Hanesbrands Inc (HBI): Today's Featured Consumer Non-Durables Laggard

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model

Hanesbrands ( HBI) pushed the Consumer Non-Durables industry lower today making it today's featured Consumer Non-Durables laggard. The industry as a whole closed the day up 0.3%. By the end of trading, Hanesbrands fell $0.80 (-1.6%) to $49.06 on average volume. Throughout the day, 1,207,791 shares of Hanesbrands exchanged hands as compared to its average daily volume of 1,213,800 shares. The stock ranged in price between $48.35-$49.85 after having opened the day at $49.85 as compared to the previous trading day's close of $49.86. Other companies within the Consumer Non-Durables industry that declined today were: Joe's Jeans ( JOEZ), down 5.3%, Quiksilver ( ZQK), down 5.1%, Vera Bradley ( VRA), down 4.0% and Ever-Glory International Group ( EVK), down 3.3%.
  • EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass

Hanesbrands Inc., a consumer goods company, engages in designing, manufacturing, sourcing, and selling a range of basic apparel in the United States. Hanesbrands has a market cap of $4.9 billion and is part of the consumer goods sector. The company has a P/E ratio of 16.2, below the S&P 500 P/E ratio of 17.7. Shares are up 39.2% year to date as of the close of trading on Friday. Currently there are 8 analysts that rate Hanesbrands a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Hanesbrands as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, compelling growth in net income, notable return on equity, reasonable valuation levels and expanding profit margins. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.

On the positive front, RG Barry Corporation ( DFZ), down 5.6%, Female Health Company ( FHCO), down 4.3%, China Shengda Packaging Group ( CPGI), down 4.0% and Rogers Corporation ( ROG), down 3.7% , were all gainers within the consumer non-durables industry with Sealed Air Corporation ( SEE) being today's featured consumer non-durables industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the consumer non-durables industry could consider Consumer Staples Select Sector SPDR ( XLP) while those bearish on the consumer non-durables industry could consider ProShares Ultra Sht Consumer Goods ( SZK).

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.
null

If you liked this article you might like

Week Ahead: Apple Earnings, Jobs Report on the Docket in Busy Start to May

Hanesbrands Stock Rising on Preliminary First-Quarter Results

Hanesbrands Stock Rises