Is Hanesbrands a $20 Stock?
Shares of Hanesbrands (NYSE: HBI) have traded up sharply in the past week after several analysts upgraded their price targets for the stock. The biggest call was from an analyst with Raymond James, who upgraded the stock to a strong buy rating with a $20 price target, representing about 40% upside over the current level of $14 per share.
Before the COVID-19 pandemic, Hanesbrands was facing a difficult challenge to turn around its struggling innerwear business, which has experienced a decline in sales in recent years. But the Champion brand has more than doubled revenue over the last three years to $1.9 billion in 2019.
Besides that strong showing, Raymond James likes Hanesbrands' in-house global supply chain, its ability to ride the strong e-commerce growth at mass retailers during the pandemic, and the potential to gain market share.
Source Fool.com
