The Gap
Financial ratios & Valuation

Forward Multiples (2026 – 2027)

2026202620272027
Price/Earnings ratio
N/AN/AN/AN/A
Price/Sales ratio
N/AN/AN/AN/A
Earnings per Share (EPS)
$0.79$1.74$1$2.14

Historical Multiples (2010 – 2022)

2010 2011 2012 2016 2017 2019 2020 2022 TTM Median
Valuation Ratios
Price/Earnings ratio
13.7011.9914.6511.0413.329.5918.6526.0911.2411.04
Price/Sales ratio
1.060.980.830.640.580.580.390.400.600.60
Price/Book Value ratio
3.083.534.423.993.102.701.972.452.953.10
Price/Cash Flow ratio
7.838.288.956.375.246.964.638.255.845.24
Price/Free Cash Flow ratio
9.4712.1614.9711.707.5314.2317.8858.107.807.53
Price/Earnings Growth ratio
0.810.62-0.86-0.48-0.540.46-0.28-0.18-0.19-0.48
Dividend Yield
1.54%1.74%1.93%3.71%4.07%3.87%5.56%3.38%2.44%4.07%
Profitability Indicator Ratios
Gross Profit Margin
40.31%40.15%36.24%36.20%36.34%38.13%37.43%39.81%41.24%36.20%
Operating Profit Margin
12.78%13.42%9.88%9.64%7.67%8.21%3.50%6.80%7.12%7.67%
Pretax Profit Margin
12.79%13.51%9.40%9.31%7.24%7.97%3.22%1.93%7.10%7.24%
Net Profit Margin
7.76%8.21%5.72%5.82%4.35%6.04%2.14%1.53%5.40%4.35%
Effective Tax Rate
39.31%39.25%39.15%37.45%39.85%24.13%33.52%20.74%24.00%39.85%
Return on Assets
13.80%17.04%11.22%12.31%8.88%12.46%2.56%2.00%6.94%8.88%
Return On Equity
22.53%29.50%30.23%36.14%23.27%28.22%10.58%9.40%29.03%29.03%
Return on Capital Employed
31.00%39.59%27.16%30.86%23.09%23.18%5.48%13.07%12.72%23.09%
Liquidity Ratios
Current Ratio
2.181.872.02N/AN/AN/AN/AN/A1.54N/A
Quick Ratio
1.270.891.020.831.010.970.730.520.840.83
Cash ratio
1.100.740.880.540.720.490.420.210.590.54
Days of Sales Outstanding
3.855.107.456.517.887.067.048.73N/A7.88
Days of Inventory outstanding
63.6267.3863.5567.8467.6375.8276.77109.7995.0567.84
Operating Cycle
67.4872.4871.0074.3575.5182.8983.81118.5395.0574.35
Days of Payables Outstanding
44.2443.6341.9540.2745.9340.0641.8070.9762.1040.27
Cash Conversion Cycle
23.2428.8529.0534.0829.5742.8242.0047.5532.9429.57
Debt Ratios
Debt Ratio
0.380.420.620.230.170.150.590.480.460.23
Debt Equity Ratio
0.630.731.690.680.450.352.432.291.740.68
Long-term Debt to Capitalization
N/AN/A0.360.330.300.260.680.660.600.33
Total Debt to Capitalization
N/AN/A0.370.400.310.260.700.690.630.40
Interest Coverage Ratio
302.5N/A19.43N/AN/AN/AN/AN/A15.72N/A
Cash Flow to Debt Ratio
N/AN/A0.810.921.301.100.170.120.281.30
Company Equity Multiplier
1.631.732.692.932.622.264.124.683.782.93
Cash Flow Ratios
Operating Cash Flow / Sales Ratio
0.130.110.090.100.110.080.080.040.100.10
Free Cash Flow / Operating Cash Flow Ratio
0.820.680.590.540.690.480.250.140.740.54
Cash Flow Coverage Ratio
N/AN/A0.810.921.301.100.170.120.281.30
Short Term Coverage Ratio
N/AN/A23.103.7826.44N/A1.531.102.5626.44
Dividend Payout Ratio
21.23%20.93%28.33%40.97%54.28%37.18%103.70%88.28%27.09%54.28%