The Gap, Inc. GPS saw a big move last session, as the company’s shares fell by over 14% on Friday. The move came on pretty good volume too with far more shares changing hands than in a normal session. This continues the recent downtrend for GPS, as the stock is now down nearly 14% in the past one-month time frame.
On Jan 7, 2016, the company posted dismal sales and comparable-store sales (comps) results for Dec 2015, which in turn disappointed investors.
This slump shouldn’t be too much of a surprise to investors, as the apparel/shoe retailer has seen 7 negative revisions in the past few weeks and its current year earnings consensus has moved lower over the last 30 days. This suggests there may be more trouble down the road. So make sure to keep an eye on this stock going forward to see if this recent slump will continue, as the earnings picture definitely suggests that this might be the case.
GPS currently has a Zacks Rank #4 (Sell) while its Earnings ESP is negative.
A better-ranked stock in the apparel/shoe industry is Abercrombie & Fitch Co. ANF, which currently carries a Zacks Rank #1 (Strong Buy).
Is GPS going up? Or down? Predict to see what others think: Up or Down
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