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GAP vs TM

GAP
The Gap, Inc.
NEUTRAL
Price
$24.99
Market Cap
$9.13B
Sector
Consumer Cyclical
AI Confidence
85%
TM
Toyota Motor Corporation
NEUTRAL
Price
$209.75
Market Cap
$273.37B
Sector
Consumer Cyclical
AI Confidence
85%

Valuation

P/E Ratio
GAP
11.73
TM
11.84
Forward P/E
GAP
9.57
TM
13.29
P/B Ratio
GAP
2.45
TM
11.21
P/S Ratio
GAP
0.59
TM
0.01
EV/EBITDA
GAP
7.45
TM
4.71

Profitability

Gross Margin
GAP
40.79%
TM
17.6%
Operating Margin
GAP
4.89%
TM
8.85%
Profit Margin
GAP
5.31%
TM
7.32%
ROE
GAP
23.1%
TM
10.03%
ROA
GAP
5.62%
TM
2.73%

Growth

Revenue Growth
GAP
2.1%
TM
8.6%
Earnings Growth
GAP
-16.0%
TM
-42.3%

Financial Health

Debt/Equity
GAP
1.48
TM
1.05
Current Ratio
GAP
1.75
TM
1.26
Quick Ratio
GAP
1.0
TM
1.03

Dividends

Dividend Yield
GAP
2.8%
TM
2.78%
Payout Ratio
GAP
30.99%
TM
33.2%

AI Verdict

GAP NEUTRAL

GAP exhibits a strong deterministic health profile with a Piotroski F-Score of 7/9, indicating solid operational improvement despite a lack of Altman Z-Score data. However, the stock is currently trading at a premium to both its Graham Number ($22.13) and Intrinsic Value ($14.91), suggesting limited valuation upside. While the balance sheet is stable and the P/E ratio is low relative to the sector, significant headwinds include negative earnings growth (-16% YoY) and a starkly bearish insider sentiment. The disconnect between analyst 'Buy' ratings and the 0/100 technical trend suggests a high-risk environment for new entries.

Strengths
Strong Piotroski F-Score (7/9) indicating improving financial health
Low P/E ratio (11.73) compared to the Consumer Cyclical sector average (34.14)
Healthy Return on Equity (ROE) of 23.10%
Risks
Negative earnings growth (-16% YoY) and declining Q/Q EPS
Heavy insider selling with $14.19M in net outflows and zero buys
Stagnant revenue growth (2.10%) failing to keep pace with inflation
TM NEUTRAL

TM shows neutral fundamentals based on deterministic rules. Financial strength is stable (F-Score 4/9). Mixed signals with both opportunities and risks present.

Strengths
Attractive valuation with P/E of 11.8
Risks
Premium vs Graham Number ($86.36)

Compare Another Pair

GAP vs TM: Head-to-Head Comparison

This page compares The Gap, Inc. (GAP) and Toyota Motor Corporation (TM) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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