GILDAN ACTIVEWEAR INC (GIL.CA)
CA3759161035 - Common Stock
Taking everything into account, GIL scores 6 out of 10 in our fundamental rating. GIL was compared to 5 industry peers in the Textiles, Apparel & Luxury Goods industry. GIL scores excellent on profitability, but there are some minor concerns on its financial health. GIL has a correct valuation and a medium growth rate.
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.
GIL had positive earnings in 4 of the past 5 years.
In the past 5 years GIL always reported a positive cash flow from operatings.
1.2 Ratios
GIL has a better Return On Assets (11.17%) than 100.00% of its industry peers.
The Return On Equity of GIL (22.55%) is better than 100.00% of its industry peers.
GIL has a better Return On Invested Capital (13.39%) than 100.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for GIL is above the industry average of 10.58%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.17% | ||
| ROE | 22.55% | ||
| ROIC | 13.39% |
ROA(3y)16.76%
ROA(5y)10.18%
ROE(3y)29.22%
ROE(5y)17.47%
ROIC(3y)15.06%
ROIC(5y)N/A
1.3 Margins
GIL's Profit Margin of 13.01% is amongst the best of the industry. GIL outperforms 100.00% of its industry peers.
GIL's Profit Margin has improved in the last couple of years.
GIL's Operating Margin of 17.02% is amongst the best of the industry. GIL outperforms 100.00% of its industry peers.
In the last couple of years the Operating Margin of GIL has grown nicely.
Looking at the Gross Margin, with a value of 28.84%, GIL is in line with its industry, outperforming 60.00% of the companies in the same industry.
GIL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.02% | ||
| PM (TTM) | 13.01% | ||
| GM | 28.84% |
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
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.
Compared to 1 year ago, GIL has a worse debt to assets ratio.
2.2 Solvency
GIL has an Altman-Z score of 4.61. This indicates that GIL is financially healthy and has little risk of bankruptcy at the moment.
GIL has a Altman-Z score (4.61) which is comparable to the rest of the industry.
GIL has a debt to FCF ratio of 2.67. This is a good value and a sign of high solvency as GIL would need 2.67 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 2.67, GIL is doing good in the industry, outperforming 80.00% of the companies in the same industry.
A Debt/Equity ratio of 0.55 indicates that GIL is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.55, GIL perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 2.67 | ||
| Altman-Z | 4.61 |
ROIC/WACC1.76
WACC7.59%
2.3 Liquidity
A Current Ratio of 2.35 indicates that GIL has no problem at all paying its short term obligations.
GIL's Current ratio of 2.35 is in line compared to the rest of the industry. GIL outperforms 60.00% of its industry peers.
A Quick Ratio of 0.97 indicates that GIL may have some problems paying its short term obligations.
GIL has a Quick ratio (0.97) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.35 | ||
| Quick Ratio | 0.97 |
3. Growth
3.1 Past
GIL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.73%, which is quite good.
Measured over the past 5 years, GIL shows a small growth in Earnings Per Share. The EPS has been growing by 6.68% on average per year.
Looking at the last year, GIL shows a small growth in Revenue. The Revenue has grown by 3.12% in the last year.
Measured over the past years, GIL shows a small growth in Revenue. The Revenue has been growing by 1.90% on average per year.
EPS 1Y (TTM)9.73%
EPS 3YN/A
EPS 5Y6.68%
EPS Q2Q%17.46%
Revenue 1Y (TTM)3.12%
Revenue growth 3Y17.28%
Revenue growth 5Y1.9%
Sales Q2Q%2.59%
3.2 Future
The Earnings Per Share is expected to grow by 7.01% on average over the next years.
The Revenue is expected to grow by 2.23% on average over the next years.
EPS Next Y16.91%
EPS Next 2Y14.45%
EPS Next 3Y10.42%
EPS Next 5Y7.01%
Revenue Next Year2.68%
Revenue Next 2Y3.48%
Revenue Next 3Y3.62%
Revenue Next 5Y2.23%
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 stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 16.18, the valuation of GIL can be described as correct.
80.00% 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 (30.57), we can say GIL is valued slightly cheaper.
A Price/Forward Earnings ratio of 13.55 indicates a correct valuation of GIL.
Based on the Price/Forward Earnings ratio, GIL is valued a bit cheaper than 80.00% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of GIL to the average of the S&P500 Index (22.04), we can say GIL is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.18 | ||
| Fwd PE | 13.55 |
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.
The rest of the industry has a similar Price/Free Cash Flow ratio as GIL.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.89 | ||
| EV/EBITDA | 12.67 |
4.3 Compensation for Growth
GIL's 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)0.96
PEG (5Y)2.42
EPS Next 2Y14.45%
EPS Next 3Y10.42%
5. Dividend
5.1 Amount
GIL has a Yearly Dividend Yield of 1.82%.
Compared to an average industry Dividend Yield of 1.82, GIL pays a better dividend. On top of this GIL pays more dividend than 100.00% of the companies listed in the same industry.
GIL's Dividend Yield is comparable with the S&P500 average which is at 2.26.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.82% |
5.2 History
The dividend of GIL is nicely growing with an annual growth rate of 18.02%!
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)18.02%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
32.02% 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.
DP32.02%
EPS Next 2Y14.45%
EPS Next 3Y10.42%
GILDAN ACTIVEWEAR INC
TSX:GIL (9/17/2024, 7:00:00 PM)
61.97
+0.8 (+1.31%)
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 Cap10.08B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.82% |
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 | 16.18 | ||
| Fwd PE | 13.55 | ||
| 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)0.96
PEG (5Y)2.42
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.17% | ||
| ROE | 22.55% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 17.02% | ||
| PM (TTM) | 13.01% | ||
| GM | 28.84% | ||
| 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 Turnover0.86
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.35 | ||
| Quick Ratio | 0.97 | ||
| 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)
High Growth Momentum
Growth
EPS 1Y (TTM)9.73%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y16.91%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)3.12%
Revenue growth 3Y17.28%
Revenue growth 5Y
Sales 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