Clothing company Hanesbrands (NYSE: HBI) will be reporting results tomorrow before market open. Here’s what to expect.
Hanesbrands missed analysts’ revenue expectations by 1.2% last quarter, reporting revenues of $888.5 million, up 4.5% year on year. It was a slower quarter for the company, with EPS guidance for next quarter missing analysts’ expectations.
Is Hanesbrands a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Hanesbrands’s revenue to grow 1.6% year on year to $756.7 million, a reversal from the 12.3% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.02 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings.
Looking at Hanesbrands’s peers in the apparel and accessories segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Levi's delivered year-on-year revenue growth of 3.1%, missing analysts’ expectations by 0.8%, and ThredUp reported revenues up 10.5%, topping estimates by 4.4%. Levi's traded down 8.2% following the results while ThredUp was up 48.1%.
Read our full analysis of Levi’s results here and ThredUp’s results here.
There has been positive sentiment among investors in the apparel and accessories segment, with share prices up 12.7% on average over the last month. Hanesbrands is up 9.7% during the same time and is heading into earnings with an average analyst price target of $6.33 (compared to the current share price of $4.77).
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