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Are You Expecting This from Hanesbrands?

By Seth Jayson - Updated Apr 10, 2017 at 1:49PM

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Checking expectations

Hanesbrands (NYSE: HBI) is expected to report Q1 earnings on April 23. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Hanesbrands's revenues will decrease -6.3% and EPS will turn positive

The average estimate for revenue is $944.9 million. On the bottom line, the average EPS estimate is $0.50.

Revenue details
Last quarter, Hanesbrands booked revenue of $1.15 billion. GAAP reported sales were 4.8% higher than the prior-year quarter's $1.10 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, non-GAAP EPS came in at $1.07. GAAP EPS of $0.80 for Q4 were 95% higher than the prior-year quarter's $0.41 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 34.5%, 470 basis points better than the prior-year quarter. Operating margin was 13.3%, 690 basis points better than the prior-year quarter. Net margin was 7.0%, 330 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $4.58 billion. The average EPS estimate is $3.43.

Investor sentiment
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 190 members out of 230 rating the stock outperform, and 40 members rating it underperform. Among 70 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 59 give Hanesbrands a green thumbs-up, and 11 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Hanesbrands is buy, with an average price target of $40.45.

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Stocks Mentioned

Hanesbrands Inc. Stock Quote
Hanesbrands Inc.
HBI
$11.72 (0.82%) $0.10

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