Gap Credit Rating May Be Raised by Moody’s

Gap Inc. may have its credit rating raised to investment grade by Moody’s Investors Service because the retailer has kept improving operating margins even as sales have softened.

Gap’s long-term rating of Ba1, the highest non-investment ranking, is under review for a possible upgrade, Moody’s said.

On Wednesday, Fitch Ratings raised the bonds of the nation’s largest clothing retailer to investment grade after Gap reduced debt and improved profit.

Shares of Gap rose a penny to $20.86 on the New York Stock Exchange.