Gildan Activewear stock soars to all-time high of $48.12

Gildan Activewear Inc . (NYSE:GIL) has reached an impressive milestone, with its stock price soaring to an all-time high of $48.12. This peak represents a significant achievement for the apparel company, reflecting a robust performance and growing investor confidence. Over the past year, Gildan Activewear has witnessed a remarkable surge in its stock value, with a 1-year change showing an increase of 70.79%. This substantial growth underscores the company's strong market position and its ability to adapt and thrive amidst the dynamic economic landscape. Investors and analysts alike are closely monitoring GIL's trajectory, as it continues to set new records and expand its influence in the industry.

In other recent news, Gildan Activewear reported a 3% increase in sales to $862 million in Q2 2024, driven by a 6% rise in their Activewear segment. Despite a 16% drop in Hosiery and Underwear due to the Under Armour (NYSE:UA) business phase-out, the company's gross margin improved to 30.4%. Gildan announced a new share repurchase program and provided a positive outlook for the full year, expecting revenue growth to be flat to low-single-digit and an adjusted operating margin slightly above their 18% to 20% target range. From 2025 to 2027, the company anticipates mid-single-digit net sales growth and mid-teen adjusted diluted EPS growth. These developments are part of the recent updates from the company.

CEO Glenn Chamandy discussed the neutral impact of cotton prices in 2025 and the company's focus on returning capital to shareholders. Management expressed satisfaction with the Q2 results and optimism for future growth, emphasizing efforts to optimize manufacturing and drive operating margins. Despite some challenges, such as the temporary decline in fleece products due to hot weather, management remains confident in their ability to achieve strong margins and growth. The company plans to continue share repurchases in the second half of 2024.

InvestingPro Insights

Gildan Activewear's recent stock performance aligns with several key insights from InvestingPro. The company's stock is indeed trading near its 52-week high, as reflected in its current price of $47.89, which is 99.75% of its 52-week high. This corroborates the article's mention of the stock reaching an all-time high.

InvestingPro data shows that Gildan has delivered a strong return over the last year, with a 1-year price total return of 72.71%, closely matching the 70.79% increase mentioned in the article. This performance is part of a broader trend, with the stock showing impressive returns over various timeframes: 23.29% in the last three months and 38% over six months.

InvestingPro Tips highlight that Gildan has maintained dividend payments for 14 consecutive years and has raised its dividend for 3 consecutive years. This consistent dividend policy, coupled with a current dividend yield of 1.71%, may be contributing to investor confidence and the stock's strong performance.

For readers interested in a deeper analysis, InvestingPro offers 13 additional tips for Gildan Activewear, providing a comprehensive view of the company's financial health and market position.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.