NEW YORK (TheStreet) -- Shares of Gap were falling 2.2% to $41.80 after-hours Thursday after the clothing retailer announced sales results for March. Gap announced that comparable store sales grew 2% in March, compared to a 6% decrease in the year-ago month. Comparable store sales brand fell 7% year over year for the Gap, and fell 3% for the Banana Republic brand. Comparable store sales grew 14% for the Old Navy brand. The retailer said that net sales grew 1% year over year to $1.53 billion for March, compared to $1.51 billion in March 2014. "We are especially pleased with the strong customer response to Old Navy during this peak spring shopping month, and we remain focused on the steps necessary to drive improved product consistency across our entire portfolio," Gap CFO said in a statement. TheStreet Ratings team rates GAP INC as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation: "We rate GAP INC (GPS) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, reasonable valuation levels, good cash flow from operations, expanding profit margins and largely solid financial position with reasonable debt levels by most measures. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results." Highlights from the analysis by TheStreet Ratings Team goes as follows: GPS's revenue growth trails the industry average of 13.2%. Since the same quarter one year prior, revenues slightly increased by 2.9%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share. Net operating cash flow has increased to $1,015.00 million or 34.97% when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of 22.47%. 38.45% is the gross profit margin for GAP INC which we consider to be strong. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of 6.77% trails the industry average. The current debt-to-equity ratio, 0.45, is low and is below the industry average, implying that there has been successful management of debt levels. Although the company had a strong debt-to-equity ratio, its quick ratio of 0.80 is somewhat weak and could be cause for future problems. You can view the full analysis from the report here: GPS Ratings Report Must Read: Warren Buffett's Top 25 Stocks for 2015
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