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Gap Shares Jump 8% as Retailer Beats Estimates and Raises Full-Year Sales Outlook

Gap Inc. (NYSE:GAP) raised its annual guidance on Thursday after delivering third-quarter results that exceeded analyst expectations, supported by strong comparable sales growth in denim, activewear, and kids’ and baby apparel. Shares climbed 8% intra-day on Friday following the release.

The company reported earnings of $0.62 per diluted share, down from $0.72 a year earlier but topping the $0.53 analyst consensus. Revenue increased to $3.94 billion from $3.82 billion last year, surpassing expectations of $3.90 billion.

Comparable sales rose 5% in the quarter, with solid gains across Old Navy, Gap, and Banana Republic.

Gap raised the lower end of its fiscal 2025 net sales growth forecast to 1.7%–2%, compared with prior guidance of 1%–2%.

Published on: November 21, 2025

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