Gildan Activewear Stock Return On Equity
| GIL Stock | CAD 69.60 0.20 0.29% |
Gildan Activewear fundamentals help investors to digest information that contributes to Gildan Activewear's financial success or failures. It also enables traders to predict the movement of Gildan Stock. The fundamental analysis module provides a way to measure Gildan Activewear's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Gildan Activewear stock.
| Last Reported | Projected for Next Year | ||
| Return On Equity | 0.27 | 0.20 |
Gildan | Return On Equity |
Gildan Activewear Company Return On Equity Analysis
Gildan Activewear's Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.
Current Gildan Activewear Return On Equity | 0.24 |
Most of Gildan Activewear's fundamental indicators, such as Return On Equity, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Gildan Activewear is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Gildan Return On Equity Driver Correlations
Understanding the fundamental principles of building solid financial models for Gildan Activewear is extremely important. It helps to project a fair market value of Gildan Stock properly, considering its historical fundamentals such as Return On Equity. Since Gildan Activewear's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Gildan Activewear's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Gildan Activewear's interrelated accounts and indicators.
Click cells to compare fundamentals
For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
| Competition |
Gildan Total Stockholder Equity
Total Stockholder Equity |
|
Based on the latest financial disclosure, Gildan Activewear has a Return On Equity of 0.2371. This is 93.41% lower than that of the Textiles, Apparel & Luxury Goods sector and 32.26% lower than that of the Consumer Discretionary industry. The return on equity for all Canada stocks is 176.48% lower than that of the firm.
Gildan Return On Equity Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Gildan Activewear's direct or indirect competition against its Return On Equity to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Gildan Activewear could also be used in its relative valuation, which is a method of valuing Gildan Activewear by comparing valuation metrics of similar companies.Gildan Activewear is currently under evaluation in return on equity category among its peers.
Gildan Activewear ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Gildan Activewear's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Gildan Activewear's managers, analysts, and investors.Environment Score | Governance Score | Social Score |
Gildan Fundamentals
| Return On Equity | 0.24 | ||||
| Return On Asset | 0.11 | ||||
| Profit Margin | 0.13 % | ||||
| Operating Margin | 0.22 % | ||||
| Current Valuation | 12.89 B | ||||
| Shares Outstanding | 154.42 M | ||||
| Shares Owned By Insiders | 2.38 % | ||||
| Shares Owned By Institutions | 86.29 % | ||||
| Number Of Shares Shorted | 738.54 K | ||||
| Price To Earning | 32.93 X | ||||
| Price To Book | 4.91 X | ||||
| Price To Sales | 3.34 X | ||||
| Revenue | 3.2 B | ||||
| Gross Profit | 958.51 M | ||||
| EBITDA | 743.03 M | ||||
| Net Income | 533.58 M | ||||
| Cash And Equivalents | 150.42 M | ||||
| Cash Per Share | 1.27 X | ||||
| Total Debt | 1.08 B | ||||
| Debt To Equity | 0.75 % | ||||
| Current Ratio | 3.91 X | ||||
| Book Value Per Share | 9.98 X | ||||
| Cash Flow From Operations | 546.61 M | ||||
| Short Ratio | 1.83 X | ||||
| Earnings Per Share | 3.52 X | ||||
| Price To Earnings To Growth | 1.69 X | ||||
| Target Price | 53.66 | ||||
| Number Of Employees | 49 K | ||||
| Beta | 1.6 | ||||
| Market Capitalization | 10.78 B | ||||
| Total Asset | 3.51 B | ||||
| Retained Earnings | 1.61 B | ||||
| Working Capital | 963.45 M | ||||
| Current Asset | 1.25 B | ||||
| Current Liabilities | 233.22 M | ||||
| Annual Yield | 0.02 % | ||||
| Five Year Return | 1.48 % | ||||
| Net Asset | 3.51 B | ||||
| Last Dividend Paid | 0.8 |
About Gildan Activewear Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Gildan Activewear's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Gildan Activewear using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Gildan Activewear based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Pair Trading with Gildan Activewear
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Gildan Activewear position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Gildan Activewear will appreciate offsetting losses from the drop in the long position's value.Moving against Gildan Stock
The ability to find closely correlated positions to Gildan Activewear could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Gildan Activewear when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Gildan Activewear - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Gildan Activewear to buy it.
The correlation of Gildan Activewear is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Gildan Activewear moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Gildan Activewear moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Gildan Activewear can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in Gildan Activewear. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors. To learn how to invest in Gildan Stock, please use our How to Invest in Gildan Activewear guide.You can also try the Portfolio Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.