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

Key Points

• Kontoor Brands, Inc. has received a consensus rating of "Moderate Buy" from six brokerages, with one hold and five buy recommendations, and an average 12-month target price of $89.67.
• The company's recent quarterly earnings report showed earnings per share (EPS) of $1.21, exceeding estimates by $0.35, with revenue growing by 8.5% year-over-year to $658.26 million.
• Kontoor Brands announced a quarterly dividend of $0.52 per share, reflecting an annualized dividend of $2.08 and a yield of 2.7%, with an ex-dividend date set for September 9th.

Kontoor Brands, Inc. (NYSE:KTB - Get Free Report) has been given an average recommendation of "Moderate Buy" by the six ratings firms that are covering the firm, MarketBeat.com reports. One equities research analyst has rated the stock with a hold recommendation and five have assigned a buy recommendation to the company. The average 12 month target price among brokers that have covered the stock in the last year is $89.6667.

KTB has been the subject of a number of research analyst reports. The Goldman Sachs Group set a $85.00 target price on Kontoor Brands and gave the company a "buy" rating in a research note on Tuesday, June 10th. Wall Street Zen upgraded Kontoor Brands from a "hold" rating to a "strong-buy" rating in a research note on Saturday, August 9th. Barclays restated an "overweight" rating and issued a $91.00 target price (up previously from $86.00) on shares of Kontoor Brands in a research note on Friday, August 8th. Wells Fargo & Company raised their target price on Kontoor Brands from $85.00 to $90.00 and gave the company an "overweight" rating in a research note on Wednesday, May 14th. Finally, Stifel Nicolaus lifted their price objective on Kontoor Brands from $72.00 to $73.00 and gave the company a "hold" rating in a research note on Friday, August 8th.

Kontoor Brands Trading Down 1.4%

NYSE KTB traded down $1.13 on Friday, hitting $76.84. The company's stock had a trading volume of 170,276 shares, compared to its average volume of 734,540. Kontoor Brands has a 52-week low of $50.00 and a 52-week high of $96.80. The company has a current ratio of 2.18, a quick ratio of 0.95 and a debt-to-equity ratio of 2.74. The company's 50-day simple moving average is $66.69 and its 200 day simple moving average is $66.56. The firm has a market cap of $4.27 billion, a P/E ratio of 17.16, a PEG ratio of 1.76 and a beta of 1.11.

Kontoor Brands (NYSE:KTB - Get Free Report) last released its quarterly earnings data on Thursday, August 7th. The company reported $1.21 earnings per share for the quarter, topping the consensus estimate of $0.86 by $0.35. Kontoor Brands had a return on equity of 68.76% and a net margin of 9.48%.The business had revenue of $658.26 million during the quarter, compared to analysts' expectations of $632.97 million. During the same quarter last year, the business posted $0.98 EPS. The business's revenue was up 8.5% on a year-over-year basis. Kontoor Brands has set its FY 2025 guidance at 5.450-5.450 EPS. Q3 2025 guidance at 1.350-1.350 EPS. Research analysts predict that Kontoor Brands will post 4.82 EPS for the current fiscal year.

Kontoor Brands Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, September 19th. Shareholders of record on Tuesday, September 9th will be paid a dividend of $0.52 per share. The ex-dividend date is Tuesday, September 9th. This represents a $2.08 dividend on an annualized basis and a yield of 2.7%. Kontoor Brands's payout ratio is presently 46.43%.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the stock. Orion Porfolio Solutions LLC bought a new stake in shares of Kontoor Brands in the 2nd quarter worth $297,000. Thrivent Financial for Lutherans increased its holdings in shares of Kontoor Brands by 0.9% in the 2nd quarter. Thrivent Financial for Lutherans now owns 36,769 shares of the company's stock worth $2,426,000 after purchasing an additional 317 shares in the last quarter. Public Sector Pension Investment Board increased its holdings in shares of Kontoor Brands by 6.5% in the 2nd quarter. Public Sector Pension Investment Board now owns 194,228 shares of the company's stock worth $12,813,000 after purchasing an additional 11,797 shares in the last quarter. CANADA LIFE ASSURANCE Co increased its holdings in shares of Kontoor Brands by 1.1% in the 2nd quarter. CANADA LIFE ASSURANCE Co now owns 60,503 shares of the company's stock worth $3,995,000 after purchasing an additional 685 shares in the last quarter. Finally, Tower Research Capital LLC TRC increased its holdings in shares of Kontoor Brands by 359.8% in the 2nd quarter. Tower Research Capital LLC TRC now owns 6,625 shares of the company's stock worth $437,000 after purchasing an additional 5,184 shares in the last quarter. Hedge funds and other institutional investors own 93.06% of the company's stock.

Kontoor Brands Company Profile

Kontoor Brands, Inc, a lifestyle apparel company, designs, produces, procures, markets, distributes, and licenses denim, apparel, footwear, and accessories, primarily under the Wrangler and Lee brands. The company operates through two segments: Wrangler and Lee. It licenses and sells apparel under the Rock & Republic brand name.