UPDATE: D.A. Davidson & Co. Upgrades Gildan Activewear to Buy, Raises PT on Outsized EPS Growth

In a report published Monday, D.A. Davidson & Co. analyst Andrew Burns upgraded the rating on

from Neutral to Buy, and raised the price target from $52.00 to $60.00. In the report, D.A. Davidson & Co. noted, “Honduras investor event helped build our confidence in both Gildan's low-cost manufacturing and Branded Apparel growth strategy. After downgrading the shares earlier this year on valuation and concerns around retail execution, we have been impressed with the strong performance of GIL's new retail programs. This has already led to incremental shelf space gains at Walmart and significant new programs on plan for 2014. We see Gildan's strategy yielding substantial share gains in the coming years against both private label as well as weaker branded competitors such as Fruit of the Loom.” Gildan Activewear closed on Friday at $50.41.