(KTB) Kontoor Brands - Overview
Sector: Consumer Cyclical | Industry: Apparel Manufacturing | Exchange: NYSE (USA) | Market Cap: 3.539m USD | Total Return: 1.9% in 12m
Avg Turnover: 51.3M
EPS Trend: 98.6%
Qual. Beats: 1
Rev. Trend: 72.0%
Qual. Beats: -1
Warnings
Choppy
Tailwinds
No distinct edge detected
Kontoor Brands, Inc. (KTB) is a global lifestyle apparel company formed in 2018 following a spin-off from VF Corporation. The company manages a portfolio centered on denim and casual wear, primarily through the Wrangler and Lee brands, with operations spanning the Americas, EMEA, and Asia-Pacific regions.
The business utilizes a multi-channel distribution strategy, selling through mass-market retailers, department stores, and direct-to-consumer digital platforms. Unlike many competitors who outsource all manufacturing, Kontoor maintains a hybrid supply chain model, combining internal manufacturing facilities with third-party sourcing to balance cost and production speed.
The apparel and luxury goods sector is currently navigating shifts in consumer discretionary spending and fluctuating raw material costs for cotton and synthetic fibers. Investors can gain deeper insights into these industry trends by reviewing the latest data on ValueRay. This Greensboro-based firm also expands its market reach by licensing secondary brands and providing specialized workwear for business-to-business segments.
- Expansion into high-growth outdoor and workwear categories drives incremental revenue
- Cotton price fluctuations and supply chain efficiency impact gross profit margins
- Consumer spending trends at major U.S. mass retailers dictate wholesale volume
- International market penetration in China and Europe fuels long-term growth potential
- Direct-to-consumer digital channel expansion improves overall operating margin profile
| Net Income: 277.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.15 > 0.02 and ΔFCF/TA -6.95 > 1.0 |
| NWC/Revenue: 16.62% < 20% (prev 26.80%; Δ -10.18% < -1%) |
| CFO/TA 0.16 > 3% & CFO 424.4m > Net Income 277.0m |
| Net Debt (1.37b) to EBITDA (460.6m): 2.97 < 3 |
| Current Ratio: 1.87 > 1.5 & < 3 |
| Outstanding Shares: last quarter (56.0m) vs 12m ago -0.11% < -2% |
| Gross Margin: 47.80% > 18% (prev 0.45%; Δ 4.73k% > 0.5%) |
| Asset Turnover: 145.3% > 50% (prev 155.1%; Δ -9.77% > 0%) |
| Interest Coverage Ratio: 5.98 > 6 (EBITDA TTM 460.6m / Interest Expense TTM 68.1m) |
| A: 0.20 (Total Current Assets 1.12b - Total Current Liabilities 601.0m) / Total Assets 2.65b |
| B: 0.10 (Retained Earnings 274.3m / Total Assets 2.65b) |
| C: 0.19 (EBIT TTM 407.1m / Avg Total Assets 2.16b) |
| D: 0.10 (Book Value of Equity 206.7m / Total Liabilities 2.03b) |
| Altman-Z'' = 3.00 = A |
| DSRI: 0.97 (Receivables 245.0m/208.3m, Revenue 3.14b/2.60b) |
| GMI: 0.94 (GM 47.80% / 45.09%) |
| AQI: 1.87 (AQ_t 0.49 / AQ_t-1 0.26) |
| SGI: 1.21 (Revenue 3.14b / 2.60b) |
| TATA: -0.06 (NI 277.0m - CFO 424.4m) / TA 2.65b) |
| Beneish M = -2.49 (Cap -4..+1) = BBB |
As of May 25, 2026, the stock is trading at USD 69.91 with a total of 423,784 shares traded.
Over the past week, the price has changed by +13.20%,
over one month by -3.85%,
over three months by +4.44% and
over the past year by +1.92%.
Kontoor Brands has received a consensus analysts rating of 3.80. Therefore, it is recommended to hold KTB.
- StrongBuy: 2
- Buy: 1
- Hold: 1
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 92.7 | 32.6% |
P/E Trailing = 12.9093
P/E Forward = 10.6838
P/S = 1.0587
P/B = 5.7186
Revenue TTM = 3.14b USD
EBIT TTM = 407.1m USD
EBITDA TTM = 460.6m USD
Long Term Debt = 1.13b USD (from longTermDebt, last fiscal year)
Short Term Debt = 42.9m USD (from shortTermDebt, last quarter)
Debt = 1.43b USD (from shortLongTermDebtTotal, last quarter) + Leases 150.5m
Net Debt = 1.37b USD (calculated: Debt 1.43b - CCE 56.4m)
Enterprise Value = 4.91b USD (3.54b + Debt 1.43b - CCE 56.4m)
Interest Coverage Ratio = 5.98 (Ebit TTM 407.1m / Interest Expense TTM 68.1m)
EV/FCF = 12.27x (Enterprise Value 4.91b / FCF TTM 400.2m)
FCF Yield = 8.15% (FCF TTM 400.2m / Enterprise Value 4.91b)
FCF Margin = 12.73% (FCF TTM 400.2m / Revenue TTM 3.14b)
Net Margin = 8.81% (Net Income TTM 277.0m / Revenue TTM 3.14b)
Gross Margin = 47.80% ((Revenue TTM 3.14b - Cost of Revenue TTM 1.64b) / Revenue TTM)
Gross Margin QoQ = 53.70% (prev 46.90%)
Tobins Q-Ratio = 1.85 (Enterprise Value 4.91b / Total Assets 2.65b)
Interest Expense / Debt = 4.78% (Interest Expense 68.1m / Debt 1.43b)
Taxrate = 22.74% (18.0m / 79.0m)
NOPAT = 314.6m (EBIT 407.1m * (1 - 22.74%))
Current Ratio = 1.87 (Total Current Assets 1.12b / Total Current Liabilities 601.0m)
Debt / Equity = 2.30 (Debt 1.43b / totalStockholderEquity, last quarter 618.9m)
Debt / EBITDA = 2.97 (Net Debt 1.37b / EBITDA 460.6m)
Debt / FCF = 3.42 (Net Debt 1.37b / FCF TTM 400.2m)
Total Stockholder Equity = 552.9m (last 4 quarters mean from totalStockholderEquity)
RoA = 12.81% (Net Income 277.0m / Total Assets 2.65b)
RoE = 50.10% (Net Income TTM 277.0m / Total Stockholder Equity 552.9m)
RoCE = 24.13% (EBIT 407.1m / Capital Employed (Equity 552.9m + L.T.Debt 1.13b))
RoIC = 15.45% (NOPAT 314.6m / Invested Capital 2.04b)
WACC = 8.56% (E(3.54b)/V(4.97b) * Re(10.52%) + D(1.43b)/V(4.97b) * Rd(4.78%) * (1-Tc(0.23)))
Discount Rate = 10.52% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -46.67 | Cagr: -0.77%
[DCF] Terminal Value 75.76% ; FCFF base≈387.9m ; Y1≈416.2m ; Y5≈503.4m
[DCF] Fair Price = 110.1 (EV 7.46b - Net Debt 1.37b = Equity 6.09b / Shares 55.3m; r=8.56% [WACC]; 5y FCF grow 8.28% → 2.50% )
EPS Correlation: 98.57 | EPS CAGR: 17.66% | SUE: 1.63 | # QB: 1
Revenue Correlation: 72.05 | Revenue CAGR: 6.18% | SUE: -4.0 | # QB: -1
EPS current Quarter (2026-06-30): EPS=1.10 | Chg30d=-6.78% | Revisions=-40% | Analysts=9
EPS next Quarter (2026-09-30): EPS=1.35 | Chg30d=-29.19% | Revisions=-40% | Analysts=9
EPS current Year (2026-12-31): EPS=5.37 | Chg30d=-17.11% | Revisions=-45% | GrowthEPS=-3.9% | GrowthRev=-10.9%
EPS next Year (2027-12-31): EPS=6.51 | Chg30d=-7.09% | Revisions=-50% | GrowthEPS=+21.3% | GrowthRev=+4.2%
[Analyst] Revisions Ratio: -50%