Zacks Investment Research Downgrades Gildan Activewear (NYSE:GIL) to Hold

Zacks Investment Research cut shares of Gildan Activewear (NYSE:GIL) (TSE:GIL) from a buy rating to a hold rating in a report issued on Thursday morning, Zacks.com reports.

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. “

A number of other analysts have also recently weighed in on GIL. ValuEngine cut Gildan Activewear from a buy rating to a hold rating in a research report on Tuesday, August 6th. TD Securities upgraded Gildan Activewear from a hold rating to a buy rating in a research report on Friday, August 2nd. Desjardins upgraded Gildan Activewear from a hold rating to a buy rating in a research report on Friday, August 2nd. Finally, Citigroup raised their target price on Gildan Activewear from $37.00 to $40.00 and gave the company a neutral rating in a research report on Friday, August 2nd. Five investment analysts have rated the stock with a hold rating, two have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. Gildan Activewear presently has a consensus rating of Buy and an average target price of $34.16.

Shares of Gildan Activewear stock opened at $35.48 on Thursday. The company has a current ratio of 4.33, a quick ratio of 1.68 and a debt-to-equity ratio of 0.55. The business’s 50 day simple moving average is $36.92 and its 200-day simple moving average is $37.36. The stock has a market capitalization of $7.31 billion, a price-to-earnings ratio of 20.75, a PEG ratio of 1.27 and a beta of 0.87. Gildan Activewear has a twelve month low of $28.11 and a twelve month high of $40.40.

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

The firm also recently announced a quarterly dividend, which was paid on Monday, September 9th. Investors of record on Thursday, August 15th were given a $0.236 dividend. This represents a $0.94 annualized dividend and a yield of 2.66%. The ex-dividend date of this dividend was Wednesday, August 14th. Gildan Activewear’s dividend payout ratio is currently 29.03%.

Institutional investors and hedge funds have recently bought and sold shares of the stock. Overbrook Management Corp increased its position in Gildan Activewear by 25.1% in the 1st quarter. Overbrook Management Corp now owns 725,104 shares of the textile maker’s stock valued at $26,082,000 after acquiring an additional 145,395 shares during the period. MML Investors Services LLC boosted its stake in Gildan Activewear by 5.3% during the 1st quarter. MML Investors Services LLC now owns 19,242 shares of the textile maker’s stock valued at $692,000 after purchasing an additional 976 shares in the last quarter. JPMorgan Chase & Co. boosted its stake in Gildan Activewear by 72.5% during the 2nd quarter. JPMorgan Chase & Co. now owns 832,244 shares of the textile maker’s stock valued at $31,999,000 after purchasing an additional 349,750 shares in the last quarter. OMERS ADMINISTRATION Corp bought a new position in Gildan Activewear during the 2nd quarter valued at $6,687,000. Finally, Mcclain Value Management LLC boosted its stake in Gildan Activewear by 7.1% during the 2nd quarter. Mcclain Value Management LLC now owns 69,537 shares of the textile maker’s stock valued at $2,690,000 after purchasing an additional 4,605 shares in the last quarter. Hedge funds and other institutional investors own 67.05% of the company’s stock.

About Gildan Activewear

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.

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