Hanesbrands (NYSE:HBI) Trading Up 20.1% After Earnings Beat

Hanesbrands Inc. (NYSE:HBI) rose 20.1% during trading on Thursday following a better than expected earnings announcement. The stock traded as high as $8.70 and last traded at $8.53. Approximately 2,931,053 shares traded hands during mid-day trading, a decline of 62% from the average daily volume of 7,737,967 shares. The stock had previously closed at $7.10.

The textile maker reported $0.15 earnings per share for the quarter, topping the consensus estimate of $0.11 by $0.04. Hanesbrands had a positive return on equity of 33.23% and a negative net margin of 6.02%. The firm had revenue of $937.10 million during the quarter, compared to analysts’ expectations of $936.47 million. During the same period in the prior year, the company earned $0.10 earnings per share. The company’s quarterly revenue was down 2.5% on a year-over-year basis.

Analyst Ratings Changes

Several equities analysts have commented on the company. UBS Group increased their target price on Hanesbrands from $5.00 to $6.50 and gave the company a “neutral” rating in a research report on Tuesday, August 27th. Barclays raised their price objective on shares of Hanesbrands from $5.00 to $6.00 and gave the company an “equal weight” rating in a report on Monday, August 12th. Finally, Stifel Nicolaus boosted their target price on shares of Hanesbrands from $4.50 to $6.00 and gave the stock a “hold” rating in a report on Monday, August 12th. Six investment analysts have rated the stock with a hold rating, According to MarketBeat.com, the company currently has an average rating of “Hold” and a consensus target price of $5.80.

Institutional Investors Weigh In On Hanesbrands

Large investors have recently bought and sold shares of the stock. Loews Corp grew its stake in Hanesbrands by 108.7% in the second quarter. Loews Corp now owns 29,197,796 shares of the textile maker’s stock valued at $143,945,000 after acquiring an additional 15,206,007 shares during the period. Vanguard Group Inc. grew its position in Hanesbrands by 3.5% in the 1st quarter. Vanguard Group Inc. now owns 40,265,899 shares of the textile maker’s stock valued at $233,542,000 after purchasing an additional 1,362,140 shares during the period. Dimensional Fund Advisors LP increased its stake in Hanesbrands by 18.2% during the 2nd quarter. Dimensional Fund Advisors LP now owns 6,661,235 shares of the textile maker’s stock valued at $32,836,000 after purchasing an additional 1,024,308 shares in the last quarter. Squarepoint Ops LLC raised its holdings in Hanesbrands by 193.4% during the second quarter. Squarepoint Ops LLC now owns 834,104 shares of the textile maker’s stock worth $4,112,000 after buying an additional 549,855 shares during the last quarter. Finally, Susquehanna Fundamental Investments LLC bought a new position in shares of Hanesbrands in the first quarter valued at $3,065,000. 80.31% of the stock is currently owned by institutional investors and hedge funds.

Hanesbrands Stock Performance

The business’s 50 day simple moving average is $7.01 and its two-hundred day simple moving average is $5.86. The company has a quick ratio of 0.86, a current ratio of 1.46 and a debt-to-equity ratio of 50.06.

Hanesbrands Company Profile

Hanesbrands Inc, a consumer goods company, designs, manufactures, sources, and sells a range of range of innerwear apparels for men, women, and children in the Americas, Europe, the Asia pacific, and internationally. The company operates through three segments: Innerwear, Activewear, and International.