In the latest trading session, HanesBrands (HBI) closed at $15.51, marking a -0.45% move from the previous day. This change lagged the S&P 500's daily gain of 1.6%. At the same time, the Dow added 1.34%, and the tech-heavy Nasdaq gained 2.26%.
Heading into today, shares of the underwear, T-shirt and sock maker had lost 0.95% over the past month, outpacing the Consumer Discretionary sector's loss of 1.59% and the S&P 500's loss of 5.3% in that time.
Investors will be hoping for strength from HBI as it approaches its next earnings release. The company is expected to report EPS of $0.37, down 31.48% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.63 billion, down 12.93% from the prior-year quarter.
HBI's full-year Zacks Consensus Estimates are calling for earnings of $1.46 per share and revenue of $6.35 billion. These results would represent year-over-year changes of -17.05% and -8.91%, respectively.
Investors should also note any recent changes to analyst estimates for HBI. These revisions typically reflect the latest short-term business trends, which can change frequently. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. HBI is currently a Zacks Rank #1 (Strong Buy).
Investors should also note HBI's current valuation metrics, including its Forward P/E ratio of 10.7. This represents a discount compared to its industry's average Forward P/E of 37.08.
Also, we should mention that HBI has a PEG ratio of 3.24. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Textile - Apparel industry currently had an average PEG ratio of 4.96 as of yesterday's close.
The Textile - Apparel industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 124, which puts it in the top 49% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
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Hanesbrands Inc. (HBI) : Free Stock Analysis Report
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