Gildan Activewear, Inc. Class A Sub. Vot. (GIL) Company Bio
Gildan Activewear is a leading supplier of quality branded basic family apparel, including T-shirts, fleece, sport shirts, underwear, socks, hosiery, and shapewear. The company was incorporated in 1984 and is based in Montreal, Canada.
GIL Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Gildan Activewear Inc. To summarize, we found that Gildan Activewear Inc ranked in the 78th percentile in terms of potential gain offered. Moreover, under all the scenarios we modelled, the output consistently forecasted positive returns. As for the metrics that stood out in our discounted cash flow analysis of Gildan Activewear Inc, consider:
GIL's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 3%; for context, that number is higher than merely 23.62% of tickers in our DCF set.
Gildan Activewear Inc's effective tax rate, as measured by taxes paid relative to net income, is at 0 -- greater than only 0% of US stocks with positive free cash flow.
Relative to other stocks in its sector (Consumer Cyclical), Gildan Activewear Inc has a reliance on debt greater than only 23.75% of them.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
FOXA, XPEL, LGF.B, F, and YETI can be thought of as valuation peers to GIL, in the sense that they are in the Consumer Cyclical sector and have a similar price forecast based on DCF valuation.
Elevator Pitch I assign a Neutral rating to apparel company Gildan Activewear (GIL). Gildan Activewear's Q3 revenue and net income decreased by -18.6% YoY and -46.2% YoY, which is largely attributable to weak printwear sales. Printwear demand is dependent on demand driven by social gatherings and business events, and a...
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