In the latest trading session, Gap (GPS) closed at $17.47, marking a -0.51% move from the previous day. This change was narrower than the S&P 500's 0.54% loss on the day. At the same time, the Dow lost 0.02%, and the tech-heavy Nasdaq lost 0.12%.

Coming into today, shares of the clothing chain had lost 0.51% in the past month. In that same time, the Retail-Wholesale sector lost 12.57%, while the S&P 500 lost 7.87%.

Wall Street will be looking for positivity from Gap as it approaches its next earnings report date. On that day, Gap is projected to report earnings of -$0.12 per share, which would represent a year-over-year decline of 142.86%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.53 billion, up 2.46% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.35 per share and revenue of $16.69 billion. These totals would mark changes of +163.98% and +20.93%, respectively, from last year.

Any recent changes to analyst estimates for Gap should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.09% higher. Gap is holding a Zacks Rank of #3 (Hold) right now.

Investors should also note Gap's current valuation metrics, including its Forward P/E ratio of 13.01. This valuation marks a premium compared to its industry's average Forward P/E of 11.95.

Investors should also note that GPS has a PEG ratio of 1.08 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Retail - Apparel and Shoes industry currently had an average PEG ratio of 0.8 as of yesterday's close.

The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 78, which puts it in the top 31% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.

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