CNBC's Jim Cramer on Thursday highlighted two stocks in the retail space that he thinks investors have an opportunity to buy on the dip — Gap and Ralph Lauren — even as Wall Street worries broadly about tariffs and the strength of the consumer."As long as you don't think the entire economy's about to fall off a cliff, and there's still some of us who feel that way, then some of these high-quality retailers are looking darned cheap at these levels," he said. "Ralph Lauren and the Gap are my faves right now." ...

Financial Data and Key Metrics Changes - Gap Inc. achieved a full year EPS of $2.2, the highest since 2018, reflecting strong earnings power and sustainable growth [8][40] - Operating income increased by more than $500 million, with an operating margin improvement of 330 basis points compared to the previous year's adjusted rate [7][34] - The company ended the year with strong cash balances of approximately $2.6 billion and generated $1 billion in free cash flow during fiscal 2024 [11][41] Business Line Data and Key Metrics Changes - Old Navy's comparable sales were up 3%, marking its eighth consecutive quarter of market share gains [9][10] - Gap's comparable sales accelerated to 7%, achieving its highest quarterly comp in three years and seventh consecutive quarter of share gains [17][18] - Banana Republic's comps were up 4%, driven by improvements in women's business and a focus on classic styles [20][21] - Athleta faced challenges with a 2% decline in comps, although it maintained market share [22][23] Market Data and Key Metrics Changes - Gap Inc. gained market share for the eighth consecutive quarter, indicating strong consumer resonance across all brands [7][56] - The company reported positive comparable sales across all four brands for the year, demonstrating consistency and strength in the portfolio [32][35] Company Strategy and Development Direction - The company is transitioning its focus from fixing fundamentals to continuous improvement through innovation, aiming for momentum in the coming years [8][28] - Gap Inc. is leveraging technology and AI to enhance business performance and consumer experience, with plans for AI monetization opportunities [26][30] - The strategic priority includes driving relevance and revenue through brand reinvigoration, with each brand at different stages of progress [11][27] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ongoing transformation and the ability to navigate a dynamic macro environment while delivering results [28][29] - The outlook for fiscal 2025 includes expected net sales growth of approximately 1% to 2%, with continued strength at Old Navy and Gap, and a longer recovery timeline for Athleta [46][49] - Management emphasized the importance of controlling costs and leveraging efficiencies to support growth initiatives [45][48] Other Important Information - The company returned approximately $300 million to shareholders through dividends and share repurchases, reflecting a balanced capital allocation strategy [34][42] - Capital expenditures for 2025 are expected to be about $600 million, up 34% as the company invests in organic growth opportunities [42][43] Q&A Session Summary Question: What is driving the momentum at Gap? - Management highlighted that Gap's strong performance is fueled by innovation, compelling marketing, and a focus on product newness, leading to increased market share and consumer engagement [54][56][59] Question: Is there an opportunity for further expense cuts beyond the discussed $150 million? - Management confirmed that while they have rigorously managed costs, they remain committed to continuous improvement and will pursue additional savings if identified [64][66] Question: What are the plans to strengthen the Athleta brand? - Management acknowledged the need for continued work to excite core customers and emphasized the importance of balancing product interest while maintaining inventory management [83][86] Question: What has been the impact of the new creative director on Old Navy and Gap? - Management noted that the new creative director has significantly elevated the creative conversation and product fit across brands, contributing to improved performance [90][92]

NYSE CONTENT ADVISORY: PRE-MARKET UPDATE + NYSE ACCEPTS MEDAL OF HONOR SOCIETY AWARD The New York Stock Exchange (NYSE) is proud to offer a daily pre-market update directly from the NYSE Trading Floor. The NYSE became the first... ...

The Gap, Inc. (NYSE:GAP) Q4 2024 Earnings Conference Call March 6, 2025 5:00 PM ET Company Participants Whitney Notaro - Head of Investor Relations Richard Dickson - President and Chief Executive Officer Katrina O'Connell - Chief Financial Officer Conference Call Participants Alexandra Straton - Morgan Stanley Lorraine Hutchinson - Bank of America Merrill Lynch Matthew Boss - JPMorgan Chase & Co. Brooke Roach - Goldman Sachs Adrienne Yih - Barclays Dana Telsey - Telsey Advisory Group Irwin Boruchow - Wells ...

FOURTH QUARTER AND FISCAL YEAR 2024 RESULTS MARCH 6, 2025 Q4 Fiscal 2024 Forward Looking Statements / Non-GAAP Financial Measures FORWARD LOOKING STATEMENTS These materials and related earnings press release and conference call contain forward-looking statements within the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. All statements other than those that are purely historical are forward- looking statements. Forward-looking statements include statements identified as such ...

Financial Performance - Fiscal year 2024 net sales increased by 1% to $15.1 billion, with comparable sales up 3%[7] - Fourth quarter net sales were $4.1 billion, down 3% year-over-year, impacted by calendar shifts[3] - Full year operating income reached $1.1 billion, growing over 80% compared to the previous year[1] - Gross margin for fiscal year 2024 expanded by 250 basis points to 41.3%[7] - Fiscal year 2024 net sales were $15.1 billion, an increase from $14.9 billion in the previous year[26] - Gross profit for the fiscal year 2024 was $6.227 billion, up from $5.775 billion in fiscal year 2023[29] - Operating income for the fiscal year 2024 was $1.112 billion, significantly higher than $560 million in the previous year[29] - Net income for the fiscal year 2024 was $844 million, compared to $502 million in fiscal year 2023[31] - Free cash flow for fiscal year 2024 was $1.039 billion, down from $1.112 billion in fiscal year 2023[34] Future Outlook - Fiscal 2025 outlook projects net sales growth of 1% to 2% and operating income growth of 8% to 10%[12] - The effective tax rate for fiscal year 2025 is expected to be approximately 26%[12] - Capital expenditures for fiscal year 2025 are projected to be around $600 million, up from $447 million in fiscal year 2024[12] - The company plans to close approximately 35 stores in fiscal year 2025[12] Store Operations - The company operated a total of 2,506 stores as of February 1, 2025, down from 2,562 stores a year earlier, reflecting a net closure of 56 stores[40] - Old Navy North America opened 20 new stores but closed 14, resulting in a net increase of 6 stores[40] - The total square footage of company-operated stores was 30.1 million as of February 1, 2025, unchanged from the previous year[40] - Franchise store count increased to 1,063, with 139 new openings and 74 closures, resulting in a net increase of 65 stores[40] Sales Performance - For the 13 weeks ended February 1, 2025, net sales were $4.149 billion, compared to $4.298 billion for the same period last year[29] - Total net sales for the 13 weeks ended February 1, 2025, were $4,149 million, compared to $4,298 million for the 14 weeks ended February 3, 2024, representing a decrease of 3.5%[38] - For the fiscal year ending February 1, 2025, total net sales reached $15,086 million, a decline from $14,889 million for the fiscal year ending February 3, 2024, indicating a decrease of 1.3%[38] - Old Navy's U.S. sales for the 52 weeks ended February 1, 2025, were $7,706 million, while for the 53 weeks ended February 3, 2024, they were $7,460 million, showing an increase of 3.3%[38] - The company reported a total of $1,182 million in sales from Canada for the fiscal year ending February 1, 2025, compared to $1,221 million for the previous year, a decrease of 3.2%[38] Strategic Initiatives - The company plans to continue expanding its market presence through strategic initiatives and new store openings in key regions[40] - The company is focusing on enhancing its product offerings and technology development to drive future growth and improve customer engagement[40] Risks and Challenges - The company faced risks including global economic conditions, competitive pressures, and supply chain challenges that could impact future performance[23] Cash Flow and Assets - The company generated $1.5 billion in operating cash flow for fiscal year 2024[1] - Total assets increased to $11.885 billion as of February 1, 2025, from $11.044 billion a year earlier[28] - Total stockholders' equity rose to $3.264 billion, up from $2.595 billion in the previous year[28] - The company reported a diluted earnings per share of $2.20 for fiscal year 2024, compared to $1.34 in fiscal year 2023[29]

Core Insights - Banana Republic, a brand under Gap Inc., is launching an exclusive capsule collection inspired by HBO's Emmy-winning series, The White Lotus, in collaboration with Warner Bros. Discovery Global Consumer Products [1][2] Collection Overview - The White Lotus collection features 24 pieces of men's and women's apparel and accessories, designed to reflect the show's themes of adventure and travel, with vibrant colors and graphic prints [2][3] - The collection includes premium fabrics such as sustainable European Flax linen, lightweight cotton poplin, and 100% silk, emphasizing Banana Republic's commitment to craftsmanship [3] Marketing and Campaign - The campaign for the collection features Patrick Schwarzenegger and Shanina Shaik, showcasing an elevated lifestyle that aligns with both The White Lotus and Banana Republic [4][5] - The collection will be available starting March 6, 2025, in 26 select stores and online, with prices ranging from $40 to $300 [5] Company Background - Banana Republic, founded in 1978, aims to inspire modern explorers with high-quality collections and experiences [6] - Warner Bros. Discovery Global Consumer Products extends the company's entertainment brands into consumer products, partnering with various licensees for merchandising programs [7]

Core Insights - Athleta is expanding its Power of She Collective by adding WNBA stars Lexie Hull and Kate Martin, emphasizing the brand's commitment to empowering women and girls through sports [1][2][4] Company Overview - Athleta, a Gap Inc. brand, is a leading women's performance activewear company focused on inspiring and empowering women and girls through movement [6] - The brand integrates performance and technical features into its apparel, catering to various activities from yoga to travel [6] Industry Context - The women's sports sector is experiencing significant growth, highlighted by the WNBA's highest viewership and attendance in over 20 years and the launch of the Unrivaled league [1] - Athleta's initiatives align with the broader trend of increasing visibility and support for female athletes [4][5] Community Engagement - Athleta has partnered with Girls Inc. of Greater Miami to provide mentorship and programming aimed at developing strong, confident female leaders [2][7] - The brand hosted local youth at a recent Unrivaled match, allowing them to witness female athletes in action, and made a donation to support after-school programs for girls in low-income communities [2][8] Brand Ambassadors - Hull and Martin will collaborate with other prominent athletes in the Power of She Collective, including Simone Biles and Katie Ledecky, to influence product innovations and participate in impact programs [4][5]

Group 1: Itron, Inc. (ITRI) - Itron is a technology, solutions, and service company with a Zacks Rank 1 [1] - The Zacks Consensus Estimate for Itron's current year earnings has increased by 3.1% over the last 60 days [1] - Itron has a PEG ratio of 0.88, significantly lower than the industry average of 2.98, and possesses a Growth Score of B [1] Group 2: The Gap, Inc. (GAP) - The Gap is an apparel retail company with a Zacks Rank 1 [2] - The Zacks Consensus Estimate for The Gap's current year earnings has increased by 7.5% over the last 60 days [2] - The Gap has a PEG ratio of 1.06 compared to the industry average of 4.16, and also has a Growth Score of B [2] Group 3: nCino, Inc. (NCNO) - nCino is a software-as-a-service company with a Zacks Rank 1 [2] - The Zacks Consensus Estimate for nCino's current year earnings has increased by 7.5% over the last 60 days [2] - nCino has a PEG ratio of 2.07, which is slightly lower than the industry average of 2.22, and possesses a Growth Score of B [3]

The Gap, Inc (GAP) - The company carries a Zacks Rank 1 and has seen a 10.7% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - The company has a PEG ratio of 1.07, significantly lower than the industry average of 4.93 [1] - The company possesses a Growth Score of B [1] nCino, Inc (NCNO) - The company carries a Zacks Rank 1 and has seen a 7.5% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - The company has a PEG ratio of 2.11, slightly lower than the industry average of 2.28 [2] - The company possesses a Growth Score of B [2] Sterling Infrastructure, Inc (STRL) - The company carries a Zacks Rank 1 and has seen a 5.3% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [3] - The company has a PEG ratio of 1.84, slightly lower than the industry average of 1.93 [3] - The company possesses a Growth Score of A [3]