GAP: Jefferies drops buy rating
(CercleFinance.com) - An analyst at Jefferies has said that he is downgrading his rating on the Gap share after the group's "mixed" results.
The broker now recommends investors "Hold" the stock, against a previous "Buy" rating.
"We believe GPS needs a new permanent leader to turn the business around, and we expect the transformation to take time. With increasingly limited visibility ahead, we take a more conservative view on the stock," Jefferies says.
The analyst has therefore cut his corresponding target price to 17 dollars, vs. 24 dollars previously.
However, the stock seems to be resisting - at just after 4.30 pm (CET), the share was up over 1.5%.
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The broker now recommends investors "Hold" the stock, against a previous "Buy" rating.
"We believe GPS needs a new permanent leader to turn the business around, and we expect the transformation to take time. With increasingly limited visibility ahead, we take a more conservative view on the stock," Jefferies says.
The analyst has therefore cut his corresponding target price to 17 dollars, vs. 24 dollars previously.
However, the stock seems to be resisting - at just after 4.30 pm (CET), the share was up over 1.5%.
Copyright (c) 2020 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.