Exploring Hanesbrands Inc. (HBI) Investor Profile: Who’s Buying and Why?

Ever wondered who's investing in Hanesbrands Inc. (HBI) and why? Are institutional investors calling the shots, or is it a mix of retail and major players? As of December 31, 2024, a staggering 97.85% of shares were held by institutions, with 529 institutions holding shares. With strategic shifts like the sale of the Global Champion business in June 2024 and a focus on debt reduction where the company generated $264 million in operating cash flow and paid down more than $1 billion in debt by the end of 2024, are these moves attracting new investors or solidifying existing positions? Let's delve into the investor profile of HBI and uncover the motivations behind their investment decisions.

Hanesbrands Inc. (HBI) Who Invests in [Company Name] and Why?

Understanding the investor profile of Hanesbrands Inc. (HBI) provides valuable insights into the market's perception of the company, its growth prospects, and overall financial health. A variety of investors, each with their own motivations and strategies, hold HBI stock.

Key Investor Types:

Hanesbrands' investor base can be broadly categorized into institutional investors and retail investors:

• Institutional Investors: These entities hold a significant portion of HBI's shares. As of April 2025, institutional investors held approximately 84.7% of Hanesbrands Inc. shares. These investors include:
  • Mutual Funds: These funds pool money from multiple investors to invest in a diversified portfolio of stocks, bonds, and other assets.
  • Hedge Funds: These are investment partnerships that use more aggressive strategies, such as short-selling and leverage, to generate higher returns. As of April 2025, hedge fund ownership stood at 12.4%.
  • Pension Funds: These funds invest on behalf of retired employees, with a long-term investment horizon.
  • Insurance Companies: These companies invest to cover future claims and liabilities.
  • Exchange-Traded Funds (ETFs): ETFs like the iShares Core S&P Small-Cap ETF (IJR) include Hanesbrands as part of their investment strategy to mirror specific market indices.
• Retail Investors: These are individual investors who buy and sell securities for their own accounts. Retail investors hold approximately 15.3% of Hanesbrands Inc. shares.

According to the data, 687 institutional owners and shareholders have filed 13D/G or 13F forms with the Securities Exchange Commission (SEC), holding a total of 429,023,962 shares. Major shareholders include BlackRock, Inc., Vanguard Group Inc, IJR - iShares Core S&P Small-Cap ETF, Loews Corp, Pacer Advisors, Inc., CALF - Pacer US Small Cap Cash Cows 100 ETF, Cooke & Bieler Lp, State Street Corp, Fuller & Thaler Asset Management, Inc., and UBVLX - Undiscovered Managers Behavioral Value Fund Class L.

Investment Motivations:

Several factors attract investors to Hanesbrands Inc., influencing their investment decisions:

• Value Focus: As of April 3, 2025, HBI was trading at 34.6% below its 52-week high of $9.1 touched on November 26, 2024, making it attractive to value-focused investors.
• Cost-Saving Initiatives: Hanesbrands' focus on operational efficiency and financial stability through cost-saving measures appeals to investors seeking long-term growth.
• Debt Reduction: The company's commitment to reducing debt, demonstrated by paying down more than $1 billion in debt by the end of the fourth quarter of 2024, enhances its financial resilience.
• Strategic Divestiture: The sale of the Global Champion business in June 2024, generating $264 million in operating cash flow by Q4 2024, allows HBI to streamline operations and optimize its supply chain. The proceeds, which could eventually exceed $1 billion after taxes and other costs, have allowed for faster debt reduction, thereby improving Hanesbrands' liquidity and lower risk.
• Global Market Position: Hanesbrands' strong global presence and market leadership in basic innerwear, particularly with brands like Hanes and Bonds, provide a competitive edge.
• Earnings Growth Potential: Hanesbrands' earnings per share (EPS) projections indicate a potential for significant growth in the coming years. Analysts forecast an EPS compound annual growth rate (CAGR) of approximately 24% post-fiscal year 2024. For fiscal year 2025, analysts estimate an EPS of $0.55.
• Dividend Payments: Hanesbrands issued quarterly dividends from 2013 through 2022 but elected to eliminate its dividend payments in early 2023 to focus on debt reduction. We anticipate the firm may resume paying dividends in 2027.
• Financial Health: Hanesbrands' debt is a concern, but much less so since the sale of Champion. By applying its free cash flow to debt reduction, the firm reduced its debt to $3.3 billion from $3.6 billion in the 12 months prior to the Champion sale. Then, in October 2024, it paid down an additional $870 million in debt after receiving the Champion proceeds. Consequently, it closed 2024 with $2.3 billion in total debt and about $200 million in cash. Hanesbrands is expected to refinance upcoming maturities in early 2025.

Investment Strategies:

Investors adopt various strategies when investing in Hanesbrands Inc., depending on their financial goals and risk tolerance:

• Long-Term Holding: Many institutional investors, such as mutual funds and pension funds, adopt a long-term holding strategy, focusing on the company's potential for sustained growth and market leadership.
• Value Investing: Value investors are attracted to Hanesbrands due to its current trading price being below its 52-week high, viewing it as a compelling opportunity.
• Short-Term Trading: Hedge funds and other active traders may engage in short-term trading strategies to capitalize on price fluctuations and market volatility.
• Dividend Capture Strategy: Investors may try to capture dividend payouts by purchasing shares before the ex-dividend date and selling them after the price recovers, although Hanesbrands has suspended dividend payments to focus on debt reduction.

Here's a look at the recent shifts in Hanesbrands's ownership structure:

Hanesbrands' initiatives to strengthen its financial position, reduce debt, and streamline operations, coupled with its global market presence, support long-term growth and make it an appealing investment.

See Mission Statement, Vision, & Core Values of Hanesbrands Inc. (HBI).

Hanesbrands Inc. (HBI) Institutional Ownership and Major Shareholders of Hanesbrands Inc. (HBI)

Institutional ownership in Hanesbrands Inc. (HBI) reflects the proportion of the company's stock held by major financial institutions. These institutions, which include mutual funds, pension funds, hedge funds, and insurance companies, often manage substantial assets and can significantly influence a company's stock price and strategic direction.

As of December 31, 2024, data regarding Hanesbrands Inc.'s (HBI) institutional ownership reveals key players and their stakes in the company. Here’s an overview:

• Vanguard Group Inc.: Holds approximately 11.6 million shares, representing about 3.29% of the company.
• BlackRock Fund Advisors: Owns around 8.9 million shares, which is approximately 2.53%.
• Dimensional Fund Advisors LP: Has about 6.3 million shares, accounting for roughly 1.79%.
• State Street Global Advisors: Holds approximately 4.8 million shares, representing about 1.36% of the company.
• Geode Capital Management LLC: Owns around 3.4 million shares, which is approximately 0.97%.

These top institutional investors collectively hold a significant percentage of Hanesbrands Inc. (HBI), indicating strong institutional interest in the company. Their investment decisions and trading activities can impact the stock's volatility and overall market sentiment.

Recent changes in institutional ownership can provide insights into the confidence and strategies of major investors. Monitoring these shifts can reveal whether institutions are increasing their positions (bullish sentiment) or decreasing them (bearish sentiment). Significant changes often correlate with company performance, industry trends, and broader economic conditions.

Institutional investors play a crucial role in Hanesbrands Inc. (HBI) stock performance. Their large trading volumes can drive price movements, and their voting power can influence corporate governance decisions. Additionally, their research and analysis contribute to market efficiency by disseminating information to other investors.

Major institutional shareholders often engage with company management to discuss strategic initiatives, financial performance, and corporate governance matters. This engagement can lead to changes in company policies and strategies that align with shareholder interests, potentially enhancing long-term value.

Understanding the dynamics of institutional ownership is essential for investors seeking to make informed decisions about Hanesbrands Inc. (HBI). Tracking the holdings and activities of these major players can provide valuable insights into the company's prospects and potential risks.

Here is a summary of the institutional investors of Hanesbrands Inc. (HBI):

To gain further insights into the financial health of Hanesbrands Inc. (HBI), consider exploring this resource: Breaking Down Hanesbrands Inc. (HBI) Financial Health: Key Insights for Investors

Hanesbrands Inc. (HBI) Key Investors and Their Impact on Hanesbrands Inc. (HBI)

Understanding the investor profile of Hanesbrands Inc. (HBI) provides valuable insights into the company's stability, strategic direction, and potential for growth. Examining the key investors, their recent activities, and their influence can offer a clearer picture of the market's sentiment towards Hanesbrands Inc. (HBI). This analysis is crucial for both current and prospective investors looking to make informed decisions.

Institutional investors form a significant portion of Hanesbrands Inc. (HBI)'s shareholder base. These entities, which include mutual funds, pension funds, and hedge funds, often hold large blocks of shares and can exert considerable influence on company policy and stock performance. Recent filings and reports can reveal which institutions have been increasing or decreasing their positions in Hanesbrands Inc. (HBI), providing clues about their long-term confidence in the company. Keep in mind that data from 2024 fiscal year is used.

Notable institutional investors and their influence:

• Vanguard Group: As a major institutional holder, Vanguard's investment decisions are closely watched. Their approach typically focuses on long-term value, indicating a belief in Hanesbrands Inc. (HBI)'s sustained performance.
• BlackRock Fund Advisors: Another significant institutional investor, BlackRock's moves can reflect broader market trends and investor sentiment towards the apparel industry.
• Dimensional Fund Advisors LP: Known for its data-driven investment strategies, Dimensional Fund Advisors' stake in Hanesbrands Inc. (HBI) suggests a positive outlook based on quantitative analysis.

Hedge funds, while potentially holding smaller stakes than mutual funds, can have a more pronounced impact through activism. These funds often seek to influence company management and strategy to unlock shareholder value. Identifying any activist investors involved with Hanesbrands Inc. (HBI) is important, as their initiatives can lead to significant changes in the company's operations or financial structure. As of recent data, no significant activist involvement has been widely reported, but this landscape can change rapidly.

Recent moves by major investors, such as buying or selling large stakes, are critical indicators. For example, a substantial purchase by a well-regarded fund might signal confidence in Hanesbrands Inc. (HBI)'s future prospects, while a large sell-off could raise concerns. Monitoring these transactions through SEC filings (such as 13F filings) provides timely information on investor sentiment. For instance, if a major fund significantly increased its holdings in the last quarter of 2024, it could be a bullish sign.

Individual insiders, including executives and board members, also play a role in the investor profile. Their transactions, particularly open market purchases, can be interpreted as a strong signal of confidence in the company's prospects. Conversely, significant sales by insiders might raise questions, although they can be driven by personal financial planning needs.

Below is a table summarizing some of the top institutional holders of Hanesbrands Inc. (HBI), based on the latest available data:

Understanding the composition and activities of Hanesbrands Inc. (HBI)'s investor base is essential for assessing the company's market position and future trajectory. By tracking the moves of key institutional investors, monitoring insider transactions, and identifying any activist involvement, stakeholders can gain valuable insights into the factors shaping Hanesbrands Inc. (HBI)'s performance.

More information about Hanesbrands Inc. (HBI) can be found here: Hanesbrands Inc. (HBI): History, Ownership, Mission, How It Works & Makes Money

Hanesbrands Inc. (HBI) Market Impact and Investor Sentiment

Understanding investor sentiment and market reactions to Hanesbrands Inc. (HBI) provides critical insights into the company's financial health and future prospects. Major shareholders' attitudes, market responses to ownership changes, and analyst perspectives all play a significant role in shaping the company's trajectory.

As of December 31, 2024, the shares outstanding are 354,640,000. The number of HBI shares held by institutions is 327,280,000, representing 92.28% of the outstanding shares.

Here's a breakdown of significant institutional shareholders:

• The Vanguard Group, Inc. holds 42,990,000 shares.
• BlackRock Fund Advisors holds 39,130,000 shares.
• Capital Research & Management Co. holds 28,230,000 shares.
• Dimensional Fund Advisors LP holds 25,560,000 shares.
• State Street Global Advisors, Inc. holds 17,970,000 shares.
• Bank of New York Mellon Corp. holds 7,500,000 shares.
• Geode Capital Management LLC holds 6,900,000 shares.
• Citadel Advisors LLC holds 6,740,000 shares.
• Northern Trust Corp holds 6,570,000 shares.
• Invesco Capital Management LLC holds 6,310,000 shares.

These institutional holdings indicate strong interest from major investment firms. Their sentiment can significantly influence market perception.

Recent market reactions to Hanesbrands Inc. (HBI) stock have been influenced by various factors, including overall market trends, company-specific news, and broader economic conditions. Monitoring these reactions helps in understanding the stock's volatility and investor confidence.

Analyst perspectives on Hanesbrands Inc. (HBI) often vary, reflecting different interpretations of the company's performance and future potential. These insights are crucial for investors looking to make informed decisions.

Here's a table summarizing key analyst ratings and price targets:

These ratings and price targets provide a snapshot of how different analysts view Hanesbrands Inc. (HBI)'s potential, based on their financial analysis and market forecasts.

To gain further insight into the strategic direction of Hanesbrands Inc. (HBI), explore: Mission Statement, Vision, & Core Values of Hanesbrands Inc. (HBI).