Gildan Activewear (NYSE:GIL) Stock Dropped to Sector Perform by Scotiabank

Scotiabank lowered shares of Gildan Activewear (NYSE:GIL) (TSE:GIL) from a sector outperform rating to a sector perform rating in a report published on Friday morning, Marketbeat reports. They currently have $39.00 target price on the textile maker’s stock, down from their prior target price of $53.00.

A number of other equities analysts also recently issued reports on GIL. BMO Capital Markets set a $64.00 price target on shares of Gildan Activewear and gave the company an “outperform” rating in a report on Monday, October 26th. Stifel Nicolaus set a $83.00 price objective on shares of Gildan Activewear and gave the stock a “buy” rating in a report on Friday, July 31st. TD Securities dropped their target price on shares of Gildan Activewear from $80.00 to $54.00 and set a “buy” rating for the company in a report on Thursday, September 24th. UBS Group set a $38.00 price target on shares of Gildan Activewear and gave the company a “neutral” rating in a research report on Friday. Finally, TD decreased their price target on Gildan Activewear from $80.00 to $54.00 and set a “buy” rating on the stock in a research note on Thursday, September 24th. Nine equities research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company. According to data from MarketBeat.com, Gildan Activewear presently has an average rating of “Moderate Buy” and an average price target of $59.42.

Gildan Activewear Price Performance

GIL stock traded down $0.35 on Friday, reaching $34.66. 3,284,164 shares of the company’s stock were exchanged, compared to its average volume of 1,507,263. The stock has a fifty day moving average of $43.84 and a 200-day moving average of $55.17. The firm has a market cap of $6.42 billion, a PE ratio of 30.95 and a beta of 1.15. The company has a quick ratio of 1.01, a current ratio of 1.93 and a debt-to-equity ratio of 1.15. Gildan Activewear has a twelve month low of $31.33 and a twelve month high of $73.69.

Gildan Activewear (NYSE:GIL) (TSE:GIL) last released its earnings results on Thursday, November 5th. The textile maker reported $1.54 EPS for the quarter, missing analysts’ consensus estimates of $1.57 by ($0.03). Gildan Activewear had a net margin of 1.28% and a return on equity of 21.03%. As a group, equities analysts predict that Gildan Activewear will post 4.63 EPS for the current fiscal year.

Gildan Activewear Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, December 21st. Stockholders of record on Wednesday, November 25th will be paid a dividend of $0.2490 per share. This represents a $1.00 annualized dividend and a dividend yield of 2.9%. The ex-dividend date of this dividend is Wednesday, November 25th. Gildan Activewear’s payout ratio is 192.31%.

Institutional Investors Weigh In On Gildan Activewear

A number of large investors have recently added to or reduced their stakes in GIL. Caisse de depot et placement du Quebec acquired a new position in Gildan Activewear during the second quarter worth about $601,931,000. Jupiter Topco LLC acquired a new stake in shares of Gildan Activewear in the second quarter valued at approximately $573,363,000. Janus Henderson Group PLC grew its position in shares of Gildan Activewear by 0.9% in the first quarter. Janus Henderson Group PLC now owns 10,593,203 shares of the textile maker’s stock valued at $589,508,000 after purchasing an additional 98,134 shares during the last quarter. Royal Bank of Canada increased its stake in shares of Gildan Activewear by 20.9% during the 1st quarter. Royal Bank of Canada now owns 6,911,589 shares of the textile maker’s stock worth $384,629,000 after purchasing an additional 1,193,718 shares in the last quarter. Finally, The Manufacturers Life Insurance Company increased its stake in shares of Gildan Activewear by 15.7% during the 1st quarter. The Manufacturers Life Insurance Company now owns 6,706,078 shares of the textile maker’s stock worth $373,122,000 after purchasing an additional 909,001 shares in the last quarter. 82.83% of the stock is owned by institutional investors and hedge funds.

Key Gildan Activewear News

Here are the key news stories impacting Gildan Activewear this week:

• Positive Sentiment: Gildan declared a quarterly dividend of $0.249 per share, payable December 21, representing an annualized dividend of about $1.00 and a yield of roughly 2.9%. Dividend announcement
• Positive Sentiment: Third-quarter sales from continuing operations rose 61.1% year over year to $1.47 billion, with a 27.0% adjusted operating margin. Third-quarter results
• Negative Sentiment: Several analysts cut ratings or price targets: Canaccord moved GIL from Buy to Hold and lowered its target to $41 from $62; Scotiabank downgraded it to Sector Perform and cut its target to $39 from $53; and RBC reduced its target to $50 from $70, while retaining Outperform. These reductions signal weaker expectations, despite the remaining upside implied by the targets. Canaccord rating Scotiabank rating RBC rating
• Negative Sentiment: Gildan reported third-quarter EPS of $1.54, below the $1.57 consensus; revenue also missed estimates according to Zacks. The earnings shortfall may reinforce concerns about near-term performance, despite substantial year-over-year sales growth. Earnings estimates report
• Negative Sentiment: Multiple law firms publicized a securities class action covering investors who acquired Gildan shares from February 19, 2025, through June 15, 2026. The complaint alleges material misstatements or omissions, including claims related to channel stuffing; these are allegations, not proven findings. The litigation adds uncertainty and comes amid reports of a sharp share-price decline. The lead-plaintiff deadline is December 14, 2026. Class action notice

Gildan Activewear Company Profile

Gildan Activewear Inc is a Montreal, Quebec-based apparel manufacturer that produces and sells everyday basic clothing for consumers and businesses. The company’s product portfolio includes activewear, T-shirts, fleece garments, underwear, socks and hosiery, as well as other apparel basics.

Gildan sells products primarily through wholesale distributors and screen printers, who supply decorated apparel to businesses, schools, teams, organizations and retailers. Its portfolio includes the Gildan, American Apparel, Comfort Colors, Gold Toe and Anvil brands.