Abercrombie & Fitch Company (ANF)vsThe Gap, Inc. (GAP)
ANF
Abercrombie & Fitch Company
$102.58
-0.65%
CONSUMER CYCLICAL · Cap: $4.20B
GAP
The Gap, Inc.
$20.29
+0.40%
CONSUMER CYCLICAL · Cap: $7.33B
Smart Verdict
WallStSmart Research — data-driven comparison
The Gap, Inc. generates 192% more annual revenue ($15.40B vs $5.28B). ANF leads profitability with a 9.3% profit margin vs 6.3%. GAP appears more attractively valued with a PEG of 1.09. GAP earns a higher WallStSmart Score of 69/100 (B-).
ANF
Buy50
out of 100
Grade: C-
GAP
Strong Buy69
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-68.1%
Fair Value
$59.10
Current Price
$102.58
$43.48 premium
Margin of Safety
-26.3%
Fair Value
$21.75
Current Price
$20.29
$1.46 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Every $100 of equity generates 36 in profit
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Earnings expanding 76.5% YoY
Every $100 of equity generates 21 in profit
Reasonable price relative to book value
Areas to Watch
1.5% revenue growth
Weak financial health signals
Expensive relative to growth rate
Earnings declined 7.5%
1.0% revenue growth
6.3% margin — thin
Elevated debt levels
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : ANF
The strongest argument for ANF centers on P/E Ratio, Return on Equity, Altman Z-Score.
Bull Case : GAP
The strongest argument for GAP centers on P/E Ratio, EPS Growth, Return on Equity. PEG of 1.09 suggests the stock is reasonably priced for its growth.
Bear Case : ANF
The primary concerns for ANF are Revenue Growth, Piotroski F-Score, PEG Ratio.
Bear Case : GAP
The primary concerns for GAP are Revenue Growth, Profit Margin, Debt/Equity. Debt-to-equity of 1.54 is elevated, increasing financial risk.
Key Dynamics to Monitor
GAP carries more volatility with a beta of 2.02 — expect wider price swings.
ANF is growing revenue faster at 1.5% — sustainability is the question.
GAP generates stronger free cash flow (78M), providing more financial flexibility.
Monitor APPAREL RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
GAP scores higher overall (69/100 vs 50/100). Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Abercrombie & Fitch Company
CONSUMER CYCLICAL · APPAREL RETAIL · USA
Abercrombie & Fitch Co., is a specialty retailer. The company is headquartered in New Albany, Ohio.
The Gap, Inc.
CONSUMER CYCLICAL · APPAREL RETAIL · USA
The Gap, Inc. (GAP) is a leading global apparel retailer established in 1969, renowned for its strong portfolio of brands, including Gap, Banana Republic, Old Navy, and Athleta. Headquartered in San Francisco and operating in over 40 countries, the company emphasizes quality, style, and value to cater to a diverse customer base. In response to the evolving retail environment, Gap is aggressively pursuing digital transformation and sustainability initiatives, focusing on enhancing its e-commerce capabilities and introducing innovative product offerings to drive growth and maintain its competitive edge in the marketplace.
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