Kontoor Brands (NYSE:KTB) Hits New 52-Week High – What’s Next?

Kontoor Brands, Inc. (NYSE:KTB) shares hit a new 52-week high on Monday . The company traded as high as $87.42 and last traded at $86.91, with a volume of 560648 shares changing hands. The stock had previously closed at $85.00.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently issued reports on the company. JPMorgan Chase & Co. started coverage on Kontoor Brands in a research note on Monday, June 8th. They set an “overweight” rating and a $90.00 target price for the company. Barclays upped their price objective on Kontoor Brands from $93.00 to $96.00 and gave the stock an “overweight” rating in a report on Monday, May 11th. Wall Street Zen cut Kontoor Brands from a “strong-buy” rating to a “hold” rating in a research report on Saturday, May 9th. Zacks Research lowered shares of Kontoor Brands from a “hold” rating to a “strong sell” rating in a research report on Wednesday, June 10th. Finally, Weiss Ratings lowered shares of Kontoor Brands from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Monday, June 15th. One investment analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, three have issued a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, Kontoor Brands presently has a consensus rating of “Moderate Buy” and a consensus price target of $91.20.

Kontoor Brands Stock Performance

The stock’s 50-day moving average price is $73.79 and its 200-day moving average price is $68.96. The company has a debt-to-equity ratio of 1.83, a quick ratio of 1.10 and a current ratio of 1.87. The company has a market capitalization of $4.80 billion, a price-to-earnings ratio of 17.59 and a beta of 0.87.

Kontoor Brands (NYSE:KTB) last released its quarterly earnings results on Thursday, May 7th. The company reported $1.06 earnings per share for the quarter, missing analysts’ consensus estimates of $1.17 by ($0.11). The firm had revenue of $613.32 million during the quarter, compared to analyst estimates of $784.76 million. Kontoor Brands had a return on equity of 60.17% and a net margin of 8.30%.The business’s revenue was up 45.0% on a year-over-year basis. During the same quarter in the prior year, the company earned $1.20 EPS. Kontoor Brands has set its FY 2026 guidance at 6.600-6.700 EPS. As a group, equities research analysts expect that Kontoor Brands, Inc. will post 5.2 earnings per share for the current year.

Kontoor Brands Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Thursday, June 18th. Shareholders of record on Monday, June 8th were issued a $0.53 dividend. This represents a $2.12 annualized dividend and a dividend yield of 2.4%. The ex-dividend date of this dividend was Monday, June 8th. Kontoor Brands’s dividend payout ratio is 42.91%.

Insider Transactions at Kontoor Brands

In related news, EVP Jennifer H. Broyles sold 4,000 shares of the company’s stock in a transaction that occurred on Friday, June 12th. The stock was sold at an average price of $81.02, for a total value of $324,080.00. Following the sale, the executive vice president owned 40,261 shares of the company’s stock, valued at approximately $3,261,946.22. This represents a 9.04% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders own 1.80% of the company’s stock.

Institutional Trading of Kontoor Brands

Institutional investors and hedge funds have recently made changes to their positions in the stock. JPMorgan Chase & Co. boosted its stake in shares of Kontoor Brands by 15.8% during the fourth quarter. JPMorgan Chase & Co. now owns 3,019,204 shares of the company’s stock valued at $184,443,000 after acquiring an additional 413,005 shares during the last quarter. Geode Capital Management LLC raised its stake in Kontoor Brands by 1.0% in the 4th 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 last quarter. Morgan Stanley raised its stake in Kontoor Brands by 8.8% in the 4th quarter. Morgan Stanley now owns 1,283,592 shares of the company’s stock valued at $78,415,000 after purchasing an additional 104,296 shares during the last quarter. Capital World Investors lifted its holdings in Kontoor Brands by 8.5% in the 3rd quarter. Capital World Investors now owns 1,276,410 shares of the company’s stock valued at $101,819,000 after purchasing an additional 100,000 shares in the last quarter. Finally, Dimensional Fund Advisors LP lifted its holdings in 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 purchasing an additional 6,477 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.