Hanesbrands (HBI) Reports Earnings Tomorrow: What To Expect

Clothing company Hanesbrands (NYSE:HBI) will be reporting earnings this Thursday before the bell. Here’s what to look for.

Hanesbrands met analysts’ revenue expectations last quarter, reporting revenues of $760.1 million, up 2.1% year on year. It was a strong quarter for the company, with an impressive beat of analysts’ constant currency revenue and EPS estimates.

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 be flat year on year at $972.8 million, improving from the 3.9% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.18 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 Q2 results, giving us a hint as to what we can expect. Levi's delivered year-on-year revenue growth of 6.4%, beating analysts’ expectations by 5.8%, and ThredUp reported revenues up 16.4%, topping estimates by 4%. Levi's traded up 11.1% following the results while ThredUp was also up 5.4%.

Read our full analysis of Levi’s results here and ThredUp’s results here.

Investors in the apparel and accessories segment have had steady hands going into earnings, with share prices up 1.6% on average over the last month. Hanesbrands is down 8.7% during the same time and is heading into earnings with an average analyst price target of $6.54 (compared to the current share price of $4.21).

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