Dow Jones Today: Stocks Rise to End Down Week; Fed’s Williams Signals Support for December Rate Cut

This Clothing Chain Feels Good About the Holiday Season. Its Stock Is Rising

16 minutes ago

Shares of Gap took off after the clothing retailer exceeded earnings and revenue estimates and boosted its guidance on strong demand at its namesake locations.

The company, which also operates the Banana Republic, Old Navy, and Athleta chains, reported third quarter fiscal 2025 adjusted earnings per share of $0.62, with revenue up 3% to $3.94 billion. Analysts surveyed by Visible Alpha were looking for $0.58 and $3.91 billion, respectively. 

Gap’s (GAP) overall comparable store sales increased 5%. They rose 7% at Gap, 6% at Old Navy, and 4% at Banana Republic. Comparable sales slumped 11% at Athleta.

The “strength of our third quarter and quarter-to-date performance positions us well for the holiday selling season,” said CEO Richard Dixon. The company now sees fiscal 2025 sales increasing 1.7% to 2%, up from its previous estimate of 1% to 2%, and expects its operating margin to grow approximately 7.2%, above its previously issued range.

The news lifted Gap shares 8% and into positive territory for the year, offering investors a measure of optimism after an up-and-down 2025.

–Bill McColl

Elastic Shares Sink Despite Strong Results, Lifted Outlook

23 minutes ago

After the close yesterday, Elastic (ESTC) posted better-than-expected results and raised…