Stifel Canada Cuts Earnings Estimates for Gildan Activewear

Key Points

• Gildan Activewear's FY2025 earnings per share forecast has been lowered by Stifel Canada from $3.52 to $3.50, though the current consensus estimate stands at $3.48.
• Multiple analysts have recently increased their price targets for Gildan Activewear, with UBS raising it to $70.00 and Stifel Nicolaus increasing it to $75.00, while the overall consensus price target is currently $64.58.
• The company announced a quarterly dividend of $0.226 per share, reflecting an annualized dividend of $0.90 and a dividend yield of 1.6%.

Gildan Activewear, Inc. (NYSE:GIL - Free Report) TSE: GIL - Stifel Canada reduced their FY2025 earnings estimates for shares of Gildan Activewear in a research note issued on Wednesday, August 13th. Stifel Canada analyst M. Landry now anticipates that the textile maker will earn $3.50 per share for the year, down from their prior forecast of $3.52. The consensus estimate for Gildan Activewear's current full-year earnings is $3.48 per share.

GIL has been the topic of several other reports. CIBC increased their target price on Gildan Activewear from $56.00 to $60.00 and gave the stock an "outperformer" rating in a research report on Friday, August 1st. Scotiabank restated an "outperform" rating on shares of Gildan Activewear in a research note on Thursday. Wall Street Zen upgraded Gildan Activewear from a "hold" rating to a "buy" rating in a report on Saturday, August 9th. TD Securities boosted their target price on Gildan Activewear from $56.00 to $60.00 and gave the stock a "buy" rating in a report on Wednesday, April 30th. Finally, Canaccord Genuity Group increased their target price on shares of Gildan Activewear from $60.00 to $67.00 and gave the stock a "buy" rating in a research report on Thursday. One analyst has rated the stock with a hold rating and twelve have assigned a buy rating to the company. According to MarketBeat.com, Gildan Activewear currently has a consensus rating of "Moderate Buy" and an average price target of $64.58.

Gildan Activewear Trading Up 0.3%

Shares of NYSE GIL traded up $0.19 during trading on Friday, hitting $56.56. 1,562,534 shares of the company traded hands, compared to its average volume of 1,123,588. The firm has a market capitalization of $8.44 billion, a P/E ratio of 17.95, a P/E/G ratio of 1.81 and a beta of 1.17. The company has a quick ratio of 1.67, a current ratio of 3.87 and a debt-to-equity ratio of 1.37. The company has a 50-day moving average price of $50.65 and a 200-day moving average price of $48.40. Gildan Activewear has a 1 year low of $37.16 and a 1 year high of $57.76.

Gildan Activewear (NYSE:GIL - Get Free Report) TSE: GIL last released its earnings results on Thursday, July 31st. The textile maker reported $0.97 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.96 by $0.01. The firm had revenue of $918.50 million during the quarter, compared to the consensus estimate of $908.41 million. Gildan Activewear had a net margin of 14.55% and a return on equity of 34.31%. Gildan Activewear's revenue was up 6.5% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.74 earnings per share.

Institutional Investors Weigh In On Gildan Activewear

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Maseco LLP acquired a new stake in shares of Gildan Activewear during the second quarter valued at about $26,000. Smartleaf Asset Management LLC grew its stake in Gildan Activewear by 161.8% during the 2nd quarter. Smartleaf Asset Management LLC now owns 555 shares of the textile maker's stock valued at $27,000 after purchasing an additional 343 shares in the last quarter. Olde Wealth Management LLC acquired a new stake in Gildan Activewear during the 1st quarter valued at approximately $29,000. Twin Tree Management LP purchased a new stake in Gildan Activewear during the 1st quarter worth approximately $29,000. Finally, Versant Capital Management Inc raised its position in shares of Gildan Activewear by 510.7% in the 1st quarter. Versant Capital Management Inc now owns 745 shares of the textile maker's stock valued at $33,000 after purchasing an additional 623 shares in the last quarter. Hedge funds and other institutional investors own 82.83% of the company's stock.

Gildan Activewear Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, September 15th. Investors of record on Thursday, August 21st will be issued a dividend of $0.226 per share. This represents a $0.90 dividend on an annualized basis and a yield of 1.6%. The ex-dividend date of this dividend is Thursday, August 21st. Gildan Activewear's dividend payout ratio (DPR) is presently 28.57%.

About Gildan Activewear

Gildan Activewear Inc manufactures and sells various apparel products in the United States, North America, Europe, Asia-Pacific, and Latin America. It provides various activewear products, including T-shirts, fleece tops and bottoms, and sports shirts under the Gildan, Gildan Performance, Gildan Hammer, Glidan Softstyle, Gildan Heavy Cotton, Gildan Ultra Cotton, Gildan DryBlend, Gildan HeavyBlend, Comfort Colors, and American Apparel brands.