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It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.
Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.
Why This 1 Growth Stock Should Be On Your Watchlist
Growth investors build their portfolios around companies that are financially strong and have a bright future, and the Growth Style Score helps take projected and historical earnings, sales, and cash flow into account to uncover stocks that will see long-term, sustainable growth.
Gap (GAP)
With more than 3,500 stores worldwide, The Gap, Inc. is a premier international specialty retailer offering a diverse range of clothing, accessories, and personal care products. It offers products for men, women, and children under the Old Navy, Gap, Banana Republic, Athleta, Intermix, and Hill City brands. Moreover, the company’s products include denim, tees, button-downs, khakis, and other trendy assortments as well as fitness and lifestyle products for training, sports, travel, yoga and other activities. Notably, the company offers its products through company-operated stores, franchise stores, websites, third-party arrangements, as well as catalogs. As of Feb. 1, 2025, Gap had 3,569 stores in nearly 40 countries, of which 2,506 were company-operated.
GAP boasts a Growth Style Score of A and VGM Score of A, and holds a Zacks Rank #1 (Strong Buy) rating. Its bottom-line is projected to rise 7.7% year-over-year for 2026, while Wall Street anticipates its top line to improve by 1.6%.
Seven analysts revised their earnings estimate upwards in the last 60 days for fiscal 2026. The Zacks Consensus Estimate has increased $0.22 to $2.37 per share. GAP boasts an average earnings surprise of 77.5%.
Gap is also cash rich. The company has generated cash flow growth of 0.7%, and is expected to report cash flow expansion of 26.9% in 2026.
With solid fundamentals, a good Zacks Rank, and top-tier Growth and VGM Style Scores, GAP should be on investors' short lists.
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The Gap, Inc. (GAP) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).