An employee hands a customer a shopping bag at an Old Navy store in San Francisco.
David Paul Morris | Bloomberg | Getty Images
JPMorgan called Gap a specialty retail pick and added it to its "America's Analyst Focus List" despite long-term mall-based and retail worries.
"Our recent fieldwork points to signs of more stable footing at the Old Navy concept with encouraging underlying signs pointing to core Gap product," wrote JPMorgan chief analyst Matthew Boss in Friday's note. Gap CEO Arthur Peck "expressed clear confidence in Old Navy's top-line trajectory and spoke to acceleration of underlying trends in "winnable" core Gap loyalty categories."
