09:00 AM EDT, 05/02/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We maintain our 12-month price target of CAD50, based on 12.2x our 2024 EPS estimate and lower than the company's 10-year average forward P/E multiple of 16.5x, but in line with its 3-year average of 12.1x. We maintain our 2024 and 2025 EPS estimates of CAD4.11 (USD3.00) and CAD4.59 (USD3.35), respectively. GIL posts normalized Q1 EPS of USD0.59 vs. USD0.45, USD0.08 above consensus estimates on revenues of USD696M vs. USD703M and USD3M above estimates. By segment in Q1, Activewear sales increased 1% Y/Y while hosiery and underwear declined 10% due to the exit of its Under Armour sock business and overall weakness in the underwear space. Q1 adjusted gross margin expanded 410 bps to 30.3% due to lower raw material and manufacturing costs. Inventory declined 13.5% Y/Y to $1.14B, which should enable the company to continue to improve its gross margin and bottom line. Shares currently trade around 10x our 2024 EPS estimate, which we believe is cheap for this best-in-class apparel manufacturer.