Zacks Investment Research·Jun 25, 2026
New Strong Sell Stocks for June 25thIVR, KTB and MPTI have been added to the Zacks Rank #5 (Strong Sell) List on June 25th, 2026.
Kontoor Brands, Inc.(KTB)Earnings, Financials & Key Ratios
KTB•NYSE
$88.17
21.8× P/E·Price updated Jul 7, 2026
SectorConsumer CyclicalIndustryApparel ManufacturingSub-IndustryDenim, heritage and casualwear brands
AboutKontoor Brands, Inc., a lifestyle apparel company, designs, manufactures, procures, markets, and distributes denim, apparel, and accessories under the Wrangler, Lee, and Rock & Republic brands in the United States and internationally. It operates through two segments, Wrangler and Lee. The company sells its products primarily through mass merchants, specialty stores, mid-tier and traditional department stores, company-operated stores, and online. As of January 1, 2022, it operated 80 retail stores across the Americas, Europe, the Middle East, Africa, and the Asia-Pacific regions. The company was incorporated in 2018 and is headquartered in Greensboro, North Carolina.Show more
- Revenue$3.15B+21.0%
- EBITDA$494M+28.3%
- Net Income$227M-7.5%
- EPS (Diluted)4.05-7.1%
- Gross Margin46.7%+4.8%
- EBITDA Margin15.66%+6.1%
- Operating Margin14.14%+7.7%
- Net Margin7.21%-23.5%
- ROE47.14%-26.0%
KTB Price & Volume
Kontoor Brands, Inc. (KTB) stock price & volume — 10-year historical chart
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Margin Expansion Masks Volatile Wholesale Revenue Cycles
Investment Thesis • Updated 2026Q1
VerdictNeutral: While the forward P/E of 15.15 and a 2.5% dividend yield offer value
Growth:Mixed
Profitability:Moderate
Financial:Healthy
Cash Flow:Mixed
Primary Risk:Wholesale channel inventory volatility
Key Thesis Takeaways
- Kontoor Brands demonstrates significant gross margin expansion to 53.7% in 2026Q1, yet the company's reliance on wholesale replenishment cycles creates substantial top-line volatility, as evidenced by the recent 1.5% revenue contraction.
- While the firm maintains a disciplined capital expenditure profile with a CapEx/Revenue ratio consistently below 1.4%, investors should monitor the rising goodwill concentration of $459.2M and the potential for inventory-driven cash flow swings.
- The long-term outlook remains contingent on the company's ability to convert gross profit gains into sustained operating leverage while managing a debt-to-equity ratio of 2.06.
Verdict Logic
the volatility in cash conversion and the 2.06 debt-to-equity ratio warrant a cautious approach until top-line stability is proven.
KTB Growth Metrics
Kontoor Brands, Inc. (KTB) revenue, earnings & EPS growth — 3, 5 & 10-year CAGR
Revenue CAGR
10 Years-
5 Years8.5%
3 Years6.23%
TTM20.94%
Profit CAGR
10 Years-
5 Years27.34%
3 Years-2.51%
TTM20.87%
EPS CAGR
10 Years-
5 Years28.19%
3 Years-2.05%
TTM21.08%
Return on Capital
10 Years22.82%
5 Years27.84%
3 Years27.14%
Last Year27.48%
KTB Recent Earnings
Kontoor Brands, Inc. (KTB) EPS & revenue vs analyst estimates — last 4 quarters
●Beat EPS 9/12 qtrs (75%)●Beat Revenue 5/12 qtrs (42%)
Q2 2026Latest
May 7, 2026Metric
Actual
Est
EPS
$1.55+32.5%
$1.17
Rev
$613M-21.8%
$785M
Q2 2026
Mar 3, 2026Metric
Actual
Est
EPS
$1.73+4.8%
$1.65
Rev
$1.0B+4.3%
$976M
Q4 2025
Nov 3, 2025Metric
Actual
Est
EPS
$1.44+2.1%
$1.41
Rev
$853M-2.9%
$879M
Q3 2025
Aug 7, 2025Metric
Actual
Est
EPS
$1.21+40.7%
$0.86
Rev
$658M-23.3%
$858M
| Quarter | Date | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|---|
| Q2 2026Latest | May 7, 2026 | $1.55vs $1.17+32.5% | $613Mvs $785M-21.8% |
| Q2 2026 | Mar 3, 2026 | $1.73vs $1.65+4.8% | $1.0Bvs $976M+4.3% |
| Q4 2025 | Nov 3, 2025 | $1.44vs $1.41+2.1% | $853Mvs $879M-2.9% |
| Q3 2025 | Aug 7, 2025 | $1.21vs $0.86+40.7% | $658Mvs $858M-23.3% |
Based on last 12 quarters of dataView full earnings history →
Latest KTB News
Recent stock market news and headlines for Kontoor Brands, Inc. (KTB)
Peers Comparison
Key metrics vs top competitors for Kontoor Brands, Inc. (KTB)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $88.17 | $4.87B | 21.77 | 20.96% | 7.21% | 47.14% | 2.35% | |
| $6.47 | $2.29B | -7.11 | -3.63% | 9.59% | 73.92% | — | |
| $77.05 | $3.55B | 145.38 | 3.44% | 0.25% | 0.45% | — | |
| $395.31 | $24.11B | 26.16 | 14.63% | 11.6% | 34.77% | — | |
| $16.81 | $876.67M | 21.83 | 7.88% | 2.56% | 14.19% | — | |
| $3.31 | $59.28M | -10.68 | 0.62% | 0.4% | 1.56% | — |
Compare KTB vs Peers
Kontoor Brands, Inc. (KTB) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
KTB SEC Filings & Documents
Kontoor Brands, Inc. (KTB) SEC filings — annual & quarterly reports (10-K, 10-Q)
8-K Announcements
6Material company update
May 7, 2026·SEC
Material company update
Apr 24, 2026·SEC
Material company update
Mar 3, 2026·SEC
10-K Annual Reports
310-Q Quarterly Reports
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KTB Frequently Asked Questions
Kontoor Brands, Inc. (KTB) stock FAQ — growth, dividends, profitability & financials explained
Growth & Financials
What is Kontoor Brands, Inc.'s revenue?
Kontoor Brands, Inc. (KTB) reported $3.14B in revenue for fiscal year 2025. This represents a 11% increase from $2.83B in 2017.
How fast is Kontoor Brands, Inc. growing?
Kontoor Brands, Inc. (KTB) grew revenue by 21.0% over the past year. This is strong growth.
Is KTB profitable?
Yes, Kontoor Brands, Inc. (KTB) is profitable, generating $277.0M in net income for fiscal year 2025 (7.2% net margin).
Dividend & Returns
Does KTB pay dividends?
Yes, Kontoor Brands, Inc. (KTB) pays a dividend with a yield of 2.35%. This makes it attractive for income-focused investors.
What is KTB's return on equity?
Kontoor Brands, Inc. (KTB) has a return on equity (ROE) of 47.1%. This is excellent, indicating efficient use of shareholder capital.
What is Kontoor Brands, Inc.'s free cash flow?
Kontoor Brands, Inc. (KTB) generated $400.2M in free cash flow for fiscal year 2025. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.