Shares of Gap (NYSE: GPS) plunged 24% on Wednesday after the retailer's third-quarter results fell well short of investors' expectations.

Gap -- which owns Old Navy, Banana Republic, and Athleta, in addition to its namesake brand -- saw sales slip 1% year over year to $3.9 billion. Coronavirus-related supply chain disruptions took a heavy toll on the company's ability to source inventory for its stores. 

Old Navy was hit particularly hard. The clothing and accessories chain's comparable sales fell 9%. "While we entered the third quarter with growing momentum, acute supply chain headwinds affected our ability to fully meet strong customer demand," CEO Sonia Syngal said in a statement.

Continue reading


Source Fool.com