HanesBrands (HBI) closed the most recent trading day at $14.42, moving -0.07% from the previous trading session. This change was narrower than the S&P 500's daily loss of 0.39%. At the same time, the Dow added 0.12%, and the tech-heavy Nasdaq lost 0.1%.
Heading into today, shares of the underwear, T-shirt and sock maker had gained 6.42% over the past month, lagging the Consumer Discretionary sector's gain of 8.9% and outpacing the S&P 500's gain of 4.06% in that time.
Investors will be hoping for strength from HBI as it approaches its next earnings release. In that report, analysts expect HBI to post earnings of $0.30 per share. This would mark a year-over-year decline of 41.18%. Meanwhile, our latest consensus estimate is calling for revenue of $1.63 billion, down 6.99% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.36 per share and revenue of $6.49 billion, which would represent changes of -22.73% and -6.82%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for HBI. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.26% lower. HBI currently has a Zacks Rank of #4 (Sell).
Digging into valuation, HBI currently has a Forward P/E ratio of 10.63. For comparison, its industry has an average Forward P/E of 24.66, which means HBI is trading at a discount to the group.
The Textile - Apparel industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 114, putting it in the top 45% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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