12 Most Undervalued Retail Stocks To Buy According to Analysts

5. The Gap, Inc. (NYSE:GAP)

Forward P/E: 11.43

Analyst Upside: 30.11%

The Gap, Inc. (NYSE:GAP) is a specialty apparel company that offers apparel, accessories, and personal care products for men, women, and children. Its brand portfolio includes Gap, Banana Republic, Old Navy, and Athleta brands. This omnichannel retailer offers products to customers in both brick-and-mortar stores and online, through franchise and company-operated stores, websites, and third-party arrangements.

The Gap, Inc. (NYSE:GAP) takes the fifth spot on our list. The company is functioning with strong financial and operational rigor, which it continually reinforces through cultural accountability, better processes, and a focus on efficiency and effectiveness. Such focused attention is boosting profitability for the company, with net sales growing by 5% in fiscal Q2 2024.

The company is rising in popularity. By introducing trend-right products and employing compelling storytelling, The Gap, Inc. (NYSE:GAP) is benefitting from an innovative media mix leading to greater cultural relevance.