Viewing Opinion | StockChase
stockchase picture

Compiling comments that experts make about stocks while on public TV.

2017-05-19

Opinion for Hanesbrands (HBI-N)

Signal Price Bias Subject Owned
PAST TOP PICK $20.720 BULLISH US EQUITIES Yes

(A Top Pick Feb 9/17. Up 3%.) Pressure on retail has hurt them. In 2012, cotton prices spiked. The company had a tremendous amount of debt. Management was focused on using their cash to pay down debt. At the same time, they embarked on a strategy called “Innovate to Elevate” an innovative commoditized category to elevate margins. They did so by imprinting tags on undershirts, etc. rather than having labels. Because of that they’ve been able to charge higher prices to get better margins. At 9X earnings, this is a very, very cheap stock.

John Petrides
Managing Dir. & Portfolio Manager, Point View Wealth Management

No Comments.


You must be logged in to comment.