Hanesbrands: No Longer Standing Still After Q2 Earnings

Aug. 14, 2024 3:01 PM ETHanesbrands Inc. (HBI) StockHBI4 Comments
(9min)

Summary

  • Hanesbrands announced the sale of its Champion business earlier this summer for $1.2 billion, with a potential to increase to $1.5 billion.
  • The second quarter earnings report showed some stability, although GAAP metrics were impacted in a huge manner because of the Champion deal.
  • The pro forma business is expected to generate $3.6 billion in sales with potential earnings of around $0.65 per share, resulting in upside if the company can deliver.
  • Looking for a helping hand in the market? Members of Value In Corporate Events get exclusive ideas and guidance to navigate any climate. Learn More »

Young woman wearing white briefs and vest, hand on hip, mid section

James Darell/DigitalVision via Getty Images

When Hanesbrands (NYSE:HBI) announced the Champions deal in June, I wondered what would be in play for the company.

Shares got a boost on the back of the announcement, with investors liking the leverage reduction, yet

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