HANESBRANDS INC (HBI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:HBI - US4103451021 - Common Stock
6.56 USD
0 (0%)
6.56 USD
0 (0%)
HBI gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 46 industry peers in the Textiles, Apparel & Luxury Goods industry. While HBI is still in line with the averages on profitability rating, there are concerns on its financial health. HBI is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year HBI was profitable.
HBI had a positive operating cash flow in the past year.
In the past 5 years HBI reported 4 times negative net income.
Of the past 5 years HBI 4 years had a positive operating cash flow.
1.2 Ratios
HBI's Return On Assets of 7.71% is amongst the best of the industry. HBI outperforms 84.78% of its industry peers.
HBI has a Return On Equity of 73.92%. This is amongst the best in the industry. HBI outperforms 100.00% of its industry peers.
The Return On Invested Capital of HBI (12.06%) is better than 76.09% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for HBI is below the industry average of 11.99%.
The 3 year average ROIC (9.25%) for HBI is below the current ROIC(12.06%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.71% | ||
| ROE | 73.92% | ||
| ROIC | 12.06% |
ROA(3y)-3.54%
ROA(5y)-2.1%
ROE(3y)-326.11%
ROE(5y)-195.33%
ROIC(3y)9.25%
ROIC(5y)10.86%
1.3 Margins
HBI's Profit Margin of 9.59% is amongst the best of the industry. HBI outperforms 89.13% of its industry peers.
HBI's Operating Margin of 13.46% is amongst the best of the industry. HBI outperforms 84.78% of its industry peers.
HBI's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 41.93%, HBI is not doing good in the industry: 63.04% of the companies in the same industry are doing better.
HBI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.46% | ||
| PM (TTM) | 9.59% | ||
| GM | 41.93% |
OM growth 3Y-4.92%
OM growth 5Y-3.59%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.86%
GM growth 5Y1.34%
2. Health
2.1 Basic Checks
HBI has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
HBI has more shares outstanding than it did 1 year ago.
HBI has less shares outstanding than it did 5 years ago.
HBI has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 1.89 indicates that HBI is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 1.89, HBI is doing worse than 80.43% of the companies in the same industry.
A Debt/Equity ratio of 4.94 is on the high side and indicates that HBI has dependencies on debt financing.
The Debt to Equity ratio of HBI (4.94) is worse than 89.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.94 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.89 |
ROIC/WACC1.12
WACC10.81%
2.3 Liquidity
A Current Ratio of 1.51 indicates that HBI should not have too much problems paying its short term obligations.
HBI has a Current ratio of 1.51. This is in the lower half of the industry: HBI underperforms 71.74% of its industry peers.
A Quick Ratio of 0.71 indicates that HBI may have some problems paying its short term obligations.
With a Quick ratio value of 0.71, HBI is not doing good in the industry: 82.61% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.51 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 103.23% over the past year.
HBI shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -23.96% yearly.
HBI shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -14.16%.
The Revenue for HBI have been decreasing by -11.40% on average. This is quite bad
EPS 1Y (TTM)103.23%
EPS 3Y-37.35%
EPS 5Y-23.96%
EPS Q2Q%0%
Revenue 1Y (TTM)-14.16%
Revenue growth 3Y-19.81%
Revenue growth 5Y-11.4%
Sales Q2Q%-4.85%
3.2 Future
Based on estimates for the next years, HBI will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.06% on average per year.
The Revenue is expected to grow by 0.83% on average over the next years.
EPS Next Y48.77%
EPS Next 2Y22.64%
EPS Next 3Y17.53%
EPS Next 5Y14.06%
Revenue Next Year-2.25%
Revenue Next 2Y-1.67%
Revenue Next 3Y-0.89%
Revenue Next 5Y0.83%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
HBI is valuated reasonably with a Price/Earnings ratio of 10.41.
Based on the Price/Earnings ratio, HBI is valued cheaply inside the industry as 80.43% of the companies are valued more expensively.
HBI is valuated cheaply when we compare the Price/Earnings ratio to 25.65, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 9.69, the valuation of HBI can be described as reasonable.
Based on the Price/Forward Earnings ratio, HBI is valued cheaply inside the industry as 80.43% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of HBI to the average of the S&P500 Index (34.45), we can say HBI is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.41 | ||
| Fwd PE | 9.69 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of HBI indicates a somewhat cheap valuation: HBI is cheaper than 65.22% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.71 |
4.3 Compensation for Growth
HBI's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
HBI has a very decent profitability rating, which may justify a higher PE ratio.
HBI's earnings are expected to grow with 17.53% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.21
PEG (5Y)N/A
EPS Next 2Y22.64%
EPS Next 3Y17.53%
5. Dividend
5.1 Amount
No dividends for HBI!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
6.56
0 (0%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners92.24%
Inst Owner Change-0.03%
Ins Owners1.11%
Ins Owner Change-0.09%
Market Cap2.32B
Revenue(TTM)3.44B
Net Income(TTM)330.01M
Analysts70
Price Target6.17 (-5.95%)
Short Float %8.38%
Short Ratio4.66
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)12.76%
Min EPS beat(2)-7.98%
Max EPS beat(2)33.5%
EPS beat(4)3
Avg EPS beat(4)65.2%
Min EPS beat(4)-7.98%
Max EPS beat(4)217.92%
EPS beat(8)6
Avg EPS beat(8)43.09%
EPS beat(12)8
Avg EPS beat(12)33.28%
EPS beat(16)10
Avg EPS beat(16)25.82%
Revenue beat(2)1
Avg Revenue beat(2)-0.13%
Min Revenue beat(2)-1.45%
Max Revenue beat(2)1.19%
Revenue beat(4)2
Avg Revenue beat(4)-1.91%
Min Revenue beat(4)-7.43%
Max Revenue beat(4)1.19%
Revenue beat(8)2
Avg Revenue beat(8)-6.58%
Revenue beat(12)3
Avg Revenue beat(12)-4.77%
Revenue beat(16)4
Avg Revenue beat(16)-4.44%
PT rev (1m)3.8%
PT rev (3m)3.8%
EPS NQ rev (1m)2.56%
EPS NQ rev (3m)2.56%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)1.33%
Revenue NQ rev (3m)1.32%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.41 | ||
| Fwd PE | 9.69 | ||
| P/S | 0.67 | ||
| P/FCF | N/A | ||
| P/OCF | 100.21 | ||
| P/B | 5.2 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.71 |
EPS(TTM)0.63
EY9.6%
EPS(NY)0.68
Fwd EY10.32%
FCF(TTM)-0.02
FCFYN/A
OCF(TTM)0.07
OCFY1%
SpS9.72
BVpS1.26
TBVpS-3.14
PEG (NY)0.21
PEG (5Y)N/A
Graham Number4.23
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.71% | ||
| ROE | 73.92% | ||
| ROCE | 15.27% | ||
| ROIC | 12.06% | ||
| ROICexc | 13% | ||
| ROICexgc | 29.09% | ||
| OM | 13.46% | ||
| PM (TTM) | 9.59% | ||
| GM | 41.93% | ||
| FCFM | N/A |
ROA(3y)-3.54%
ROA(5y)-2.1%
ROE(3y)-326.11%
ROE(5y)-195.33%
ROIC(3y)9.25%
ROIC(5y)10.86%
ROICexc(3y)9.89%
ROICexc(5y)12.07%
ROICexgc(3y)24.54%
ROICexgc(5y)28.18%
ROCE(3y)11.7%
ROCE(5y)13.75%
ROICexgc growth 3Y-1.22%
ROICexgc growth 5Y5.88%
ROICexc growth 3Y-7.77%
ROICexc growth 5Y0.09%
OM growth 3Y-4.92%
OM growth 5Y-3.59%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.86%
GM growth 5Y1.34%
F-Score7
Asset Turnover0.8
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.94 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.33 | ||
| Cap/Depr | 66.65% | ||
| Cap/Sales | 0.91% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 4.54% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.51 | ||
| Quick Ratio | 0.71 | ||
| Altman-Z | 1.89 |
F-Score7
WACC10.81%
ROIC/WACC1.12
Cap/Depr(3y)95.15%
Cap/Depr(5y)77.33%
Cap/Sales(3y)1.91%
Cap/Sales(5y)1.53%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)103.23%
EPS 3Y-37.35%
EPS 5Y-23.96%
EPS Q2Q%0%
EPS Next Y48.77%
EPS Next 2Y22.64%
EPS Next 3Y17.53%
EPS Next 5Y14.06%
Revenue 1Y (TTM)-14.16%
Revenue growth 3Y-19.81%
Revenue growth 5Y-11.4%
Sales Q2Q%-4.85%
Revenue Next Year-2.25%
Revenue Next 2Y-1.67%
Revenue Next 3Y-0.89%
Revenue Next 5Y0.83%
EBIT growth 1Y12.1%
EBIT growth 3Y-23.76%
EBIT growth 5Y-14.59%
EBIT Next Year31.24%
EBIT Next 3Y10.56%
EBIT Next 5Y8.7%
FCF growth 1Y-102.39%
FCF growth 3Y-25.8%
FCF growth 5Y-20.26%
OCF growth 1Y-94.49%
OCF growth 3Y-24.88%
OCF growth 5Y-19.94%
HANESBRANDS INC / HBI FAQ
What is the fundamental rating for HBI stock?
ChartMill assigns a fundamental rating of 4 / 10 to HBI.
Can you provide the valuation status for HANESBRANDS INC?
ChartMill assigns a valuation rating of 7 / 10 to HANESBRANDS INC (HBI). This can be considered as Undervalued.
How profitable is HANESBRANDS INC (HBI) stock?
HANESBRANDS INC (HBI) has a profitability rating of 6 / 10.
What is the earnings growth outlook for HANESBRANDS INC?
The Earnings per Share (EPS) of HANESBRANDS INC (HBI) is expected to grow by 48.77% in the next year.
Is the dividend of HANESBRANDS INC sustainable?
The dividend rating of HANESBRANDS INC (HBI) is 0 / 10 and the dividend payout ratio is 0%.