Kontoor Brands, Inc. (NYSE:KTB) Receives Average Rating of "Moderate Buy" from Analysts

Key Points

• Analysts maintain a “Moderate Buy” consensus on Kontoor Brands, with seven buy ratings, one strong buy, three holds and one sell. The average 12-month price target is $95, while several analysts recently raised their targets.
• Kontoor reported quarterly EPS of $1.06, narrowly beating estimates, but revenue fell 11.2% year over year to $584.29 million. Shares opened at $65.30, well below the average analyst target, and the company projects fiscal 2026 EPS of $5.25–$5.35.
• The company pays a quarterly dividend of $0.53 per share, equivalent to a 3.2% yield. CEO Scott Baxter and EVP Thomas Doerr recently sold shares, while institutional investors own 93.06% of the stock.

Kontoor Brands, Inc. (NYSE:KTB - Get Free Report) has been assigned a consensus recommendation of "Moderate Buy" from the twelve brokerages that are covering the firm, MarketBeat.com reports. One investment analyst has rated the stock with a sell rating, three have assigned a hold rating, seven have assigned a buy rating and one has assigned a strong buy rating to the company. The average 1 year price target among brokerages that have updated their coverage on the stock in the last year is $95.00.

A number of equities research analysts have issued reports on KTB shares. JPMorgan Chase & Co. increased their price target on Kontoor Brands from $90.00 to $105.00 and gave the stock an "overweight" rating in a research note on Tuesday, August 4th. Zacks Research upgraded shares of Kontoor Brands from a "strong sell" rating to a "hold" rating in a research report on Thursday, July 9th. Wells Fargo & Company boosted their target price on shares of Kontoor Brands from $100.00 to $110.00 and gave the company an "overweight" rating in a research note on Wednesday, August 12th. UBS Group raised their target price on shares of Kontoor Brands from $131.00 to $136.00 and gave the stock a "buy" rating in a research report on Thursday, August 13th. Finally, Barclays boosted their price target on Kontoor Brands from $96.00 to $99.00 and gave the company an "overweight" rating in a report on Thursday, August 13th.

Insider Buying and Selling at Kontoor Brands

In other Kontoor Brands news, CEO Scott Baxter sold 184,403 shares of Kontoor Brands stock in a transaction dated Thursday, August 13th. The stock was sold at an average price of $83.40, for a total transaction of $15,379,210.20. Following the completion of the sale, the chief executive officer owned 261,786 shares of the company's stock, valued at approximately $21,832,952.40. The trade was a 41.33% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, EVP Thomas Doerr, Jr. sold 7,660 shares of Kontoor Brands stock in a transaction dated Thursday, August 13th. The stock was sold at an average price of $83.43, for a total value of $639,073.80. Following the sale, the executive vice president directly owned 25,063 shares of the company's stock, valued at $2,091,006.09. This trade represents a 23.41% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders own 1.80% of the company's stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. BlackRock Inc. purchased a new stake in shares of Kontoor Brands in the 2nd quarter valued at approximately $674,664,000. Geode Capital Management LLC boosted its stake in shares of Kontoor Brands by 1.0% in the fourth quarter. Geode Capital Management LLC now owns 1,419,700 shares of the company's stock valued at $86,741,000 after purchasing an additional 13,725 shares during the period. Dimensional Fund Advisors LP boosted its stake in shares of Kontoor Brands by 0.5% in the 1st quarter. Dimensional Fund Advisors LP now owns 1,268,336 shares of the company's stock valued at $89,132,000 after buying an additional 6,477 shares during the period. Jennison Associates LLC increased its position in shares of Kontoor Brands by 0.9% in the 1st quarter. Jennison Associates LLC now owns 1,225,371 shares of the company's stock valued at $86,131,000 after purchasing an additional 10,540 shares during the last quarter. Finally, Norges Bank acquired a new stake in Kontoor Brands in the fourth quarter valued at $36,185,000. Hedge funds and other institutional investors own 93.06% of the company's stock.

Kontoor Brands Stock Down 0.1%

Shares of Kontoor Brands stock opened at $65.30 on Monday. The company has a market cap of $3.57 billion, a price-to-earnings ratio of 13.63 and a beta of 0.87. The company's 50 day moving average is $76.80 and its 200 day moving average is $74.94. Kontoor Brands has a twelve month low of $56.19 and a twelve month high of $88.96. The company has a quick ratio of 0.99, a current ratio of 1.83 and a debt-to-equity ratio of 1.82.

Kontoor Brands (NYSE:KTB - Get Free Report) last announced its earnings results on Wednesday, August 12th. The company reported $1.06 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.05 by $0.01. Kontoor Brands had a return on equity of 59.71% and a net margin of 8.21%.The business had revenue of $584.29 million for the quarter, compared to analysts' expectations of $586.95 million. During the same period last year, the firm posted $1.33 earnings per share. The business's revenue for the quarter was down 11.2% on a year-over-year basis. Kontoor Brands has set its FY 2026 guidance at 5.250-5.350 EPS. Research analysts anticipate that Kontoor Brands will post 5.27 EPS for the current year.

Kontoor Brands Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, September 18th. Stockholders of record on Tuesday, September 8th were issued a dividend of $0.53 per share. This represents a $2.12 annualized dividend and a dividend yield of 3.2%. The ex-dividend date was Tuesday, September 8th. Kontoor Brands's dividend payout ratio is currently 44.26%.

Kontoor Brands Company Profile

Kontoor Brands, Inc NYSE: KTB is a global lifestyle apparel company that designs, manufactures, sources and markets branded clothing and accessories. The company is best known for its denim and casualwear businesses, serving consumers through wholesale distributors, department and specialty stores, company-operated retail locations and e-commerce channels.

Kontoor's principal brands include Wrangler, a heritage brand focused on denim, westernwear, workwear and casual apparel, and Lee, which offers denim and lifestyle clothing for men, women and children.

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