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EV/EBITDA

6.1
Current
No historical data
Comparison unavailable

Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBITDA
6.1
=
Enterprise Value
€7.9B
/
EBITDA
$1.3B

Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBITDA
6.1
=
Enterprise Value
€7.9B
/
EBITDA
$1.3B

Valuation Scenarios

Gap Inc is trading above its 3-year average

If EV/EBITDA returns to its 3-Year Average (6.1), the stock would be worth €21.88 (0% downside from current price).

Statistics
Positive Scenarios
2/4
Maximum Downside
0%
Maximum Upside
+136%
Average Upside
55%
Scenario EV/EBITDA Value Implied Price Upside/Downside
Current Multiple 6.1 €21.88
0%
3-Year Average 6.1 €21.88
0%
5-Year Average 6.1 €21.88
0%
Industry Average 11.2 €40.13
+83%
Country Average 14.4 €51.52
+136%

Forward EV/EBITDA
Today’s price vs future ebitda

Today's Enterprise Value EBITDA Forward EV/EBITDA
€7.9B
/
May 2024
$1.3B
=
6.1
Current
€7.9B
/
Mar 2025
$1.4B
=
5.4
Forward
€7.9B
/
Mar 2026
$1.5B
=
5.1
Forward
€7.9B
/
Mar 2027
$1.7B
=
4.7
Forward

Forward EV/EBITDA shows whether today’s EV/EBITDA still looks high or low once future ebitda are taken into account.

Peer Comparison

All Multiples
EV/EBITDA
P/E
All Countries
Close
Market Cap EV/EBITDA P/E
US
Gap Inc
XMUN:GAP
8.1B EUR 6.1 12
ES
Industria de Diseno Textil SA
MAD:ITX
166.4B EUR 14.3 27.1
US
TJX Companies Inc
NYSE:TJX
182.7B USD 21.2 33.2
JP
Fast Retailing Co Ltd
TSE:9983
23.2T JPY 26 51.7
ZA
Pepkor Holdings Ltd
JSE:PPH
85.7B ZAR 6.5 15.2
US
Ross Stores Inc
NASDAQ:ROST
72.5B USD 21.4 33.8
ZA
Mr Price Group Ltd
JSE:MRP
41.8B ZAR 7.7 11.2
SE
H & M Hennes & Mauritz AB
STO:HM B
277.6B SEK 8.2 22.9
ZA
Foschini Group Ltd
JSE:TFG
23B ZAR 3.5 7.8
ZA
Truworths International Ltd
JSE:TRU
21.6B ZAR 8.1 7.7
US
Burlington Stores Inc
NYSE:BURL
21.2B USD 17.4 34.8

Market Distribution

Lower than 83% of companies in the United States of America
Percentile
17th
Based on 9 875 companies
17th percentile
7.3
Low
0 — 10
Typical Range
10 — 21.5
High
21.5 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 10
Median 14.4
70th Percentile 21.5
Max 1 767 274.1

Gap Inc
Glance View

Gap Inc., a veritable icon in the landscape of American retail, has navigated the ever-evolving world of fashion with a blend of nostalgia and innovation. Founded in 1969 by Donald and Doris Fisher in San Francisco, the company emerged during a time when reliable, affordable denim was hard to find—a gap, if you will, in the market that they keenly leveraged. Today, Gap Inc. stands as a conglomerate, maintaining a diverse portfolio of brands, including Old Navy, Banana Republic, Athleta, and of course, its namesake Gap stores. Each brand caters to distinct demographics, allowing Gap Inc. to capture a wide customer base ranging from the budget-conscious, fashion-forward youth to the more mature, professional, and health-oriented consumers. The essence of Gap Inc.'s business model lies in its ability to marry robust supply chain logistics with a high-street retail presence, supplemented by a dynamic e-commerce strategy. The company generates revenue through the direct sale of clothing, accessories, and personal care products across its various labels. Beyond traditional brick-and-mortar stores, Gap Inc. has invested heavily in optimizing its online platforms to adapt to shifting consumer behaviors, especially in the wake of the digital shopping era. This dual-channel approach enhances customer engagement and expands reach across geographic and demographic boundaries. By balancing brand revitalization efforts with strategic pricing and inventory management, Gap Inc. strives to maintain its status as a stalwart in the global fashion industry while continuing to pursue avenues for growth and differentiation in a competitive market.

GAP Intrinsic Value
Not Available
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