Hanesbrands: I'm Buying The Dip

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About: Hanesbrands Inc. (HBI), Includes: AMZN, TGT
by: Samuel Smith
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Samuel Smith
REITs, master limited partnerships, gold
Summary

Global direct, international, and Champion growth continued, driving overall revenue growth (including constant currency organic growth) during Q2.

Management reaffirmed full year guidance and long-term Champion growth guidance.

The market overreacted to Target failing to renew its C9 by Champion contract in 2020, making shares highly attractive.

At a time when massive distortions in the economy are likely leading to malinvestment, investing in a discounted, defensive consumer goods business with strong liquidity and a healthy dividend is prudent.

I am buying Hanesbrands (HBI) following the market sell-off of shares because the reaction to Target's (TGT) non-renewal of its C9 by Champion contract in 2020 is overblown and the business