Microsoft strongly encourages users to switch to a different browser than Internet Explorer as it no longer meets modern web and security standards. Therefore we cannot guarantee that our site fully works in Internet Explorer. You can use Chrome or Firefox instead.

Gap Stock Plunged on Wednesday: Can It Recover?

TheMotleyFool

0 0

Gap Stock Plunged on Wednesday: Can It Recover?

Gap (NYSE: GPS) shares fell precipitously earlier this year, as the COVID-19 pandemic wreaked havoc on the apparel market. Sales plunged 43% in the first quarter of fiscal 2020, and the company recorded a massive operating loss of $1.2 billion (including a $484 million impairment charge). Gap stock bottomed on April 2 at just $5.26.

A funny thing happened next. Gap stock quintupled between its early April low and the beginning of this week, surpassing $26. An earnings miss on Tuesday finally halted the stock's momentum, though. Gap shares plummeted 20% to $21.60 on Wednesday.