Gildan Activewear, Inc. (NYSE:GIL) Announces Dividend Increase – $0.25 Per Share

Gildan Activewear, Inc. (NYSE:GIL) (TSE:GIL) declared a quarterly dividend on Wednesday, February 25th. Stockholders of record on Thursday, March 19th will be given a dividend of 0.249 per share by the textile maker on Monday, April 13th. This represents a c) annualized dividend and a dividend yield of 1.4%. The ex-dividend date is Thursday, March 19th. This is a 10.2% increase from Gildan Activewear’s previous quarterly dividend of $0.23.

Gildan Activewear has decreased its dividend payment by an average of 0.0%per year over the last three years and has increased its dividend every year for the last 2 years. Gildan Activewear has a payout ratio of 23.4% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Gildan Activewear to earn $3.96 per share next year, which means the company should continue to be able to cover its $0.90 annual dividend with an expected future payout ratio of 22.7%.

Gildan Activewear Stock Down 3.1%

Gildan Activewear stock traded down $2.24 during trading hours on Thursday, reaching $69.04. The stock had a trading volume of 3,377,684 shares, compared to its average volume of 1,094,959. The company has a market cap of $12.78 billion, a price-to-earnings ratio of 21.03 and a beta of 1.08. The business’s 50 day moving average price is $66.57 and its 200-day moving average price is $60.61. Gildan Activewear has a 52 week low of $37.16 and a 52 week high of $73.69. The company has a debt-to-equity ratio of 0.94, a current ratio of 2.01 and a quick ratio of 0.88.

Gildan Activewear (NYSE:GIL) (TSE:GIL) last released its quarterly earnings results on Thursday, February 26th. The textile maker reported $0.96 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.94 by $0.02. Gildan Activewear had a net margin of 14.13% and a return on equity of 35.53%. The business had revenue of $1.08 billion for the quarter, compared to analyst estimates of $1.01 billion. During the same period in the previous year, the company earned $0.83 earnings per share. The business’s revenue for the quarter was up 31.1% on a year-over-year basis. Gildan Activewear has set its FY 2026 guidance at 4.200-4.400 EPS. Sell-side analysts anticipate that Gildan Activewear will post 3.48 EPS for the current year.

Analyst Ratings Changes

GIL has been the subject of several research reports. Zacks Research downgraded shares of Gildan Activewear from a “hold” rating to a “strong sell” rating in a research note on Monday. Barclays restated an “overweight” rating and issued a $70.00 target price (up from $64.00) on shares of Gildan Activewear in a research note on Thursday, October 30th. Stifel Nicolaus boosted their price target on Gildan Activewear from $75.00 to $80.00 and gave the company a “buy” rating in a research note on Monday. National Bank Financial increased their price objective on Gildan Activewear from $92.00 to $97.00 and gave the company an “outperform” rating in a report on Monday, February 2nd. Finally, Royal Bank Of Canada restated an “outperform” rating and issued a $79.00 price objective (up from $71.00) on shares of Gildan Activewear in a research note on Tuesday. Thirteen investment analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $80.00.

Gildan Activewear Company Profile

Gildan Activewear Inc (NYSE:GIL) is a vertically integrated manufacturer and wholesaler of branded basic apparel, including activewear, socks, hosiery and underwear. Headquartered in Montreal, Quebec, the company produces a wide range of products such as T-shirts, fleece garments, sport shirts, performance wear, and shapewear under its Gildan, Anvil, Comfort Colors, Gold Toe, Peds and Silks brands. Leveraging its in-house knitting, dyeing, cut-and-sew and finishing operations, Gildan supplies blank apparel to screen printers, promotional product distributors and major retailers around the world.

Since its founding in 1984 by Glenn J.