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Market Cap

US$7.1b

Last Updated

2021/04/15 23:15 UTC

Data Sources

Company Financials +

Executive Summary

Hanesbrands Inc., a consumer goods company, designs, manufactures, sources, and sells a range of basic apparel for men, women, and children in the United States. More Details


Snowflake Analysis

Reasonable growth potential and slightly overvalued.


Similar Companies

Share Price & News

How has Hanesbrands's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: HBI is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: HBI's weekly volatility (9%) has been stable over the past year.


Market Performance


7 Day Return

0.6%

HBI

1.3%

US Luxury

1.6%

US Market


1 Year Return

130.9%

HBI

70.6%

US Luxury

57.5%

US Market

Return vs Industry: HBI exceeded the US Luxury industry which returned 69.7% over the past year.

Return vs Market: HBI exceeded the US Market which returned 56.6% over the past year.


Shareholder returns

HBIIndustryMarket
7 Day0.6%1.3%1.6%
30 Day-2.0%-2.6%3.4%
90 Day27.5%1.0%8.6%
1 Year142.2%130.9%72.0%70.6%60.3%57.5%
3 Year28.3%13.7%71.6%64.6%62.6%51.9%
5 Year-15.8%-28.9%89.5%77.6%119.9%95.3%

Long-Term Price Volatility Vs. Market

How volatile is Hanesbrands's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Hanesbrands undervalued compared to its fair value and its price relative to the market?

27.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: HBI ($20.04) is trading below our estimate of fair value ($27.8)

Significantly Below Fair Value: HBI is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: HBI is unprofitable, so we can't compare its PE Ratio to the US Luxury industry average.

PE vs Market: HBI is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate HBI's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: HBI is overvalued based on its PB Ratio (8.6x) compared to the US Luxury industry average (2x).


Future Growth

How is Hanesbrands forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

33.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HBI is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).

Earnings vs Market: HBI is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: HBI's is expected to become profitable in the next 3 years.

Revenue vs Market: HBI's revenue (2.3% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: HBI's revenue (2.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: HBI's Return on Equity is forecast to be very high in 3 years time (49.7%).


Past Performance

How has Hanesbrands performed over the past 5 years?

-4.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HBI is currently unprofitable.

Growing Profit Margin: HBI is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: HBI is unprofitable, and losses have increased over the past 5 years at a rate of 4.7% per year.

Accelerating Growth: Unable to compare HBI's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: HBI is unprofitable, making it difficult to compare its past year earnings growth to the Luxury industry (-8.7%).


Return on Equity

High ROE: HBI has a negative Return on Equity (-9.29%), as it is currently unprofitable.


Financial Health

How is Hanesbrands's financial position?


Financial Position Analysis

Short Term Liabilities: HBI's short term assets ($3.4B) exceed its short term liabilities ($2.1B).

Long Term Liabilities: HBI's short term assets ($3.4B) do not cover its long term liabilities ($4.8B).


Debt to Equity History and Analysis

Debt Level: HBI's debt to equity ratio (491.9%) is considered high.

Reducing Debt: HBI's debt to equity ratio has increased from 206.5% to 491.9% over the past 5 years.

Debt Coverage: HBI's debt is not well covered by operating cash flow (11.2%).

Interest Coverage: HBI is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Dividend

What is Hanesbrands's current dividend yield, its reliability and sustainability?

2.99%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: HBI's dividend (2.99%) is higher than the bottom 25% of dividend payers in the US market (1.24%).

High Dividend: HBI's dividend (2.99%) is low compared to the top 25% of dividend payers in the US market (3.49%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, HBI has been paying a dividend for less than 10 years.

Growing Dividend: HBI's dividend payments have increased, but the company has only paid a dividend for 8 years.


Current Payout to Shareholders

Dividend Coverage: HBI is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: HBI's dividends in 3 years are forecast to be well covered by earnings (39% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

0.7yrs

Average management tenure


CEO

Steve Bratspies (52 yo)

0.67

Tenure

US$5,493,190

Compensation

Mr. Stephen B. Bratspies, also known as Steve, serves as Chief Executive Officer and Director at Hanesbrands Inc. since August 03, 2020. Mr. Bratspies served as Executive Vice President and Chief Merchandi...


CEO Compensation Analysis

Compensation vs Market: Steve's total compensation ($USD5.49M) is about average for companies of similar size in the US market ($USD6.41M).

Compensation vs Earnings: Insufficient data to compare Steve's compensation with company performance.


Leadership Team

Experienced Management: HBI's management team is not considered experienced ( 0.7 years average tenure), which suggests a new team.


Board Members

Experienced Board: HBI's board of directors are considered experienced (6.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: HBI insiders have sold more shares than they have bought in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Hanesbrands Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Hanesbrands Inc.
  • Ticker: HBI
  • Exchange: NYSE
  • Founded: 1901
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: US$7.069b
  • Shares outstanding: 349.01m
  • Website: https://www.hanes.com

Number of Employees


Location

  • Hanesbrands Inc.
  • 1000 East Hanes Mill Road
  • Winston-Salem
  • North Carolina
  • 27105
  • United States

Listings


Biography

Hanesbrands Inc., a consumer goods company, designs, manufactures, sources, and sells a range of basic apparel for men, women, and children in the United States. The company operates through three segments...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/15 23:15
End of Day Share Price2021/04/15 00:00
Earnings2021/01/02
Annual Earnings2021/01/02


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.