Gap Inc
NYSE:GAP
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P/OCF
Price to Operating Cash Flow (P/OCF) ratio compares a company`s market value to the cash it generates from its core operations.
Price to Operating Cash Flow (P/OCF) ratio compares a company`s market value to the cash it generates from its core operations.
Valuation Scenarios
If P/OCF returns to its 3-Year Average (5.2), the stock would be worth $26.65 (0% upside from current price).
| Scenario | P/OCF Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 5.2 | $26.65 |
0%
|
| 3-Year Average | 5.2 | $26.65 |
+0%
|
| 5-Year Average | 5.2 | $26.65 |
+0%
|
| Industry Average | 11.9 | $60.61 |
+127%
|
| Country Average | 13.3 | $67.8 |
+154%
|
Forward P/OCF
Today’s price vs future operating cash flow
Peer Comparison
| Market Cap | P/OCF | P/E | ||||
|---|---|---|---|---|---|---|
| US |
|
Gap Inc
NYSE:GAP
|
8.1B USD | 5.2 | 12 | |
| ES |
|
Industria de Diseno Textil SA
MAD:ITX
|
169.3B EUR | 18.2 | 27 | |
| US |
|
TJX Companies Inc
NYSE:TJX
|
176.3B USD | 25.6 | 32.1 | |
| JP |
|
Fast Retailing Co Ltd
TSE:9983
|
22.6T JPY | 29 | 47.3 | |
| ZA |
P
|
Pepkor Holdings Ltd
JSE:PPH
|
85.9B ZAR | 19.2 | 15.2 | |
| US |
|
Ross Stores Inc
NASDAQ:ROST
|
72.7B USD | 24 | 33.9 | |
| ZA |
M
|
Mr Price Group Ltd
JSE:MRP
|
43.4B ZAR | 5.1 | 11.6 | |
| SE |
|
H & M Hennes & Mauritz AB
STO:HM B
|
284B SEK | 9.2 | 23.1 | |
| ZA |
F
|
Foschini Group Ltd
JSE:TFG
|
23.2B ZAR | 3.8 | 7.9 | |
| ZA |
T
|
Truworths International Ltd
JSE:TRU
|
22.3B ZAR | 8.8 | 8 | |
| US |
|
Burlington Stores Inc
NYSE:BURL
|
21.4B USD | 17.4 | 35.1 |
Market Distribution
| Min | 0 |
| 30th Percentile | 8.8 |
| Median | 13.3 |
| 70th Percentile | 20.1 |
| Max | 3 188 432.5 |
Other Multiples
Gap Inc
Glance View
Gap Inc., a veritable icon in the landscape of American retail, has navigated the ever-evolving world of fashion with a blend of nostalgia and innovation. Founded in 1969 by Donald and Doris Fisher in San Francisco, the company emerged during a time when reliable, affordable denim was hard to find—a gap, if you will, in the market that they keenly leveraged. Today, Gap Inc. stands as a conglomerate, maintaining a diverse portfolio of brands, including Old Navy, Banana Republic, Athleta, and of course, its namesake Gap stores. Each brand caters to distinct demographics, allowing Gap Inc. to capture a wide customer base ranging from the budget-conscious, fashion-forward youth to the more mature, professional, and health-oriented consumers. The essence of Gap Inc.'s business model lies in its ability to marry robust supply chain logistics with a high-street retail presence, supplemented by a dynamic e-commerce strategy. The company generates revenue through the direct sale of clothing, accessories, and personal care products across its various labels. Beyond traditional brick-and-mortar stores, Gap Inc. has invested heavily in optimizing its online platforms to adapt to shifting consumer behaviors, especially in the wake of the digital shopping era. This dual-channel approach enhances customer engagement and expands reach across geographic and demographic boundaries. By balancing brand revitalization efforts with strategic pricing and inventory management, Gap Inc. strives to maintain its status as a stalwart in the global fashion industry while continuing to pursue avenues for growth and differentiation in a competitive market.