GAP Target of Unusually Large Options Trading (NYSE:GAP)

The Gap, Inc. (NYSE:GAP) was the target of unusually large options trading on Tuesday. Stock investors bought 44,102 call options on the stock. This is an increase of approximately 236% compared to the typical daily volume of 13,116 call options.

GAP Stock Down 1.4 %

Shares of GAP stock opened at $23.74 on Wednesday. The company has a market cap of $8.95 billion, a PE ratio of 10.99, a P/E/G ratio of 1.08 and a beta of 2.37. The company has a current ratio of 1.54, a quick ratio of 0.84 and a debt-to-equity ratio of 0.47. GAP has a 12-month low of $18.34 and a 12-month high of $30.75. The business’s 50 day moving average is $23.51.

GAP (NYSE:GAP) last posted its quarterly earnings results on Thursday, November 21st. The company reported $0.72 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.56 by $0.16. GAP had a net margin of 5.40% and a return on equity of 29.03%. The firm had revenue of $3.83 billion for the quarter, compared to analyst estimates of $3.81 billion. During the same period in the prior year, the firm posted $0.59 earnings per share. The company’s quarterly revenue was up 1.6% compared to the same quarter last year. On average, sell-side analysts expect that GAP will post 2.02 EPS for the current year.

GAP Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, January 29th. Investors of record on Wednesday, January 8th will be issued a dividend of $0.15 per share. This represents a $0.60 dividend on an annualized basis and a yield of 2.53%. The ex-dividend date of this dividend is Wednesday, January 8th. GAP’s payout ratio is currently 27.78%.

Wall Street Analysts Forecast Growth

Several brokerages have recently issued reports on GAP. Argus raised shares of GAP to a “hold” rating in a research report on Thursday, September 19th. UBS Group increased their target price on GAP from $14.00 to $16.00 and gave the stock a “sell” rating in a report on Friday, November 22nd. Barclays boosted their price target on GAP from $31.00 to $32.00 and gave the company an “overweight” rating in a report on Friday, November 22nd. Bank of America increased their price objective on GAP from $25.00 to $28.00 and gave the stock a “neutral” rating in a report on Friday, November 22nd. Finally, Guggenheim restated a “buy” rating and issued a $35.00 target price on shares of GAP in a research note on Friday, November 22nd. One equities research analyst has rated the stock with a sell rating, four have given a hold rating and six have assigned a buy rating to the company. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus target price of $28.50.

Insider Buying and Selling

In related news, major shareholder John J. Fisher sold 250,000 shares of the business’s stock in a transaction that occurred on Friday, December 13th. The stock was sold at an average price of $24.18, for a total value of $6,045,000.00. Following the completion of the transaction, the insider now directly owns 1,000,752 shares in the company, valued at approximately $24,198,183.36. The trade was a 19.99 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO Katrina O’connell sold 87,557 shares of the stock in a transaction that occurred on Tuesday, December 3rd. The stock was sold at an average price of $25.45, for a total value of $2,228,325.65. The disclosure for this sale can be found here. In the last quarter, insiders have sold 955,375 shares of company stock valued at $24,316,219. 31.00% of the stock is owned by company insiders.

GAP Company Profile

The Gap, Inc operates as an apparel retail company. The company offers apparel, accessories, and personal care products for men, women, and children under the Old Navy, Gap, Banana Republic, and Athleta brands. Its products include adult apparel and accessories; and fitness and lifestyle products for use in yoga, training, sports, travel, and everyday activities for women and girls.