Gap, Inc. (GPS) just posted better than expected August same-store sales as consumers flock to the company’s value oriented Old Navy stores.
Sales at stores open at least a year, a key retail industry performance metric, were only down 3%, ahead of the 7% expected by analysts. Gap noted that sales at its higher-end store Banana Republic were worse than expected, but buoyed by a strong performance from sales at the value oriented Old Navy.
Estimates Continue to Rise
With the company holding its own in a very tough environment, analysts continue to raise their earnings estimate. The current year is up 8 cents in the last month to $1.33 per share. The next-year estimate is up 9 cents in the same time to $1.42, a respectable 7% growth projection.
The Chart
Shares of GPS caught a second wind in early August, building on previous gains from earlier in the year. Take a look at the nice move below.
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