GILDAN ACTIVEWEAR INC (GIL)
CA3759161035 - Common Stock
GIL gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 50 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 has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year GIL was profitable.
GIL had a positive operating cash flow in the past year.
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's Return On Assets of 15.18% is amongst the best of the industry. GIL outperforms 94.00% of its industry peers.
Looking at the Return On Equity, with a value of 27.26%, GIL belongs to the top of the industry, outperforming 84.00% of the companies in the same industry.
With an excellent Return On Invested Capital value of 14.83%, GIL belongs to the best of the industry, outperforming 84.00% of the companies in the same industry.
GIL had an Average Return On Invested Capital over the past 3 years of 16.52%. This is significantly above the industry average of 10.04%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.18% | ||
| ROE | 27.26% | ||
| ROIC | 14.83% |
ROA(3y)16.76%
ROA(5y)10.18%
ROE(3y)29.22%
ROE(5y)17.47%
ROIC(3y)16.52%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 16.70%, GIL belongs to the top of the industry, outperforming 96.00% of the companies in the same industry.
In the last couple of years the Profit Margin of GIL has grown nicely.
The Operating Margin of GIL (16.39%) is better than 90.00% of its industry peers.
In the last couple of years the Operating Margin of GIL has grown nicely.
GIL has a worse Gross Margin (26.73%) than 80.00% of its industry peers.
GIL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.39% | ||
| PM (TTM) | 16.7% | ||
| GM | 26.73% |
OM growth 3YN/A
OM growth 5Y1.73%
PM growth 3YN/A
PM growth 5Y6.72%
GM growth 3Y30.28%
GM growth 5Y-0.72%
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.
GIL has less shares outstanding than it did 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 4.69 indicates that GIL is not in any danger for bankruptcy at the moment.
GIL's Altman-Z score of 4.69 is amongst the best of the industry. GIL outperforms 86.00% of its industry peers.
The Debt to FCF ratio of GIL is 3.20, which is a good value as it means it would take GIL, 3.20 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 3.20, GIL perfoms like the industry average, outperforming 48.00% of the companies in the same industry.
GIL has a Debt/Equity ratio of 0.39. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of GIL (0.39) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 3.2 | ||
| Altman-Z | 4.69 |
ROIC/WACC1.75
WACC8.47%
2.3 Liquidity
A Current Ratio of 2.33 indicates that GIL has no problem at all paying its short term obligations.
With a Current ratio value of 2.33, GIL perfoms like the industry average, outperforming 56.00% of the companies in the same industry.
A Quick Ratio of 0.83 indicates that GIL may have some problems paying its short term obligations.
GIL's Quick ratio of 0.83 is on the low side compared to the rest of the industry. GIL is outperformed by 68.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.33 | ||
| Quick Ratio | 0.83 |
3. Growth
3.1 Past
The earnings per share for GIL have decreased strongly by -17.36% in the last year.
GIL shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.68% yearly.
Looking at the last year, GIL shows a decrease in Revenue. The Revenue has decreased by -1.38% in the last year.
GIL shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.90% yearly.
EPS 1Y (TTM)-17.36%
EPS 3YN/A
EPS 5Y6.68%
EPS growth Q2Q15.38%
Revenue 1Y (TTM)-1.38%
Revenue growth 3Y17.28%
Revenue growth 5Y1.9%
Revenue growth Q2Q8.71%
3.2 Future
The Earnings Per Share is expected to grow by 9.85% on average over the next years. This is quite good.
The Revenue is expected to grow by 2.61% on average over the next years.
EPS Next Y16.1%
EPS Next 2Y13.3%
EPS Next 3Y6.34%
EPS Next 5Y9.85%
Revenue Next Year2.68%
Revenue Next 2Y3.48%
Revenue Next 3Y2.35%
Revenue Next 5Y2.61%
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 accelerating.
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 13.62, GIL is valued correctly.
Compared to the rest of the industry, the Price/Earnings ratio of GIL indicates a somewhat cheap valuation: GIL is cheaper than 72.00% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.25, GIL is valued a bit cheaper.
The Price/Forward Earnings ratio is 11.73, which indicates a very decent valuation of GIL.
Compared to the rest of the industry, the Price/Forward Earnings ratio of GIL indicates a somewhat cheap valuation: GIL is cheaper than 74.00% 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 21.67.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.62 | ||
| Fwd PE | 11.73 |
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 | 17.44 | ||
| EV/EBITDA | 10.71 |
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.
GIL has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)0.85
PEG (5Y)2.04
EPS Next 2Y13.3%
EPS Next 3Y6.34%
5. Dividend
5.1 Amount
GIL has a Yearly Dividend Yield of 2.29%.
GIL's Dividend Yield is a higher than the industry average which is at 2.97.
GIL's Dividend Yield is comparable with the S&P500 average which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.29% |
5.2 History
The dividend of GIL is nicely growing with an annual growth rate of 18.02%!
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)18.02%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
GIL pays out 24.70% of its income as dividend. This is a sustainable payout ratio.
GIL's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP24.7%
EPS Next 2Y13.3%
EPS Next 3Y6.34%
GILDAN ACTIVEWEAR INC
NYSE:GIL (4/25/2024, 11:40:13 AM)
35.01
-0.63 (-1.77%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap5.90B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.29% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.62 | ||
| Fwd PE | 11.73 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.85
PEG (5Y)2.04
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.18% | ||
| ROE | 27.26% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 16.39% | ||
| PM (TTM) | 16.7% | ||
| GM | 26.73% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.91
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.33 | ||
| Quick Ratio | 0.83 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-17.36%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y16.1%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-1.38%
Revenue growth 3Y17.28%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y