Gap's Comeback Plan is Taking Shape, Analysts Say -- Market Talk

1403 ET - UBS analysts say they see Gap's plan coming together, even as the market focuses intently on struggles at its Old Navy brand. The analysts point to multiple initiatives aimed at driving sales like new store openings, expansions into categories like beauty and accessories, new partnerships and efforts to continue elevating product and marketing. Gap also has plans to expand its margins, and is solidifying its senior leadership team, they say. While this year is a transition period, the analysts think next year Gap will reveal how its efforts fit together for earnings to grow at a sustainable mid-teens multiyear annual growth rate. "We think this will positively catalyze the stock," they say. (kelly.cloonan@wsj.com)

(END) Dow Jones Newswires

August 28, 2026 14:03 ET (18:03 GMT)