Why Gap Stock Plunged 17% in May

Shares of Gap (NYSE: GPS) stock lost 17% of their value in May, according to data from S&P Global Market Intelligence. Investors were disheartened by another negative earnings report.

Gap has been struggling with a changing retail landscape for years already. Once the most popular apparel retailer in the U.S., it's fallen out of favor as trends move in other directions and it tries to keep up.

The Gap brand in particular hasn't changed much in several decades, even as management continues to say that it's changing its identity. Its basics aren't appealing to newer consumers. Gap sales decline 13% from last year in the 2023 first quarter.

Source Fool.com