Head-To-Head Comparison: Global Fashion Group (OTCMKTS:GLFGF) and GAP (NYSE:GPS)
by Mitch Edgeman · The Markets DailyGAP (NYSE:GPS – Get Free Report) and Global Fashion Group (OTCMKTS:GLFGF – Get Free Report) are both consumer cyclical companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, analyst recommendations, valuation, institutional ownership, dividends, earnings and risk.
Valuation & Earnings
This table compares GAP and Global Fashion Group”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| GAP | $15.00 billion | 0.00 | $502.00 million | $1.80 | N/A |
| Global Fashion Group | N/A | N/A | N/A | N/A | N/A |
GAP has higher revenue and earnings than Global Fashion Group.
Insider and Institutional Ownership
58.8% of GAP shares are owned by institutional investors. 30.8% of GAP shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.
Profitability
This table compares GAP and Global Fashion Group’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| GAP | 4.52% | 27.57% | 6.30% |
| Global Fashion Group | N/A | N/A | N/A |
Analyst Ratings
This is a breakdown of current ratings and target prices for GAP and Global Fashion Group, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| GAP | 0 | 7 | 8 | 0 | 2.53 |
| Global Fashion Group | 0 | 0 | 0 | 0 | N/A |
GAP currently has a consensus price target of $27.08, indicating a potential upside of ∞. Given GAP’s higher possible upside, research analysts clearly believe GAP is more favorable than Global Fashion Group.
Summary
GAP beats Global Fashion Group on 8 of the 8 factors compared between the two stocks.
About GAP
The Gap, Inc. operates as an apparel retail company. The company offers apparel, accessories, and personal care products for men, women, and children under the Old Navy, Gap, Banana Republic, and Athleta brands. Its products include adult apparel and accessories; and fitness and lifestyle products for use in yoga, training, sports, travel, and everyday activities for women and girls. The company offers its products through company-operated stores, franchise stores, websites, and third-party arrangements. It has franchise agreements to operate Old Navy, Gap, Banana Republic, and Athleta stores and websites in Asia, Europe, Latin America, the Middle East, and Africa. The Gap, Inc. was incorporated in 1969 and is headquartered in San Francisco, California.
About Global Fashion Group
Global Fashion Group S.A., together with its subsidiaries, operates e-commerce platforms for fashion and lifestyle markets in Latin America, Southeast Asia, Australia, and New Zealand. It offers products for various fashion and lifestyle categories, such as apparel, footwear, accessories, beauty, and sportswear. The company also provides associated ancillary services, such as marketing, technology, payment, warehousing, and logistics services; trustee, consultancy, finance, and IT services; and online retail services, as well as operates as a general partner. It operates through three e-commerce platforms, which include Dafiti, ZALORA, and THE ICONIC. The company was formerly known as Global Fashion Holding S.A. and changed its name to Global Fashion Group S.A. in March 2015. Global Fashion Group S.A. was founded in 2011 and is based in Senningerberg, Luxembourg.