October 26, 2015 / 4:07 PM / 2 years ago

BUZZ-Gildan Activewear Inc: DA Davidson cuts rating, PT

** Canadian apparel maker’s shares down 4.6 pct at C$36.38; U.S.-listed shares down 4.3 pct at $27.70

** DA Davidson & Co cuts rating on U.S.-listed stock to “neutral” from “buy” and PT to $31 from $38

** Analysts expect sluggish sales to hurt the company as Wal-Mart Stores Inc, which is Gildan’s major customer, sees a soft retail environment in the U.S.

** “The overall retail environment seemingly presents more risk than opportunity,” analysts say

** Wal-Mart on Oct. 14 warned that higher wages as well as spending on e-commerce and lower prices would cut earnings per share by as much as 12 pct in the next fiscal year

** Of 18 brokerages covering the stock, 4 have “hold”, while others have “buy” or higher; median PT is $36

** Up to Friday’s close, U.S.-listed stock had fallen nearly 18 pct since July 30, when the stock hit year high of $35.15

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below