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Credit Suisse began coverage on shares of Gildan Activewear (NYSE:GIL) in a research note issued on Friday. The firm set a “buy” rating and a $68.00 price target on the stock. Credit Suisse’s price target would indicate a potential upside of 18.45% from the stock’s previous close.

The analysts wrote, “This morning, GIL announced it has signed a definitive agreement to acquire Doris Inc. for USD $101.4 million ($110.6 million, if all performance-based targets are hit). The acquisition, expected to close early July 2014, will be paid in cash and financed out of GIL’s credit facility. The deal is expected to be accretive to FY15 earnings. “Based on revenue and EBITDA of $87.6 million and $12.9 million, respectively, for the year ended March 31, 2014, the deal values Doris, Inc. at 1.2x EV/Sales (1.3x with performance payouts) and 7.9x EV/EBITDA (8.6x with performance payouts).”

Shares of Gildan Activewear (NYSE:GIL) opened at 57.75 on Friday. Gildan Activewear has a 1-year low of $38.32 and a 1-year high of $57.89. The stock has a 50-day moving average of $54.4 and a 200-day moving average of $52.04. The company has a market cap of $7.061 billion and a price-to-earnings ratio of 21.20.

Gildan Activewear (NYSE:GIL) last posted its quarterly earnings results on Friday, May 2nd. The company reported $0.64 earnings per share for the quarter, beating the analysts’ consensus estimate of $0.63 by $0.01. The company had revenue of $548.80 million for the quarter, compared to the consensus estimate of $555.22 million. During the same quarter last year, the company posted $0.59 earnings per share. Gildan Activewear’s revenue was up 4.9% compared to the same quarter last year. On average, analysts predict that Gildan Activewear will post $3.08 earnings per share for the current fiscal year.

GIL has been the subject of a number of other recent research reports. Analysts at Canaccord Genuity raised their price target on shares of Gildan Activewear from $64.00 to $66.00 in a research note on Friday. They now have a “buy” rating on the stock. Separately, analysts at Citigroup Inc. reiterated a “hold” rating on shares of Gildan Activewear in a research note on Monday, May 19th. They now have a $63.00 price target on the stock, up previously from $59.00. Finally, analysts at CSFB initiated coverage on shares of Gildan Activewear in a research note on Tuesday, May 6th. They set an “outperform” rating and a C$70.00 price target on the stock. Two analysts have rated the stock with a hold rating, ten have given a buy rating and three have issued a strong buy rating to the company’s stock. The stock has an average rating of “Buy” and an average target price of $64.67.

Gildan Activewear Inc (NYSE:GIL) is a marketer and vertically-integrated global manufacturer of basic, non-fashion apparel products for customers.

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