Stifel Nicolaus Maintains a Hold on Hanesbrands Inc. (HBI)

Hanesbrands Inc. (NYSE:HBI) is one of the best cheap stocks under $10 to buy now. Hanesbrands Inc. (NYSE:HBI) received a rating update from Stifel Nicolaus analyst Peter McGoldrick on November 7, who maintained a Hold rating on the stock with a $6 price target.

The rating followed Hanesbrands Inc.’s (NYSE:HBI) fiscal Q3 2025 earnings release on November 6. Steve Bratspies, CEO of Hanesbrands Inc. (NYSE:HBI), stated that the continued execution of the company’s cost-saving initiatives resulted in operating margin expansion and operating profit growth, which, in conjunction with lower interest expense, drove a 25% growth in adjusted EPS in the quarter.

However, US net sales in the quarter dropped 4.5% compared to the previous year due to unanticipated shifts in ordering patterns at one of Hanesbrands Inc.’s (NYSE:HBI) large retail partners, which had an effect on late-quarter replenishment orders. Despite the near-term sales challenge,  Hanesbrands Inc. (NYSE:HBI) experienced a sequential improvement in unit point-of-sale trends each month during the quarter as it delivered notable performance during the key back-to-school period.

In addition, operating margin of 22.2% rose 20 basis points over the prior year period, driven by reduced input costs and the benefits of productivity and cost savings initiatives.

Hanesbrands Inc. (NYSE:HBI) designs, sources, manufactures, and sells basic apparel, including T-shirts, underwear, shape wear, socks, and activewear. The company’s operations are divided into the US and International segments.

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Disclosure: None. This article is originally published at Insider Monkey.