Hanesbrands Inc (HBI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:HBI - US4103451021 - Common Stock
6.47 USD
-0.12 (-1.82%)
6.65 USD
+0.18 (+2.78%)
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. There are concerns on the financial health of HBI while its profitability can be described as average. 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.
- In the past year HBI had a positive cash flow from operations.
- In the past 5 years HBI reported 4 times negative net income.
- HBI had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- With an excellent Return On Assets value of 7.71%, HBI belongs to the best of the industry, outperforming 84.78% of the companies in the same industry.
- HBI has a better Return On Equity (73.92%) than 100.00% of its industry peers.
- HBI has a Return On Invested Capital of 12.06%. This is in the better half of the industry: HBI outperforms 76.09% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for HBI 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 Profit Margin of 9.59%. This is amongst the best in the industry. HBI outperforms 89.13% of its industry peers.
- Looking at the Operating Margin, with a value of 13.46%, HBI belongs to the top of the industry, outperforming 84.78% of the companies in the same industry.
- HBI's Operating Margin has declined in the last couple of years.
- HBI has a worse Gross Margin (41.93%) than 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%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so HBI is still creating some value.
- The number of shares outstanding for HBI has been increased compared to 1 year ago.
- Compared to 5 years ago, HBI has less shares outstanding
- The debt/assets ratio for HBI is higher compared to a year ago.
2.2 Solvency
- HBI has an Altman-Z score of 1.89. This is not the best score and indicates that HBI is in the grey zone with still 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.
- HBI has a Debt to Equity ratio of 4.94. This is amonst the worse of the industry: HBI underperforms 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
- A Current Ratio of 1.51 indicates that HBI should not have too much problems paying its short term obligations.
- Looking at the Current ratio, with a value of 1.51, HBI is doing worse than 73.91% of the companies in the same industry.
- A Quick Ratio of 0.71 indicates that HBI may have some problems paying its short term obligations.
- The Quick ratio of HBI (0.71) is worse than 84.78% of its industry peers.
| 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.
- The Revenue for HBI has decreased by -14.16% in the past year. This is quite bad
- Measured over the past years, HBI shows a very negative growth in Revenue. The Revenue has been decreasing by -11.40% on average per year.
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.
- Based on estimates for the next years, HBI will show a small growth in Revenue. The Revenue will grow by 0.46% on average per year.
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
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 10.27 indicates a reasonable valuation of HBI.
- Based on the Price/Earnings ratio, HBI is valued cheaper than 80.43% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.38, HBI is valued rather cheaply.
- Based on the Price/Forward Earnings ratio of 9.37, the valuation of HBI can be described as reasonable.
- HBI's Price/Forward Earnings ratio is rather cheap when compared to the industry. HBI is cheaper than 91.30% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 24.29. HBI is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.27 | ||
| Fwd PE | 9.37 |
4.2 Price Multiples
- HBI's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. HBI is cheaper than 69.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.65 |
4.3 Compensation for Growth
- The 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.
- A more expensive valuation may be justified as HBI's earnings are expected to grow with 20.18% in the coming years.
PEG (NY)0.22
PEG (5Y)N/A
EPS Next 2Y23.88%
EPS Next 3Y20.18%
5. Dividend
5.1 Amount
- HBI does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
6.47
-0.12 (-1.82%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)11-06 2025-11-06/bmo
Earnings (Next)02-11 2026-02-11/amc
Inst Owners88.94%
Inst Owner Change-0.21%
Ins Owners0.65%
Ins Owner Change-82.61%
Market Cap2.29B
Revenue(TTM)3.44B
Net Income(TTM)330.01M
Analysts71.11
Price Target5.88 (-9.12%)
Short Float %N/A
Short RatioN/A
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)-4.57%
PT rev (3m)-1.06%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.56%
EPS NY rev (1m)-1.48%
EPS NY rev (3m)-1.48%
Revenue NQ rev (1m)0.79%
Revenue NQ rev (3m)1.17%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.27 | ||
| Fwd PE | 9.37 | ||
| P/S | 0.67 | ||
| P/FCF | N/A | ||
| P/OCF | 98.84 | ||
| P/B | 5.13 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.65 |
EPS(TTM)0.63
EY9.74%
EPS(NY)0.69
Fwd EY10.67%
FCF(TTM)-0.02
FCFYN/A
OCF(TTM)0.07
OCFY1.01%
SpS9.72
BVpS1.26
TBVpS-3.14
PEG (NY)0.22
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
WACC10.82%
ROIC/WACC1.11
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 Y46.56%
EPS Next 2Y23.88%
EPS Next 3Y20.18%
EPS Next 5Y13.79%
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-1.78%
Revenue Next 3Y-0.63%
Revenue Next 5Y0.46%
EBIT growth 1Y12.1%
EBIT growth 3Y-23.76%
EBIT growth 5Y-14.59%
EBIT Next Year36.32%
EBIT Next 3Y12.11%
EBIT Next 5Y8.42%
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.
What is the valuation status for HBI stock?
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.
Can you provide the PE and PB ratios for HBI stock?
The Price/Earnings (PE) ratio for Hanesbrands Inc (HBI) is 10.27 and the Price/Book (PB) ratio is 5.13.
What is the expected EPS growth for Hanesbrands Inc (HBI) stock?
The Earnings per Share (EPS) of Hanesbrands Inc (HBI) is expected to grow by 46.56% in the next year.