Kontoor Brands (NYSE:KTB) Downgraded by Zacks Research to Hold

Zacks Research cut shares of Kontoor Brands (NYSE:KTB) from a strong-buy rating to a hold rating in a research report report published on Monday morning,Zacks.com reports.

Other equities research analysts have also recently issued research reports about the stock. BTIG Research reissued a “buy” rating and set a $100.00 target price on shares of Kontoor Brands in a report on Friday, May 1st. UBS Group upped their price target on shares of Kontoor Brands from $118.00 to $131.00 and gave the stock a “buy” rating in a report on Wednesday, March 4th. Barclays upped their price target on shares of Kontoor Brands from $93.00 to $96.00 and gave the stock an “overweight” rating in a report on Monday. Wells Fargo & Company upped their price target on shares of Kontoor Brands from $95.00 to $100.00 and gave the stock an “overweight” rating in a report on Wednesday, March 4th. Finally, Jefferies Financial Group initiated coverage on shares of Kontoor Brands in a report on Wednesday, February 4th. They issued a “hold” rating and a $65.00 price target on the stock. One investment analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average target price of $91.33.

Kontoor Brands Price Performance

Kontoor Brands stock opened at $67.80 on Monday. Kontoor Brands has a 12 month low of $53.55 and a 12 month high of $87.00. The company has a current ratio of 1.87, a quick ratio of 1.10 and a debt-to-equity ratio of 1.83. The business’s 50 day simple moving average is $71.48 and its 200 day simple moving average is $68.97. The company has a market cap of $3.75 billion, a price-to-earnings ratio of 13.72 and a beta of 0.91.

Kontoor Brands (NYSE:KTB) last announced its quarterly earnings data on Thursday, May 7th. The company reported $1.06 earnings per share for the quarter, missing the consensus estimate of $1.17 by ($0.11). Kontoor Brands had a return on equity of 60.17% and a net margin of 8.30%.The firm had revenue of $613.32 million during the quarter, compared to analysts’ expectations of $784.76 million. During the same period last year, the business posted $1.20 EPS. The company’s revenue was up 45.0% compared to the same quarter last year. Kontoor Brands has set its FY 2026 guidance at 6.600-6.700 EPS. Sell-side analysts forecast that Kontoor Brands will post 5.2 EPS for the current year.

Kontoor Brands Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, June 18th. Investors of record on Monday, June 8th will be given a $0.53 dividend. The ex-dividend date is Monday, June 8th. This represents a $2.12 annualized dividend and a yield of 3.1%. Kontoor Brands’s payout ratio is 42.91%.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in KTB. Norges Bank purchased a new position in Kontoor Brands in the fourth quarter worth $36,185,000. Boston Partners purchased a new position in Kontoor Brands in the third quarter worth $44,733,000. JPMorgan Chase & Co. grew its position in Kontoor Brands by 15.8% in the fourth quarter. JPMorgan Chase & Co. now owns 3,019,204 shares of the company’s stock worth $184,443,000 after acquiring an additional 413,005 shares in the last quarter. Amundi purchased a new position in Kontoor Brands in the third quarter worth $24,653,000. Finally, Balyasny Asset Management L.P. grew its position in Kontoor Brands by 134.3% in the second quarter. Balyasny Asset Management L.P. now owns 468,630 shares of the company’s stock worth $30,916,000 after acquiring an additional 268,604 shares in the last quarter. 93.06% of the stock is currently owned by hedge funds and other institutional investors.

Kontoor Brands Company Profile

Kontoor Brands, Inc is a global apparel company best known for its Wrangler and Lee denim and lifestyle brands. Established as an independent, publicly traded company in May 2019 following a spin-off from VF Corporation, Kontoor leverages a legacy that dates back to 1889 with the founding of Lee and to 1947 with the introduction of the Wrangler brand. The company focuses on designing, manufacturing and distributing premium, casual and workwear apparel, including jeans, pants, shorts, shirts, jackets and complementary accessories.

Kontoor Brands operates a diversified sales model that combines wholesale partnerships with leading retailers, distribution through e-commerce channels and select direct-to-consumer formats.