GILDAN ACTIVEWEAR INC (GIL) Stock Fundamental Analysis
NYSE:GIL - New York Stock Exchange, Inc. - CA3759161035 - Common Stock - Currency: USD
Taking everything into account, GIL scores 6 out of 10 in our fundamental rating. GIL was compared to 48 industry peers in the Textiles, Apparel & Luxury Goods industry. GIL has an excellent profitability rating, but there are some minor concerns on its financial health. GIL is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year GIL was profitable.
In the past year GIL had a positive cash flow from operations.
Of the past 5 years GIL 4 years were profitable.
In the past 5 years GIL always reported a positive cash flow from operatings.
1.2 Ratios
GIL has a better Return On Assets (10.39%) than 81.25% of its industry peers.
GIL has a better Return On Equity (28.95%) than 85.42% of its industry peers.
Looking at the Return On Invested Capital, with a value of 16.52%, GIL belongs to the top of the industry, outperforming 81.25% of the companies in the same industry.
GIL had an Average Return On Invested Capital over the past 3 years of 18.95%. This is significantly above the industry average of 11.61%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.39% | ||
| ROE | 28.95% | ||
| ROIC | 16.52% |
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 (12.38%) than 89.58% of its industry peers.
GIL's Profit Margin has improved in the last couple of years.
GIL has a Operating Margin of 19.73%. This is amongst the best in the industry. GIL outperforms 91.67% of its industry peers.
In the last couple of years the Operating Margin of GIL has grown nicely.
With a Gross Margin value of 30.87%, GIL is not doing good in the industry: 81.25% of the companies in the same industry are doing better.
GIL's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.73% | ||
| PM (TTM) | 12.38% | ||
| GM | 30.87% |
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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), GIL is creating value.
The number of shares outstanding for GIL has been reduced compared to 1 year ago.
GIL has less shares outstanding than it did 5 years ago.
GIL has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.97 indicates that GIL is not in any danger for bankruptcy at the moment.
GIL has a better Altman-Z score (3.97) than 72.92% of its industry peers.
The Debt to FCF ratio of GIL is 7.46, which is on the high side as it means it would take GIL, 7.46 years of fcf income to pay off all of its debts.
GIL has a Debt to FCF ratio of 7.46. This is comparable to the rest of the industry: GIL outperforms 43.75% of its industry peers.
GIL has a Debt/Equity ratio of 1.35. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.35, GIL is doing worse than 79.17% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.35 | ||
| Debt/FCF | 7.46 | ||
| Altman-Z | 3.97 |
ROIC/WACC1.8
WACC9.2%
2.3 Liquidity
A Current Ratio of 3.91 indicates that GIL has no problem at all paying its short term obligations.
GIL's Current ratio of 3.91 is amongst the best of the industry. GIL outperforms 95.83% of its industry peers.
A Quick Ratio of 1.59 indicates that GIL should not have too much problems paying its short term obligations.
The Quick ratio of GIL (1.59) is better than 72.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.91 | ||
| Quick Ratio | 1.59 |
3. Growth
3.1 Past
GIL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.07%, which is quite good.
GIL shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.64% yearly.
Looking at the last year, GIL shows a small growth in Revenue. The Revenue has grown by 3.06% in the last year.
The Revenue has been growing slightly by 2.98% on average over the past years.
EPS 1Y (TTM)11.07%
EPS 3Y3.43%
EPS 5Y12.64%
EPS Q2Q%0%
Revenue 1Y (TTM)3.06%
Revenue growth 3Y3.82%
Revenue growth 5Y2.98%
Sales Q2Q%2.28%
3.2 Future
GIL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.99% yearly.
GIL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.87% yearly.
EPS Next Y17.78%
EPS Next 2Y15.64%
EPS Next 3Y13.55%
EPS Next 5Y10.99%
Revenue Next Year5.32%
Revenue Next 2Y5.23%
Revenue Next 3Y4.73%
Revenue Next 5Y4.87%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 16.05, GIL is valued correctly.
66.67% of the companies in the same industry are more expensive than GIL, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of GIL to the average of the S&P500 Index (26.53), we can say GIL is valued slightly cheaper.
A Price/Forward Earnings ratio of 12.00 indicates a correct valuation of GIL.
GIL's Price/Forward Earnings ratio is rather cheap when compared to the industry. GIL is cheaper than 81.25% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.27. GIL is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.05 | ||
| Fwd PE | 12 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as GIL.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of GIL is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.44 | ||
| EV/EBITDA | 11.41 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of GIL may justify a higher PE ratio.
GIL's earnings are expected to grow with 13.55% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.9
PEG (5Y)1.27
EPS Next 2Y15.64%
EPS Next 3Y13.55%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.70%, GIL has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.68, GIL pays a bit more dividend than its industry peers.
GIL's Dividend Yield is slightly below the S&P500 average, which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.7% |
5.2 History
The dividend of GIL is nicely growing with an annual growth rate of 21.39%!
GIL has been paying a dividend for at least 10 years, so it has 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
32.80% of the earnings are spent on dividend by GIL. This is a low number and sustainable payout ratio.
The dividend of GIL is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP32.8%
EPS Next 2Y15.64%
EPS Next 3Y13.55%
NYSE:GIL (6/10/2025, 11:26:37 AM)
48.315
+0.45 (+0.93%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners81.96%
Inst Owner Change-0.94%
Ins Owners0.56%
Ins Owner ChangeN/A
Market Cap7.31B
Analysts81.67
Price Target43.22 (-10.55%)
Short Float %1.52%
Short Ratio2.69
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.7% |
Yearly Dividend0.83
Dividend Growth(5Y)21.39%
DP32.8%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.27%
Min EPS beat(2)1.85%
Max EPS beat(2)2.69%
EPS beat(4)3
Avg EPS beat(4)1.53%
Min EPS beat(4)-0.29%
Max EPS beat(4)2.69%
EPS beat(8)7
Avg EPS beat(8)3.15%
EPS beat(12)9
Avg EPS beat(12)1.67%
EPS beat(16)13
Avg EPS beat(16)10.37%
Revenue beat(2)1
Avg Revenue beat(2)0.18%
Min Revenue beat(2)-0.92%
Max Revenue beat(2)1.28%
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)0.51%
Revenue beat(12)7
Avg Revenue beat(12)0.42%
Revenue beat(16)11
Avg Revenue beat(16)2.77%
PT rev (1m)-0.07%
PT rev (3m)3.35%
EPS NQ rev (1m)0.44%
EPS NQ rev (3m)4.96%
EPS NY rev (1m)0%
EPS NY rev (3m)1.17%
Revenue NQ rev (1m)0.51%
Revenue NQ rev (3m)4.32%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.05 | ||
| Fwd PE | 12 | ||
| P/S | 2.22 | ||
| P/FCF | 28.44 | ||
| P/OCF | 18.9 | ||
| P/B | 5.2 | ||
| P/tB | 8.28 | ||
| EV/EBITDA | 11.41 |
EPS(TTM)3.01
EY6.23%
EPS(NY)4.03
Fwd EY8.33%
FCF(TTM)1.7
FCFY3.52%
OCF(TTM)2.56
OCFY5.29%
SpS21.74
BVpS9.3
TBVpS5.84
PEG (NY)0.9
PEG (5Y)1.27
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.39% | ||
| ROE | 28.95% | ||
| ROCE | 19.14% | ||
| ROIC | 16.52% | ||
| ROICexc | 17.19% | ||
| ROICexgc | 20.49% | ||
| OM | 19.73% | ||
| PM (TTM) | 12.38% | ||
| GM | 30.87% | ||
| FCFM | 7.82% |
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-Score5
Asset Turnover0.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.35 | ||
| Debt/FCF | 7.46 | ||
| Debt/EBITDA | 2.42 | ||
| Cap/Depr | 94.7% | ||
| Cap/Sales | 3.95% | ||
| Interest Coverage | 7.76 | ||
| Cash Conversion | 49.22% | ||
| Profit Quality | 63.13% | ||
| Current Ratio | 3.91 | ||
| Quick Ratio | 1.59 | ||
| Altman-Z | 3.97 |
F-Score5
WACC9.2%
ROIC/WACC1.8
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)11.07%
EPS 3Y3.43%
EPS 5Y12.64%
EPS Q2Q%0%
EPS Next Y17.78%
EPS Next 2Y15.64%
EPS Next 3Y13.55%
EPS Next 5Y10.99%
Revenue 1Y (TTM)3.06%
Revenue growth 3Y3.82%
Revenue growth 5Y2.98%
Sales Q2Q%2.28%
Revenue Next Year5.32%
Revenue Next 2Y5.23%
Revenue Next 3Y4.73%
Revenue Next 5Y4.87%
EBIT growth 1Y18.58%
EBIT growth 3Y7.39%
EBIT growth 5Y15.65%
EBIT Next Year25.92%
EBIT Next 3Y10.86%
EBIT Next 5Y8.14%
FCF growth 1Y22874.2%
FCF growth 3Y-10.36%
FCF growth 5Y9.72%
OCF growth 1Y35.38%
OCF growth 3Y-6.71%
OCF growth 5Y6.79%