Hanesbrands Inc. (HBI) Downgraded to “Hold” at Zacks Investment Research
Hanesbrands Inc. (NYSE:HBI) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a report issued on Friday.
According to Zacks, “Hanesbrands has been gaining from its focus on acquisitions, particularly Champion Europe and Hanes Australasia. Benefits from these buyouts fueled third-quarter 2017 results, wherein both earnings and sales grew year over year. Moreover, the company returned to positive organic sales growth trajectory, thanks to robust International sales. Also, Hanesbrands’ online sales remained strong. However, the company has lagged the industry in the past three months owing to a tough retail landscape which is hurting its brick-and-mortar performance. Evidently, this marred Hanesbrands’ domestic sales in the quarter. Management expects these trends to linger in 2017, where it also expects high marketing costs. These factors, along with impacts from natural disasters led to a trimmed view. Nonetheless, cost savings from Project Booster; expected gains from Alternative Apparel and expectations of organic sales growth keep management encouraged.”
HBI has been the subject of several other research reports. Credit Suisse Group set a $28.00 price objective on shares of Hanesbrands and gave the company a “buy” rating in a research report on Thursday, July 27th. BidaskClub upgraded shares of Hanesbrands from a “sell” rating to a “hold” rating in a research report on Wednesday, August 9th. Vetr lowered shares of Hanesbrands from a “strong-buy” rating to a “buy” rating and set a $26.36 price objective for the company. in a research report on Monday, August 28th. UBS AG restated a “buy” rating and set a $27.00 price objective (up previously from $25.00) on shares of Hanesbrands in a research report on Tuesday, August 8th. Finally, Instinet lowered shares of Hanesbrands from a “buy” rating to a “neutral” rating and set a $26.00 price objective for the company. in a research report on Thursday, September 21st. One analyst has rated the stock with a sell rating, eleven have issued a hold rating and nine have assigned a buy rating to the stock. The company presently has an average rating of “Hold” and an average target price of $26.13.
Hanesbrands (NYSE:HBI) last posted its quarterly earnings data on Wednesday, November 1st. The textile maker reported $0.60 earnings per share for the quarter, meeting the Thomson Reuters’ consensus estimate of $0.60. Hanesbrands had a net margin of 9.43% and a return on equity of 64.73%. The company had revenue of $1.80 billion during the quarter, compared to analyst estimates of $1.80 billion. During the same quarter last year, the firm posted $0.56 EPS. The business’s revenue for the quarter was up 2.2% on a year-over-year basis.
In other news, insider John T. Marsh sold 10,325 shares of the stock in a transaction that occurred on Monday, August 28th. The shares were sold at an average price of $24.27, for a total value of $250,587.75. Following the completion of the sale, the insider now directly owns 99,997 shares of the company’s stock, valued at $2,426,927.19. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. 1.10% of the stock is owned by corporate insiders.
Several hedge funds and other institutional investors have recently bought and sold shares of HBI. Teachers Advisors LLC lifted its position in shares of Hanesbrands by 2.7% in the first quarter. Teachers Advisors LLC now owns 913,362 shares of the textile maker’s stock worth $18,961,000 after purchasing an additional 24,181 shares in the last quarter. Thrivent Financial For Lutherans lifted its position in shares of Hanesbrands by 6.9% in the first quarter. Thrivent Financial For Lutherans now owns 13,990 shares of the textile maker’s stock worth $290,000 after purchasing an additional 900 shares in the last quarter. Dimensional Fund Advisors LP lifted its position in shares of Hanesbrands by 2.1% in the first quarter. Dimensional Fund Advisors LP now owns 1,147,948 shares of the textile maker’s stock worth $23,831,000 after purchasing an additional 23,114 shares in the last quarter. Bank of Nova Scotia purchased a new stake in shares of Hanesbrands in the first quarter worth approximately $1,619,000. Finally, Nomura Asset Management Co. Ltd. raised its position in Hanesbrands by 9.5% during the first quarter. Nomura Asset Management Co. Ltd. now owns 49,750 shares of the textile maker’s stock valued at $1,033,000 after acquiring an additional 4,300 shares in the last quarter. 94.80% of the stock is owned by institutional investors and hedge funds.
Hanesbrands Company Profile
Hanesbrands Inc is a marketer of basic innerwear and activewear apparel in the Americas, Europe, Australia and Asia/Pacific under apparel brands, such as Hanes, Champion, Maidenform, DIM, Bali, Playtex, Bonds, JMS/Just My Size, Nur Die/Nur Der, L’eggs, Lovable, Wonderbra, Flexees, Gear for Sports and Berlei.
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