Is Gildan Activewear Inc. (GIL) Halal?

NYSE Consumer Cyclical Canada $10.1B
✓ HALAL
Confidence: 95/100
Gildan Activewear Inc. (GIL) is Halal under 3 of 5 Shariah screening standards, including AAOIFI Standard 21. With a debt ratio of just 14.2% against the AAOIFI threshold of 30%, Gildan Activewear Inc. comfortably passes the key financial ratio tests. The company operates in the Consumer Cyclical sector (Apparel Manufacturing), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 14.2%
/ 30%
0.9%
/ 30%
4.7%
/ 30%
0.27%
/ 5%
✓ HALAL
DJIM 14.2%
/ 33%
0.9%
/ 33%
4.7%
/ 33%
0.27%
/ 5%
✓ HALAL
MSCI 44.5%
/ 33%
2.7%
/ 33%
14.6%
/ 33%
0.27%
/ 5%
✗ NOT HALAL
S&P 14.2%
/ 33%
0.9%
/ 33%
4.7%
/ 33%
0.27%
/ 5%
✓ HALAL
FTSE 44.5%
/ 33%
2.7%
/ 33%
14.6%
/ 50%
0.27%
/ 5%
✗ NOT HALAL

Financial Highlights

P/E Ratio
21.2
Forward: 10.1
EPS
$2.57
Dividend Yield
183.0%
Payout: 35.2%
P/B Ratio
2.8
EV/EBITDA
16.0
EV: $14.4B
Revenue
$3.6B
Growth: 31.3%
Beta
1.0
Average volatility
Current Ratio
2.1

Profitability

Gross Margin 32.2%
Operating Margin 20.7%
Net Margin 11.0%
Return on Equity (ROE) 15.7%
Return on Assets (ROA) 6.9%

Cash Flow & Balance Sheet

Operating Cash Flow$606M
Free Cash Flow$493M
Total Debt$4.6B
Debt-to-Equity132.1
Current Ratio2.1
Total Assets$10.5B

Price & Trading

Last Close$55.53
50-Day MA$65.32
200-Day MA$58.43
Avg Volume1.3M
Beta1.0
52-Week Range
$37.16
$73.70

About Gildan Activewear Inc. (GIL)

CEO
Mr. Glenn J. Chamandy
Employees
80,000
Sector
Consumer Cyclical
Industry
Apparel Manufacturing
Country
Canada
Exchange
NYSE
Market Cap
$10.1B
Currency
USD

Gildan Activewear Inc. manufactures and sells various apparel products. The company provides various activewear products, including T-shirts, fleece tops and bottoms, sports shirts, polos, and tank tops under Gildan, Hanes, Gildan Performance, Gildan Hammer, Gildan Softstyle, Gildan Heavy Cotton, Gildan Ultra Cotton, Gildan DryBlend, Gildan HeavyBlend, Comfort Colors, American Apparel, ALLPRO, ComfortWash, BEEFY, Bonds and Champion brands. It also offers hosiery products comprising athletic, dress, casual and workwear socks, liner socks, and socks for therapeutic purposes under Gildan, GoldToe, Signature Gold by GoldToe, GoldToe Edition, Peds, MediPeds, Hanes, and Powersox brands. In addition, the company provides men's and boys' underwear products and ladies' panties under Gildan, Gildan Platinum, Gildan Softstyle, Gildan Performance, BareSoft, Gildan Performance, EZBreeze, Bonds, Berlei, Bras N Things, Polo Ralph Lauren brands. Further, it provides women's lingerie, bras and shapewear under Bali, Playtex, WonderBra, Maidenform, Bonds, Bras N Things, Berle brands. It sells its products to wholesale distributors, screenprinters, and embellishers in North America, Europe, the Asia-Pacific, and Latin America, as well as to retailers in North America, including mass merchants, department stores, national chains, specialty retailers, craft stores, and online retailers; and manufactures products for lifestyle brand companies. The company was formerly known as Textiles Gildan Inc. and changed its name to Gildan Activewear Inc. in March 1995. Gildan Activewear Inc. was founded in 1946 and is headquartered in Montreal, Canada.

Purification Calculator

As a halal stock with 0.27% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is Gildan Activewear Inc. (GIL) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), Gildan Activewear Inc. is Halal. The company passes all financial ratio thresholds for debt, cash, receivables, and impermissible income. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.

What is Gildan Activewear Inc.'s debt ratio?

Gildan Activewear Inc.'s debt ratio is 14.2% under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%. Under MSCI and FTSE (which use total assets as the denominator), the debt ratio is 44.5%.

Does Gildan Activewear Inc. require dividend purification?

Yes, Gildan Activewear Inc. has an impermissible income ratio of 0.27%, which means 0.27% of any dividends received should be donated to charity as purification. This is because a small portion of the company's revenue comes from non-Shariah-compliant sources.

What are Gildan Activewear Inc.'s key financial metrics?

Gildan Activewear Inc. has a market capitalization of $10.1B, trailing P/E ratio of 21.2, and revenue of $3.6B. The company maintains a gross margin of 32.2% and a net margin of 11.0%. Return on equity stands at 15.7%.

How often is the screening data updated?

Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.

Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.