Hanesbrands (HBI) saw a 32.8% increase in share prices after announcing a $2.2 billion merger with Gildan Activewear. Shareholders will receive 0.102 shares of Gildan Activewear and $0.80 in cash for each HBI share. The deal represents a 24% premium from the closing price on August 11.

The merger is subject to shareholder and regulatory approvals and is expected to close in late 2025 or early 2026. In the second quarter, Hanesbrands reported a net income of $81.6 million and a net sales increase of 1.8% to $991 million. Some suggest AI stocks offer higher returns with limited downside risk.

Read more at Yahoo Finance: Hanesbrands (HBI) Soars 32.8% on $2.2-Billion Merger with Gildan