Hanes Brands stock slips on Q2 profit

Yahoo Finance's Brian Sozzi discusses how Hanes Brands stock is performing and the company's new 'retro rib' product line.

Video transcript

BRIAN SOZZI: All right, investors here are putting shares of Hanes Brands in a wedgie here this morning. Really, a bad quarter by Hanes Brands. Missed earnings expectations by $0.04. Took their guidance $0.40 below analysts' estimates on the low end. You're seeing the stock down about 4%. Brad, a couple of things that stood out to me. Our time is brief. First, Champion sales down 20% in the most recent quarter. Not good at all.

Second thing here, Walmart represents about 20% of Hanes Brands business. Walmart reports earnings next week. This poor quarter from Hanes Brands can mean a bad news or more bad news from Walmart, which just warned a couple of weeks ago. And last but not least-- maybe you can help me understand this one-- Hanes says they're launching a new product for men's and women's--

BRAD SMITH: Uh-oh.

BRIAN SOZZI: --including Hanes Total Support Pouch with X-Temp and Hanes Retro Rib. No clear what that-- no clue what that is. But to me, it sounds hilarious.

BRAD SMITH: Retro-- wait, hang on.

BRIAN SOZZI: Hanes Retro Rib.

BRAD SMITH: Brad was available for, but declined to comment.