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Retail Sector Analyst Team

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Presentation on theme: "Retail Sector Analyst Team"— Presentation transcript:

1 Retail Sector Analyst Team
Activewear Retail Sector Analyst Team

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4 Company History Was formed in 1984 by brothers H.Greg and Glenn Chamandy in Montreal. With the arrival of North American Free Trade Agreement (NAFTA) the Chamandys reformed the family business by focusing more on selling t-shirts and sweatshirts. Later on, outsourced sewing to Central American factories and retained the control-end of the business knitting, dyeing, and finishing. Garments were sold wholesale, starting in 1992, in large quantities and shipped to North American clients via UPS.

5 Company History continued...
In early 1990s Gildan had gained a reputation for high-quality, inexpensive pullovers. In 1994, Gildan’s first full year of production, they brought in sales of over $32 million. As the decade came to an end Gildan was a forced to be reckoned with, with sales just over $144 million. Investing in environmentally friendly dyeing and bleaching equipment.

6 Management Glenn J. Chamandy President and chief executive officer
Michael R. Hoffman President Printwear Benito Masi Executive vice-President Manufacturing Rhodri J. Harries Executive Vice-President, Chief Financial and Administrative Officer Eric Leham President Branded apparel Management has been fairley good however there has been allegation of labor rights in the past couple of years

7 Current news that affect the company
Annual report, and Quarter 4 report released on Wednesday February 24, 2016 Bigger growth at its printwear segment helped the clothing manufacturer to a US$67.6 million profit in its fourth quarter. Overall sales were up 39.2 per cent to US$543.8 million, from US$390.6 million a year earlier. Many analysts and banks including Canaccord Genuity, and National Bank Financial list stock as a buy, and will Outperform target

8 Current news continued
Low wages and advanced technology has allowed Gildan to lower its price per shirt to below that of Chinese manufacturers, making them a more desirable supplier, and boosting Canadian economy Products mainly come from China, Haiti, Honduras and Bangladesh; factories in Haiti have poor human rights and environmental issues, but labour rights, unions, and environmental actions like “Biotop” will counter these issues, and prevent the stock from becoming unstable

9 stock price Beta Dividend Yield P/E EPS

10 Charts

11 Charts

12 Charts

13 Financials: Income Statement

14 Financials: Income Statement

15 Financials: Balance Sheet

16 Financials: Balance Sheet

17 Analyst Recommendations
Analyst Rating: Strong Buy

18 Buy Plan Buy plan 1: $34.23 CAD x 146 shares = $5000 CAD Buy plan 2:
hold for 2 years Buy plan 2: $34.23 CAD x 102 shares = $3500 CAD

19 THANK YOU FOR LISTENING!


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