Neo Ivy Initiates Hanesbrands Position with 627,000 Share Buy

What happened

Neo Ivy Capital Management disclosed a new holding in Hanesbrands (NYSE:HBI), acquiring 627,098 shares valued at $4.13 million as of Sept. 30, 2025. The transaction, detailed in a Nov. 12 Securities and Exchange Commission (SEC) filing, brings the position to 1% of the fund’s reported U.S. equity assets.

What else to know

• This is a new position representing about 1% of Neo Ivy's $410 million reportable assets under management after the September quarter.
• Top holdings after the filing include:
  • Nvidia (NASDAQ:NVDA): $5.02 million (1.2% of AUM)
  • Ford (NYSE:F): $5.00 million (1.2% of AUM)
  • Centene (NYSE:CNC): $4.99 million (1.2% of AUM)
  • Dayforce (NYSE:DAY): $4.80 million (1.2% of AUM)
  • Comcast (NASDAQ:CMCSA): $4.58 million (1.1% of AUM)
• As of Nov. 11, 2025, Hanesbrands shares were priced at $6.42, down 18.73% over the past year, underperforming the S&P 500 by 34 percentage points.

Company overview

Company snapshot

• Hanesbrands offers a diversified portfolio of basic apparel, including underwear, activewear, socks, intimate apparel, and licensed logo products under brands such as Hanes, Champion, Maidenform, and others.
• The company operates a vertically integrated business model, controlling design, manufacturing, sourcing, and sales across multiple channels, including retail, wholesale, and direct-to-consumer outlets.
• It serves mass-market consumers globally through major retailers, specialty stores, and its own network of retail and outlet locations, targeting men, women, and children.

Hanesbrands Inc. is a leading global apparel manufacturer and marketer with a broad brand portfolio and significant international reach. Its established presence in both developed and emerging markets, combined with a multi-channel distribution strategy, allows the company to sell its products worldwide.

Foolish take

Hanesbrands announced a merger agreement in August under which fellow apparel maker Gildan Activewear would acquire HanesBrands. Upon closing, HanesBrands shareholders will own about 20% of Gildan shares. The companies believe the combined entity will provide growth opportunities as well as synergies.

Neo Ivy may have initiated its position believing the combined companies will be in a better position to reward shareholders. Neo Ivy did not have a position in either company as of the end of Q2.

The investment management firm holds a diversified portfolio, with each of its top 10 holdings representing just about 1% of assets under management (AUM).

Hanesbrands has been struggling, but investors jumped into the stock in August following the merger announcement. Neo Ivy looks to be part of that investor group. The acquisition is expected to close later this year or in early 2026.

Glossary

Initiated a new position: When an investor buys a stock for the first time, establishing ownership in their portfolio.
13F assets under management (AUM): The total value of U.S. equity securities reported by an institutional investment manager in SEC Form 13F filings.
Post-trade holding: The number of shares or value of a security held by an investor after a transaction is completed.
Top holdings: The largest investments in a fund or portfolio, ranked by market value.
Vertically integrated business model: A company controls multiple stages of its supply chain, from production to sales.
Direct-to-consumer: Selling products directly to buyers, bypassing third-party retailers or wholesalers.
Mass-market consumers: A broad group of customers targeted by products designed for widespread appeal and affordability.
Multi-channel distribution strategy: Using several sales channels, such as retail stores, online, and wholesale, to reach customers.
Reportable assets under management: The portion of a fund’s total assets required to be disclosed in regulatory filings.
TTM: The 12-month period ending with the most recent quarterly report.

Howard Smith has positions in Nvidia and has the following options: short February 2026 $170 calls on Nvidia. The Motley Fool has positions in and recommends Nvidia. The Motley Fool recommends Comcast. The Motley Fool has a disclosure policy.