Hanesbrands (HBI) earnings: expect 4% revenue growth

12:43 pm ET, 01 May 2019

Hanesbrands Inc. (HBI) is announcing earnings on May 02, before market opening. Wondering what revenue and earnings will look like?

What should you expect from the upcoming earnings?

Revenue for the next quarter is expected to be $1.53B, which implies 4% growth rate year-over-year.

Earnings per share are expected to come in at $0.25. If this materializes, EPS will decline -4% year-over-year.

How did the stock do last month?

Over the last month, Hanesbrands (HBI) returned +9.76%.

How is the stock valued?

Hanesbrands (HBI) forward P/E ratio is 10.55, and it’s low compared to its industry peers’ P/E ratio.

What do analysts say about the stock?

Hanesbrands (HBI) average analyst price target is 6.09% above its current price ($18.07).

For the latest price and information on Hanesbrands Inc., please visit Finstead and ask for "HBI", "HBI analysis" or "HBI news".

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Top 3 stock bets in the consumer cyclical sector

11:57 am ET, 22 Apr 2019

Disclaimer: The following bite is my perspective on investing in consumer cyclical companies; it is not an endorsement or a recommendation for investors to buy, sell or short any stock. 

The consumer cyclical sector has dipped 6% since its peak in June 2018, because of a number of concerns such as global growth slowdown (e.g., in China), political protests in Europe, Brexit concerns in the UK, and trade tensions between the US and its partners.  All of these have impacted the performance of the consumer cyclical sector. 

However, there are good opportunities for long-term investors to own shares of structurally advantaged companies, less susceptible to cyclical pressures.

Here are my top 3 bets in the consumer cyclical sector. I do not recommend buying any of these stocks before doing your own due diligence.

1. Wyndham Hotels & Resorts (WH)

Wyndham Hotels & Resorts Inc (WH) is my first pick.  Wyndham is likely to expand room share in the hotel industry; the company currently has roughly 40% share of all mid-scale branded hotels.  It also has the industry’s fourth-largest loyalty program. 

Wyndham's share of existing US hotel rooms is 15%.  Globally, that number is 5%.

The company gets an attractive fee from over 9,000 hotels which are either managed or franchised.  This leads to the generation of healthy returns on capital.

Over the last month, Wyndham Hotels & Resorts Inc (WH) returned +3.44%.Wyndham Hotels & Resorts Inc (WH) average analyst price target is 24.63% above its current price ($53.76).

For the latest price and information on Wyndham Hotels & Resorts, please visit Finstead and ask for "WH" or "WH analysis".

2. Hanesbrands (HB)

Hanesbrands (HBI) is my second pick.  I think potential investors have predominantly focused on short-term issues around the existing inventory levels and have overlooked a longer-term opportunity.  

I expect to see a gradual improvement in Hanesbrands' operating margin in the next 3 years. This is because of the company is pretty disciplined about its operational processes and improvements.

Over the last month, Hanesbrands (HBI) returned +7.03%. 

Hanesbrands Inc. (HBI) forward P/E ratio is 10.55, and it’s low compared to its industry peers’ P/E ratios.Hanesbrands (HBI) short share of float is 11.14%. The stock is much more frequently shorted than the average industry, sector or S&P 500 stock.

Hanesbrands Inc. (HBI) average analyst price target is 1.48% above its current price ($18.89).

For the latest price and information on Hanesbrands, please visit Finstead and ask for "HBI" or "HBI analysis".

3.  L Brands (LB)

L Brands (LB) is my third pick.  Its awareness is increasing globally; the company has solid growth opportunities in the long run, especially internationally in China.

L Brands is increasingly focused on Victoria Secret Beauty and is introducing innovative bras and swimwear.

Over the last month, L Brands, Inc. (LB) returned -6.45%. 

L Brands, Inc. (LB) forward P/E ratio is 10.11, and it’s low compared to its industry peers’ P/E ratios.

L Brands, Inc. (LB) average analyst price target is 17.52% above its current price ($25.68).

For the latest price and information on L Brands, Inc., please visit Finstead and ask for "LB" or "LB analysis".

Hanesbrands Inc. (HBI) Stock Guide

Updated at: 11:31 pm ET, 17 Sep 2020

Before we start: if you're looking for HBI stock price, you can quickly find it out by visiting Finny and typing "HBI quote". If you're looking for a quick scoop on HBI stock (chart, price target, market cap, news and buy or sell analysis), go to Finny and look for "HBI". You'll get all this info in one place. Or you can just type "HBI news" to get the latest stock news.

Looking to buy or sell Hanesbrands Inc. (HBI)? Interested in getting the full scoop on HBI, including earnings and dividends, stock forecast, buy or sell analysis and key stats? If so, you came to the right place.

In this HBI stock guide, we'll address key questions about HBI, above and beyond what you can find on Yahoo Finance, Zacks, MarketWatch or Morningstar.

Here is what you'll be able to find in this guide:

Earnings and Dividends: earnings, earnings date, dividend rate and dividend yield;
Analyst Predictions: stock forecast and analyst ratings;
Analysis: Finny Score and buy or sell analysis;
Key Stats: revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio, industry, sector, and number of employees.

And here is the list of questions we'll answer:
1. What are HBI earnings?
2. What is HBI dividend?
3. What is HBI dividend yield?
4. What is HBI stock forecast (i.e., prediction)?
5. HBI buy or sell? What is HBI Finny Score?
6. What are the reasons to buy HBI? Why should I buy HBI stock?
7. What are the reasons to sell HBI? Why should I sell HBI stock?
8. What are HBI key stats: revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio industry, sector, and number of employees?

So let's start. Scroll down to the question that interests you the most.

Earnings and Dividends

1. What are HBI earnings?

HBI trailing 12-month earnings per share (EPS) is $1.45.

2. What is HBI dividend?

HBI forward dividend is $0.60.

3. What is HBI dividend yield?

HBI forward dividend yield is 3.92%.

Analyst Predictions

4. What is HBI stock forecast (i.e., prediction)?

Based on HBI analyst price targets, HBI stock forecast is $15.64 (for a year from now). That means the average analyst price target for HBI stock is $15.64. The prediction is based on 15 analyst estimates.

The low price target for HBI is $5.00, while the high price target is $20.00.

HBI analyst rating is Buy.

Analysis

5. HBI buy or sell? What is HBI Finny Score?

#{finnyScore:40}Our quantitative analysis shows 4 reasons to buy and 6 reasons to sell HBI, resulting in Finny Score of 40.

6. What are the reasons to buy HBI? Why should I buy HBI stock?

Here are the reasons to buy HBI stock:

  • The shift to premium products is working, and further innovations could fuel revenue and margin growth.
  • Positive free cash flow generation, combined with a low stock price, could mean that investors will benefit from share repurchases.
  • The company has proved to be adept at integrating acquisitions and driving synergies. Further acquisitions could provide upside to our valuation.
  • HBI forward dividend yield is 3.92%, higher than the industry (0.68%) and sector (0.55%) forward dividend yields. See HBI forward dividend chart.
  • HBI forward P/E ratio is 9.77, which is low compared to its industry peers’ P/E ratios. See HBI forward P/E ratio chart.
  • HBI PEG ratio (P/E adjusted for growth) is 15.27, which is low compared to its industry peers’ PEG ratios. See HBI PEG chart.
  • HBI average analyst rating is Buy. See HBI analyst rating chart.

7. What are the reasons to sell HBI? Why should I sell HBI stock?

Let's look at the reasons to sell HBI stock (i.e., the bear case):

  • The company has already recognized much margin expansion and further upside may be limited.
  • Retailer consolidation, private-label programs, and stringent inventory management processes may limit sales growth opportunities or make performance volatile due to brick-and-mortar retailers.
  • Debt levels are high and the company continues to adjust out acquisition-related expenses.
  • HBI stock price ($15.80) is close to the 52-week high ($16.45). Perhaps now is a good time to sell? See HBI price chart.
  • HBI quarterly revenue growth was -1.30%, lower than the industry and sector average revenue growth (1.75% and 0.78%, respectively). See HBI revenue growth chart.
  • HBI profitability is declining. The YoY profit margin change was -7.99 percentage points. See HBI profitability chart.
  • HBI average analyst price target ($15.64) is below its current price ($15.80). See HBI price target chart.
  • HBI short share of float is 11.91%. The stock is much more frequently shorted than the average industry, sector or S&P 500 stock. See HBI short share of float chart.
  • HBI short interest (days to cover the shorts) ratio is 4.13. The stock garners more short interest than the average industry, sector or S&P 500 stock. See HBI short interest ratio chart.

Key Stats

8. What are HBI key stats : revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio industry, sector, and number of employees?

Let's look at the key statistics for HBI:

Metrics HBI
Price $15.51
Average Price Target / Upside $15.64 / 0.84%
Average Analyst Rating Buy
Forward Dividend Yield 3.92%
Industry Apparel Manufacturing
Sector Consumer Cyclical
Number of Employees 68,000
Market Cap $5.41B
Forward P/E Ratio 9.77
Price/Book Ratio 0.81
Revenue (TTM) $6.67B
YoY Quarterly Revenue Growth -1.30%
Profit Margin 7.84%

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