Zacks Investment Research Lowers Hanesbrands Inc. (NYSE:HBI) to Hold
Zacks Investment Research downgraded shares of Hanesbrands Inc. (NYSE:HBI) from a buy rating to a hold rating in a report published on Wednesday.
According to Zacks, “Hanesbrands’ second-quarter 2017 sales and earnings came in line with the Zacks Consensus Estimate and increased year-over-year, driven by acquisitions and sales from online channel. Though organic sales declined in the quarter, it improved sequentially. In fact, the company expects organic sales to turn positive and contribute to growth in the second half. The company’s Project Booster program is also expected to minimize costs and increase cash flow, thus driving growth. Such factors have aided Hanesbrands’ shares to outperform the industry over the past six months. However, the company’s sales have lagged the Zacks Consensus Estimate in six of the past seven quarters, probably due to soft sales at its brick-and-mortar stores. The company also expects back-to-school shipments to fall in the third quarter. Further Hanesbrands’ performance is challenged by currency fluctuations and low international penetration.”
Other analysts have also issued reports about the stock. Buckingham Research reiterated a buy rating and set a $30.00 price target on shares of Hanesbrands in a research note on Monday, July 17th. BidaskClub lowered shares of Hanesbrands from a buy rating to a hold rating in a research note on Tuesday, June 27th. Vetr lowered shares of Hanesbrands from a strong-buy rating to a buy rating and set a $23.91 price target on the stock. in a research note on Wednesday, April 19th. FBR & Co reiterated a buy rating on shares of Hanesbrands in a research note on Saturday, April 15th. Finally, Credit Suisse Group set a $28.00 price target on shares of Hanesbrands and gave the stock a buy rating in a research note on Thursday, July 27th. Six equities research analysts have rated the stock with a hold rating and ten have issued a buy rating to the stock. The stock has a consensus rating of Buy and a consensus price target of $27.57.
Hanesbrands (HBI) traded up 0.55% during midday trading on Wednesday, reaching $23.93. 3,757,495 shares of the company were exchanged. The firm’s 50 day moving average price is $23.27 and its 200-day moving average price is $21.71. The stock has a market capitalization of $8.72 billion, a P/E ratio of 15.68 and a beta of 0.73. Hanesbrands has a 52 week low of $18.91 and a 52 week high of $28.24.
Hanesbrands (NYSE:HBI) last issued its quarterly earnings data on Tuesday, August 1st. The textile maker reported $0.53 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.53. The firm had revenue of $1.65 billion for the quarter, compared to analyst estimates of $1.65 billion. Hanesbrands had a net margin of 10.46% and a return on equity of 67.82%. Hanesbrands’s revenue was up 11.8% on a year-over-year basis. During the same period in the previous year, the firm earned $0.51 EPS. Equities analysts forecast that Hanesbrands will post $1.99 EPS for the current fiscal year.
The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 6th. Stockholders of record on Tuesday, August 15th will be given a dividend of $0.15 per share. This represents a $0.60 dividend on an annualized basis and a dividend yield of 2.51%. The ex-dividend date of this dividend is Friday, August 11th. Hanesbrands’s dividend payout ratio is presently 39.47%.
In other news, CFO Richard D. Moss sold 20,000 shares of the business’s stock in a transaction dated Friday, August 4th. The stock was sold at an average price of $24.08, for a total transaction of $481,600.00. Following the completion of the transaction, the chief financial officer now directly owns 254,487 shares of the company’s stock, valued at $6,128,046.96. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, CEO Gerald Evans sold 43,379 shares of the business’s stock in a transaction dated Wednesday, July 5th. The stock was sold at an average price of $23.18, for a total value of $1,005,525.22. Following the transaction, the chief executive officer now directly owns 1,056,314 shares of the company’s stock, valued at $24,485,358.52. The disclosure for this sale can be found here. Over the last three months, insiders have sold 130,329 shares of company stock valued at $3,016,617. Corporate insiders own 1.10% of the company’s stock.
Several institutional investors have recently made changes to their positions in the company. Lazard Asset Management LLC increased its position in shares of Hanesbrands by 25.0% in the first quarter. Lazard Asset Management LLC now owns 5,000 shares of the textile maker’s stock worth $103,000 after buying an additional 1,000 shares in the last quarter. Van ECK Associates Corp increased its position in shares of Hanesbrands by 7.4% in the first quarter. Van ECK Associates Corp now owns 5,995 shares of the textile maker’s stock worth $124,000 after buying an additional 415 shares in the last quarter. Carroll Financial Associates Inc. increased its position in shares of Hanesbrands by 24.4% in the first quarter. Carroll Financial Associates Inc. now owns 5,997 shares of the textile maker’s stock worth $124,000 after buying an additional 1,177 shares in the last quarter. Washington Trust Bank increased its position in shares of Hanesbrands by 50.0% in the second quarter. Washington Trust Bank now owns 6,000 shares of the textile maker’s stock worth $139,000 after buying an additional 2,000 shares in the last quarter. Finally, Commonwealth Bank of Australia increased its position in shares of Hanesbrands by 19.2% in the second quarter. Commonwealth Bank of Australia now owns 6,598 shares of the textile maker’s stock worth $152,000 after buying an additional 1,062 shares in the last quarter. 93.68% 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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