Shares of Gap Inc. on Tuesday fell to their lowest intraday trading price in more than four years, despite an upgrade of the stock by CL King & Assoc. to "neutral" from "underperform," based on valuation.
Shares of Gap Inc. on Tuesday fell to their lowest intraday trading price in more than four years, despite an upgrade of the stock by CL King & Assoc. to "neutral" from "underperform," based on valuation.While stock in Gap rose 0.12 percent to close at $16.03, in trading on the New York Stock Exchange, shares at one point fell to $15.77, their lowest trading price since April 2003. Nearly 14.3 million shares changed hands, compared with a three-month average volume of nearly 7.2 million."At this valuation, we believe it is best to monitor the progress the company may or may not make with its new leadership, new season of merchandise and expense reductions," CL King analyst Mark K. Montagna said in a research note.At the same time, Montagna noted that Gap's buyout buzz, which may have bloated the stock's valuation, is over."Gap Inc. has not been a takeout candidate since Robert Fisher [then acting chief executive officer] squelched such speculation on the [fourth-quarter, fiscal year 2006] earnings call," Montagna said. "The froth related to takeover speculation has long dissipated and should be fully removed with the weakened private equity environment."The retailer, which operates Gap, Banana Republic and Old Navy, has struggled in recent years to attract customers, especially to its Gap nameplate stores.In January, the company ousted Paul Pressler as its ceo. Last month, Gap named Glenn Murphy, who was the ceo of Shoppers Drug Mart Inc., the largest drugstore chain in Canada, to the post. Gap previously said it was searching for an executive with "deep retailing and merchandising experience, ideally in apparel."A.G. Edwards analyst Robert Buchanan rates Gap shares at "sell.""I'm also concerned about the new ceo's lack of fashion background, and I hardly think this difficult situation at the Gap lends itself to on-the-job training," Buchanan said. "Retailing to me is all about momentum. When you get behind like the Gap has on several years of poor performance, I don't think you're likely to catch up."
To celebrate Pride 2018, @themarcjacobs released the #GratefulNotHateful campaign, a social media initiative aimed at extending Pride beyond the parade. Inspired by Jacobs’ everyday outlook, the campaign features Jacobs along with a group of models and social media stars who are members and supporters of the LGBT community, all seen wearing @marcbeauty’s Highliner Gel Eye Crayons in colors of the rainbow. Head to our Instagram stories to see close-ups of the liner. #wwdbeauty
Virgil Abloh’s dad Nee and Don Crawley, cofounder of RSVP Gallery, were some of the hometown crew at the Chicago-born designer’s debut show for Louis Vuitton. (📸: @jdiderich ) #wwdmens #louisvuitton #virgilabloh
About last night: @marycharteris and @adwoaaboah hit up Hyde Park for the Serpentine Galleries’ annual summer party held in partnership with @chanelofficial. Head to WWD.com to see more photos. #wwdfashion
“This is Paris, my first show. I’m all about democracy. If some kid shows up, flew from New Jersey to just be around, let’s get him a seat.” — @virgilabloh tells WWD’s @jdiderich ahead of his first show for @louisvuitton men’s. (📸: @alfredo_piola ) #wwdmens #virgilabloh #louisvuitton
“Kate Spade was a true fashion icon who brought joy to the lives of women around the world, and inspired women to live life to the fullest. We are dedicated to carrying on her legacy,” said Anna Bakst, brand president and chief executive officer of @katespadeny. The Kate Spade Foundation announced that it will be donating $1 million to suicide prevention and mental health awareness in tribute to the recent death of Kate Spade. Read more on WWD.com. #wwdnews (📷: @chinseephoto)
A first look at @virgilabloh’s sneakers for @louisvuitton. Abloh spoke to WWD about his debut collection for Louis Vuitton, creating @kendalljenner’s #metgala outfit and redefining the heritage brand. Read the full story on WWD.com. #wwdfashion 📷: @alfredo_piola)
The world’s largest producer of denim @iskodenim is sharing the strategy behind its product development process. Read our full interview with ISKO’s product development manager Baris Ozden on the company’s extensive research practices, upcoming denim trends and the latest material innovations on WWD.com. #iskodenim