GILDAN ACTIVEWEAR INC (GIL.CA) Stock Fundamental Analysis
TSX:GIL - CA3759161035 - Common Stock
77 CAD
+0.13 (+0.17%)
Overall GIL gets a fundamental rating of 6 out of 10. We evaluated GIL against 5 industry peers in the Textiles, Apparel & Luxury Goods industry. While GIL belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. GIL has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
GIL had positive earnings in the past year.
GIL had a positive operating cash flow in the past year.
Of the past 5 years GIL 4 years were profitable.
GIL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
GIL has a better Return On Assets (12.15%) than 100.00% of its industry peers.
Looking at the Return On Equity, with a value of 34.18%, GIL belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
GIL has a better Return On Invested Capital (17.97%) than 100.00% of its industry peers.
GIL had an Average Return On Invested Capital over the past 3 years of 18.95%. This is significantly above the industry average of 10.50%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.15% | ||
| ROE | 34.18% | ||
| ROIC | 17.97% |
ROA(3y)13.9%
ROA(5y)10.72%
ROE(3y)27.85%
ROE(5y)20.15%
ROIC(3y)18.95%
ROIC(5y)N/A
1.3 Margins
GIL has a better Profit Margin (14.55%) than 100.00% of its industry peers.
GIL's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 21.50%, GIL belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Operating Margin of GIL has grown nicely.
GIL has a Gross Margin (31.17%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of GIL has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.5% | ||
| PM (TTM) | 14.55% | ||
| GM | 31.17% |
OM growth 3Y3.43%
OM growth 5Y12.3%
PM growth 3Y-16.13%
PM growth 5Y5.9%
GM growth 3Y0.79%
GM growth 5Y4.23%
2. Health
2.1 Basic Checks
GIL has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for GIL has been reduced compared to 1 year ago.
The number of shares outstanding for GIL has been reduced compared to 5 years ago.
Compared to 1 year ago, GIL has a worse debt to assets ratio.
2.2 Solvency
GIL has an Altman-Z score of 4.23. This indicates that GIL is financially healthy and has little risk of bankruptcy at the moment.
With a Altman-Z score value of 4.23, GIL perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
The Debt to FCF ratio of GIL is 6.43, which is on the high side as it means it would take GIL, 6.43 years of fcf income to pay off all of its debts.
GIL has a Debt to FCF ratio of 6.43. This is in the lower half of the industry: GIL underperforms 60.00% of its industry peers.
A Debt/Equity ratio of 1.37 is on the high side and indicates that GIL has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.37, GIL is in line with its industry, outperforming 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.37 | ||
| Debt/FCF | 6.43 | ||
| Altman-Z | 4.23 |
ROIC/WACC1.84
WACC9.77%
2.3 Liquidity
A Current Ratio of 3.87 indicates that GIL has no problem at all paying its short term obligations.
The Current ratio of GIL (3.87) is better than 80.00% of its industry peers.
GIL has a Quick Ratio of 1.67. This is a normal value and indicates that GIL is financially healthy and should not expect problems in meeting its short term obligations.
GIL has a Quick ratio (1.67) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.87 | ||
| Quick Ratio | 1.67 |
3. Growth
3.1 Past
GIL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 14.89%, which is quite good.
The Earnings Per Share has been growing by 12.64% on average over the past years. This is quite good.
Looking at the last year, GIL shows a small growth in Revenue. The Revenue has grown by 4.12% in the last year.
The Revenue has been growing slightly by 2.98% on average over the past years.
EPS 1Y (TTM)14.89%
EPS 3Y3.43%
EPS 5Y12.64%
EPS Q2Q%31.08%
Revenue 1Y (TTM)4.12%
Revenue growth 3Y3.82%
Revenue growth 5Y2.98%
Sales Q2Q%6.53%
3.2 Future
Based on estimates for the next years, GIL will show a small growth in Earnings Per Share. The EPS will grow by 5.42% on average per year.
GIL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.78% yearly.
EPS Next Y16.37%
EPS Next 2Y18.43%
EPS Next 3Y18.33%
EPS Next 5Y5.42%
Revenue Next Year5.29%
Revenue Next 2Y5.28%
Revenue Next 3Y4.68%
Revenue Next 5Y4.78%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
GIL is valuated rather expensively with a Price/Earnings ratio of 17.23.
Based on the Price/Earnings ratio, GIL is valued cheaper than 100.00% of the companies in the same industry.
GIL is valuated rather cheaply when we compare the Price/Earnings ratio to 27.02, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 13.21, the valuation of GIL can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of GIL indicates a rather cheap valuation: GIL is cheaper than 100.00% of the companies listed in the same industry.
GIL's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.66.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.23 | ||
| Fwd PE | 13.21 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GIL is valued a bit cheaper than the industry average as 80.00% of the companies are valued more expensively.
GIL's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. GIL is more expensive than 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.09 | ||
| EV/EBITDA | 11.72 |
4.3 Compensation for Growth
GIL's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of GIL may justify a higher PE ratio.
A more expensive valuation may be justified as GIL's earnings are expected to grow with 18.33% in the coming years.
PEG (NY)1.05
PEG (5Y)1.36
EPS Next 2Y18.43%
EPS Next 3Y18.33%
5. Dividend
5.1 Amount
GIL has a Yearly Dividend Yield of 1.66%. Purely for dividend investing, there may be better candidates out there.
GIL's Dividend Yield is rather good when compared to the industry average which is at 1.66. GIL pays more dividend than 100.00% of the companies in the same industry.
Compared to the average S&P500 Dividend Yield of 2.45, GIL is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.66% |
5.2 History
On average, the dividend of GIL grows each year by 21.39%, which is quite nice.
GIL has paid a dividend for at least 10 years, which is a reliable track record.
GIL has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)21.39%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
27.28% of the earnings are spent on dividend by GIL. This is a low number and sustainable payout ratio.
GIL's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP27.28%
EPS Next 2Y18.43%
EPS Next 3Y18.33%
TSX:GIL (9/8/2025, 7:00:00 PM)
77
+0.13 (+0.17%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners82.55%
Inst Owner ChangeN/A
Ins Owners0.41%
Ins Owner ChangeN/A
Market Cap11.48B
Analysts81.67
Price Target69.42 (-9.84%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.66% |
Yearly Dividend1.14
Dividend Growth(5Y)21.39%
DP27.28%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.02%
Min EPS beat(2)1.34%
Max EPS beat(2)2.69%
EPS beat(4)3
Avg EPS beat(4)1.4%
Min EPS beat(4)-0.29%
Max EPS beat(4)2.69%
EPS beat(8)7
Avg EPS beat(8)3.23%
EPS beat(12)9
Avg EPS beat(12)0.96%
EPS beat(16)13
Avg EPS beat(16)8.43%
Revenue beat(2)1
Avg Revenue beat(2)-0.33%
Min Revenue beat(2)-0.92%
Max Revenue beat(2)0.26%
Revenue beat(4)2
Avg Revenue beat(4)0.09%
Min Revenue beat(4)-0.92%
Max Revenue beat(4)1.28%
Revenue beat(8)5
Avg Revenue beat(8)0.37%
Revenue beat(12)7
Avg Revenue beat(12)-0.25%
Revenue beat(16)11
Avg Revenue beat(16)2.31%
PT rev (1m)17.14%
PT rev (3m)17.14%
EPS NQ rev (1m)-0.2%
EPS NQ rev (3m)-2.56%
EPS NY rev (1m)-1.2%
EPS NY rev (3m)-1.2%
Revenue NQ rev (1m)-0.01%
Revenue NQ rev (3m)-1.9%
Revenue NY rev (1m)0.06%
Revenue NY rev (3m)-0.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.23 | ||
| Fwd PE | 13.21 | ||
| P/S | 2.49 | ||
| P/FCF | 27.09 | ||
| P/OCF | 19.13 | ||
| P/B | 5.84 | ||
| P/tB | 9.22 | ||
| EV/EBITDA | 11.72 |
EPS(TTM)4.47
EY5.81%
EPS(NY)5.83
Fwd EY7.57%
FCF(TTM)2.84
FCFY3.69%
OCF(TTM)4.03
OCFY5.23%
SpS30.96
BVpS13.18
TBVpS8.35
PEG (NY)1.05
PEG (5Y)1.36
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.15% | ||
| ROE | 34.18% | ||
| ROCE | 20.83% | ||
| ROIC | 17.97% | ||
| ROICexc | 18.9% | ||
| ROICexgc | 22.47% | ||
| OM | 21.5% | ||
| PM (TTM) | 14.55% | ||
| GM | 31.17% | ||
| FCFM | 9.18% |
ROA(3y)13.9%
ROA(5y)10.72%
ROE(3y)27.85%
ROE(5y)20.15%
ROIC(3y)18.95%
ROIC(5y)N/A
ROICexc(3y)20.13%
ROICexc(5y)N/A
ROICexgc(3y)25.01%
ROICexgc(5y)N/A
ROCE(3y)21.97%
ROCE(5y)N/A
ROICexcg growth 3Y1.1%
ROICexcg growth 5Y14.24%
ROICexc growth 3Y3.31%
ROICexc growth 5Y15.27%
OM growth 3Y3.43%
OM growth 5Y12.3%
PM growth 3Y-16.13%
PM growth 5Y5.9%
GM growth 3Y0.79%
GM growth 5Y4.23%
F-Score6
Asset Turnover0.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.37 | ||
| Debt/FCF | 6.43 | ||
| Debt/EBITDA | 2.28 | ||
| Cap/Depr | 92.78% | ||
| Cap/Sales | 3.82% | ||
| Interest Coverage | 7.66 | ||
| Cash Conversion | 50.75% | ||
| Profit Quality | 63.09% | ||
| Current Ratio | 3.87 | ||
| Quick Ratio | 1.67 | ||
| Altman-Z | 4.23 |
F-Score6
WACC9.77%
ROIC/WACC1.84
Cap/Depr(3y)158.52%
Cap/Depr(5y)122.27%
Cap/Sales(3y)6.22%
Cap/Sales(5y)5.21%
Profit Quality(3y)60.74%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)14.89%
EPS 3Y3.43%
EPS 5Y12.64%
EPS Q2Q%31.08%
EPS Next Y16.37%
EPS Next 2Y18.43%
EPS Next 3Y18.33%
EPS Next 5Y5.42%
Revenue 1Y (TTM)4.12%
Revenue growth 3Y3.82%
Revenue growth 5Y2.98%
Sales Q2Q%6.53%
Revenue Next Year5.29%
Revenue Next 2Y5.28%
Revenue Next 3Y4.68%
Revenue Next 5Y4.78%
EBIT growth 1Y31.55%
EBIT growth 3Y7.39%
EBIT growth 5Y15.65%
EBIT Next Year25.92%
EBIT Next 3Y10.86%
EBIT Next 5Y21.63%
FCF growth 1Y1042.73%
FCF growth 3Y-10.36%
FCF growth 5Y9.72%
OCF growth 1Y68.73%
OCF growth 3Y-6.71%
OCF growth 5Y6.79%