Gap (GAP) Q4 Earnings and Revenues Surpass Estimates

Core Insights - Gap reported quarterly earnings of $0.54 per share, exceeding the Zacks Consensus Estimate of$0.36 per share, and showing an increase from $0.49 per share a year ago, resulting in a 50$4.15 billion for the quarter ended January 2025, surpassing the Zacks Consensus Estimate by 2.02%, although this represents a decline from year-ago revenues of $4.3 billion [2] - Gap has consistently surpassed consensus EPS estimates over the last four quarters, indicating a positive trend in earnings performance [2] Earnings Outlook - The immediate price movement of Gap's stock will largely depend on management's commentary during the earnings call and future earnings expectations [3][4] - Current consensus EPS estimate for the upcoming quarter is$0.41 on revenues of $3.4 billion, while for the current fiscal year, the estimate is$2.14 on revenues of $15.28 billion [7] Industry Context - The Retail - Apparel and Shoes industry, to which Gap belongs, is currently ranked in the top 22% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]