Gildan Activewear (NYSE:GIL) Upgraded by Zacks Investment Research to Buy

Zacks Investment Research upgraded shares of Gildan Activewear (NYSE:GIL) (TSE:GIL) from a hold rating to a buy rating in a report issued on Wednesday morning, Zacks.com reports. Zacks Investment Research currently has $42.00 target price on the textile maker’s stock.

According to Zacks, “Gildan Activewear Inc. is a manufacturer and marketer of premium quality branded basic activewear for sale principally into the wholesale imprinted activewear segment of the North American apparel market. The company sells premium quality 100% cotton T-shirts and premium quality sweatshirts, in a variety of weights, sizes, colors and styles, as blanks, which are ultimately decorated with designs and logos for sale to consumers. “

GIL has been the subject of several other reports. TD Securities raised Gildan Activewear from a hold rating to a buy rating in a research note on Friday, August 2nd. Citigroup lifted their target price on Gildan Activewear from $37.00 to $40.00 and gave the company a neutral rating in a research note on Friday, August 2nd. Desjardins raised Gildan Activewear from a hold rating to a buy rating in a research note on Friday, August 2nd. Raymond James reissued a strong-buy rating and issued a $14.00 target price on shares of Gildan Activewear in a research note on Thursday, May 2nd. Finally, ValuEngine cut Gildan Activewear from a buy rating to a hold rating in a research note on Tuesday, August 6th. Four equities research analysts have rated the stock with a hold rating, three have issued a buy rating and one has assigned a strong buy rating to the company’s stock. Gildan Activewear currently has a consensus rating of Buy and an average price target of $34.16.

GIL stock traded down $0.46 during midday trading on Wednesday, reaching $37.39. 207,158 shares of the company’s stock traded hands, compared to its average volume of 441,922. The business has a 50-day moving average of $39.01. Gildan Activewear has a 1-year low of $28.11 and a 1-year high of $40.40. The stock has a market cap of $7.71 billion, a P/E ratio of 20.10, a price-to-earnings-growth ratio of 1.34 and a beta of 0.83. The company has a current ratio of 4.33, a quick ratio of 1.68 and a debt-to-equity ratio of 0.55.

Gildan Activewear (NYSE:GIL) (TSE:GIL) last released its quarterly earnings results on Thursday, August 1st. The textile maker reported $0.57 earnings per share for the quarter, beating the Zacks’ consensus estimate of $0.55 by $0.02. Gildan Activewear had a return on equity of 18.48% and a net margin of 10.14%. The firm had revenue of $801.60 million during the quarter, compared to analysts’ expectations of $793.91 million. During the same period last year, the firm posted $0.52 EPS. The business’s revenue was up 4.9% on a year-over-year basis. On average, sell-side analysts anticipate that Gildan Activewear will post 1.98 earnings per share for the current fiscal year.

The company also recently announced a quarterly dividend, which will be paid on Monday, September 9th. Stockholders of record on Thursday, August 15th will be paid a $0.236 dividend. The ex-dividend date is Wednesday, August 14th. This represents a $0.94 annualized dividend and a dividend yield of 2.52%. Gildan Activewear’s dividend payout ratio (DPR) is currently 29.03%.

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Zions Bancorporation N.A. bought a new position in shares of Gildan Activewear in the 1st quarter worth $26,000. Beutel Goodman & Co Ltd. bought a new position in shares of Gildan Activewear in the 1st quarter worth $56,000. Wetherby Asset Management Inc. bought a new position in shares of Gildan Activewear in the 2nd quarter worth $205,000. Quadrant Capital Group LLC boosted its position in shares of Gildan Activewear by 50.0% in the 1st quarter. Quadrant Capital Group LLC now owns 6,174 shares of the textile maker’s stock worth $218,000 after purchasing an additional 2,058 shares during the last quarter. Finally, Scout Investments Inc. bought a new position in shares of Gildan Activewear in the 1st quarter worth $222,000. 68.91% of the stock is owned by institutional investors.

Gildan Activewear Company Profile

Gildan Activewear Inc manufactures and sells a range of apparel products in North America, Europe, the Asia-Pacific, and Latin America. The company manufactures and markets active wear products, including T-shirts, fleece tops and bottoms, and sport shirts under Gildan, Gildan Performance, Gildan Platinum, Gildan Hammer, Comfort Colors, American Apparel, Anvil, Alstyle, and Gold Toe brands.

Further Reading: Intrinsic Value

Get a free copy of the Zacks research report on Gildan Activewear (GIL)

For more information about research offerings from Zacks Investment Research, visit Zacks.com

Analyst Recommendations for Gildan Activewear (NYSE:GIL)

Receive News & Ratings for Gildan Activewear Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Gildan Activewear and related companies with MarketBeat.com's FREE daily email newsletter.