Gap Inc Stock Market Value
| GPS Stock | USD 20.11 0.80 3.83% |
| Symbol | Gap |
Gap Inc Price To Book Ratio
Is Gap's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Gap. If investors know Gap will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Gap listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.25) | Dividend Share 0.6 | Earnings Share 1.34 | Revenue Per Share 40.241 | Quarterly Revenue Growth 0.013 |
The market value of Gap Inc is measured differently than its book value, which is the value of Gap that is recorded on the company's balance sheet. Investors also form their own opinion of Gap's value that differs from its market value or its book value, called intrinsic value, which is Gap's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Gap's market value can be influenced by many factors that don't directly affect Gap's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Gap's value and its price as these two are different measures arrived at by different means. Investors typically determine if Gap is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Gap's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Gap 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Gap's stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Gap.
| 05/06/2022 |
| 04/25/2024 |
If you would invest 0.00 in Gap on May 6, 2022 and sell it all today you would earn a total of 0.00 from holding Gap Inc or generate 0.0% return on investment in Gap over 720 days. Gap is related to or competes with Shoe Carnival, Hibbett Sports, Zumiez, Tillys, Duluth Holdings, and Lands End. The company offers apparel, accessories, and personal care products for men, women, and children under the Old Navy, Gap... More
Gap Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Gap's stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Gap Inc upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 2.45 | |||
| Information Ratio | 0.0169 | |||
| Maximum Drawdown | 12.81 | |||
| Value At Risk | (3.87) | |||
| Potential Upside | 4.93 |
Gap Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Gap's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Gap's standard deviation. In reality, there are many statistical measures that can use Gap historical prices to predict the future Gap's volatility.| Risk Adjusted Performance | 0.0387 | |||
| Jensen Alpha | 0.0028 | |||
| Total Risk Alpha | (0.21) | |||
| Sortino Ratio | 0.0184 | |||
| Treynor Ratio | 0.0797 |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Gap's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Gap Inc Backtested Returns
We consider Gap not too volatile. Gap Inc holds Efficiency (Sharpe) Ratio of 0.0282, which attests that the entity had a 0.0282% return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for Gap Inc, which you can use to evaluate the volatility of the firm. Please check out Gap's Market Risk Adjusted Performance of 0.0897, downside deviation of 2.45, and Risk Adjusted Performance of 0.0387 to validate if the risk estimate we provide is consistent with the expected return of 0.077%. Gap has a performance score of 2 on a scale of 0 to 100. The company retains a Market Volatility (i.e., Beta) of 1.54, which attests to a somewhat significant risk relative to the market. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Gap will likely underperform. Gap Inc right now retains a risk of 2.73%. Please check out Gap expected short fall, and the relationship between the maximum drawdown and rate of daily change , to decide if Gap will be following its current trending patterns.
Auto-correlation | 0.45 |
Average predictability
Gap Inc has average predictability. Overlapping area represents the amount of predictability between Gap time series from 6th of May 2022 to 1st of May 2023 and 1st of May 2023 to 25th of April 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Gap Inc price movement. The serial correlation of 0.45 indicates that just about 45.0% of current Gap price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.45 | |
| Spearman Rank Test | 0.34 | |
| Residual Average | 0.0 | |
| Price Variance | 34.69 |
Gap Inc lagged returns against current returns
Autocorrelation, which is Gap stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Gap's stock expected returns. We can calculate the autocorrelation of Gap returns to help us make a trade decision. For example, suppose you find that Gap has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Gap regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Gap stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Gap stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Gap stock over time.
Current vs Lagged Prices |
| Timeline |
Gap Lagged Returns
When evaluating Gap's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Gap stock have on its future price. Gap autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Gap autocorrelation shows the relationship between Gap stock current value and its past values and can show if there is a momentum factor associated with investing in Gap Inc.
Regressed Prices |
| Timeline |
Gap Investors Sentiment
The influence of Gap's investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Gap. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock market does not have solid backing from leading economists and market statisticians.
Investor biases related to Gap's public news can be used to forecast risks associated with an investment in Gap. The trend in average sentiment can be used to explain how an investor holding Gap can time the market purely based on public headlines and social activities around Gap Inc. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Gap's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Gap's and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average Gap's news discussions. The higher the estimated score, the more favorable is the investor's outlook on Gap.
Gap Implied Volatility | 164.82 |
Gap's implied volatility exposes the market's sentiment of Gap Inc stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Gap's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Gap stock will not fluctuate a lot when Gap's options are near their expiration.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Gap in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Gap's short interest history, or implied volatility extrapolated from Gap options trading.
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Complementary Tools for Gap Stock analysis
When running Gap's price analysis, check to measure Gap's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Gap is operating at the current time. Most of Gap's value examination focuses on studying past and present price action to predict the probability of Gap's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Gap's price. Additionally, you may evaluate how the addition of Gap to your portfolios can decrease your overall portfolio volatility.
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Gap technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.