We assign a fundamental rating of 4 out of 10 to HBI. HBI was compared to 45 industry peers in the Textiles, Apparel & Luxury Goods industry. HBI has a medium profitability rating, but doesn't score so well on its financial health evaluation. A decent growth rate in combination with a cheap valuation! Better keep an eye on HBI.

Quickly go to:

1. Profitability

2. Health

3. Growth

4. Valuation

5. Dividend

1. Profitability

1.1 Basic Checks

In the past year HBI was profitable.
HBI had a positive operating cash flow in the past year.
HBI had negative earnings in 4 of the past 5 years.
HBI had a positive operating cash flow in 4 of the past 5 years.

1.2 Ratios

The Return On Assets of HBI (7.71%) is better than 84.78% of its industry peers.
The Return On Equity of HBI (73.92%) is better than 100.00% of its industry peers.
The Return On Invested Capital of HBI (12.06%) is better than 76.09% of its industry peers.
HBI had an Average Return On Invested Capital over the past 3 years of 9.25%. This is below the industry average of 11.59%.
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 has a better Profit Margin (9.59%) than 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.
HBI's Gross Margin of 41.93% is on the low side compared to the rest of the industry. HBI is outperformed by 63.04% of its industry peers.
In the last couple of years the Gross Margin of HBI has remained more or less at the same level.

		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%

More info and screens

ROA

ROE

ROIC

Operating and Profit Margin

Show most profitable peers

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.
Compared to 5 years ago, HBI has less shares outstanding
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.
HBI's Altman-Z score of 1.89 is on the low side compared to the rest of the industry. HBI is outperformed by 76.09% of its industry peers.
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/WACC1.11

WACC10.82%

2.3 Liquidity

HBI has a Current Ratio of 1.51. This is a normal value and indicates that HBI is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.51, HBI is not doing good in the industry: 73.91% of the companies in the same industry are doing better.
HBI has a Quick Ratio of 1.51. This is a bad value and indicates that HBI is not financially healthy enough and could expect problems in meeting its short term obligations.
HBI has a worse Quick ratio (0.71) than 84.78% of its industry peers.

		Industry Rank	Sector Rank
Current Ratio	1.51
Quick Ratio	0.71

More info and screens

WACC

Debt/Equity

How to determine the health of a company

Altman-Z score

Show peers with great health

3. Growth

3.1 Past

HBI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 103.23%, which is quite impressive.
Measured over the past years, HBI shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -23.96% on average per year.
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 13.79% on average per year.
HBI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.46% yearly.

EPS Next Y46.56%

EPS Next 2Y23.88%

EPS Next 3Y20.18%

EPS Next 5Y13.79%

Revenue Next Year-2.25%

Revenue Next 2Y-1.78%

Revenue Next 3Y-0.63%

Revenue Next 5Y0.46%

3.3 Evolution

The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.

More info and screens

Find the best growth stocks

Show best growing peers

4. Valuation

4.1 Price/Earnings Ratio

Based on the Price/Earnings ratio of 10.27, the valuation of HBI can be described as reasonable.
Based on the Price/Earnings ratio, HBI is valued cheaper than 80.43% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.25. HBI is valued rather cheaply when compared to this.
HBI is valuated reasonably with a Price/Forward Earnings ratio of 9.37.
Based on the Price/Forward Earnings ratio, HBI is valued cheaply inside the industry as 91.30% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 25.98. HBI is valued rather cheaply when compared to this.

		Industry Rank	Sector Rank
PE	10.27
Fwd PE	9.37

4.2 Price Multiples

69.57% of the companies in the same industry are more expensive than HBI, based on the Enterprise Value to EBITDA ratio.

		Industry Rank	Sector Rank
P/FCF	N/A
EV/EBITDA	8.65

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.
The decent profitability rating of HBI may justify a higher PE ratio.
HBI's earnings are expected to grow with 20.18% in the coming years. This may justify a more expensive valuation.