.
Shares of Gap, Inc. closed at $23.52 yesterday.
Analyst, Christine Chen, said, "At ~11x our FY13 EPS estimate of $2.02, GPS is trading slightly below the sector average of ~13x, in-range of its long-term organic growth rate of 10% to 12%, which we think is a fair valuation at this time given the opportunity for margin expansion in F2H12 vs. high sourcing costs and lack of pricing power in F2H11. We think the product continues to look better vs. LY, but are concerned that promotional activity at both Gap and BR (while effective traffic drivers) has trained the customer to wait for sales, eroding pricing power."
"We are raising our F3Q, F4Q & FY12 EPS estimates to $0.51, $0.61 & $1.80, respectively, up from $0.48, $0.55 & $1.72...We are introducing F1Q, F2Q, F3Q, F4Q & FY13 EPS estimates of $0.40, $0.38, $0.56, $0.68 & $2.02."
For an analyst ratings summary and ratings history on Gap, Inc. click here. For more ratings news on Gap, Inc. click here.
Shares of Gap, Inc. closed at $23.52 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Piper Sandler Reiterates Overweight Rating on Estee Lauder (EL), 'F4Q26 Preview'
- JD.com (JD) Reiterated at Buy by Benchmark Amid Earnings Recovery
- Jefferies on Five Below (FIVE): 'Our latest channel checks reinforce our view that FIVE's momentum extends well beyond viral Squish trends'
Create E-mail Alert Related Categories
Analyst Comments, Analyst EPS Change, Analyst EPS ViewRelated Entities
Needham & CompanySign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
