Kontoor Brands (NYSE:KTB) Stock Price Down 6.1% – Here’s Why

Kontoor Brands, Inc. (NYSE:KTB)’s share price fell 6.1% during mid-day trading on Tuesday . The company traded as low as $70.61 and last traded at $69.64. 81,137 shares traded hands during mid-day trading, a decline of 88% from the average session volume of 689,291 shares. The stock had previously closed at $74.17.

Analyst Upgrades and Downgrades

KTB has been the subject of several research analyst reports. BNP Paribas set a $50.00 price target on shares of Kontoor Brands in a research report on Tuesday. Baird R W raised shares of Kontoor Brands to a “strong-buy” rating in a research note on Friday, October 17th. Wall Street Zen lowered Kontoor Brands from a “strong-buy” rating to a “buy” rating in a research report on Saturday, November 8th. UBS Group lifted their target price on Kontoor Brands from $114.00 to $118.00 and gave the company a “buy” rating in a report on Tuesday, November 4th. Finally, Stifel Nicolaus boosted their price target on Kontoor Brands from $73.00 to $75.00 and gave the company a “hold” rating in a research report on Tuesday, November 4th. One investment analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $90.25.

Kontoor Brands Price Performance

The company has a debt-to-equity ratio of 2.53, a current ratio of 1.91 and a quick ratio of 0.82. The company has a market cap of $3.79 billion, a PE ratio of 13.03 and a beta of 1.18. The company has a 50-day moving average price of $76.70 and a two-hundred day moving average price of $72.66.

Kontoor Brands (NYSE:KTB) last released its quarterly earnings results on Monday, November 3rd. The company reported $1.44 EPS for the quarter, topping the consensus estimate of $1.35 by $0.09. Kontoor Brands had a return on equity of 63.21% and a net margin of 7.68%.The firm had revenue of $853.22 million for the quarter, compared to analyst estimates of $879.10 million. During the same period in the previous year, the company posted $1.37 EPS. Kontoor Brands’s revenue for the quarter was up 27.3% on a year-over-year basis. Kontoor Brands has set its FY 2025 guidance at 5.500-5.500 EPS and its Q4 2025 guidance at 1.640-1.640 EPS. Sell-side analysts expect that Kontoor Brands, Inc. will post 4.82 earnings per share for the current fiscal year.

Kontoor Brands Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, December 18th. Investors of record on Monday, December 8th will be paid a dividend of $0.53 per share. This is a positive change from Kontoor Brands’s previous quarterly dividend of $0.52. The ex-dividend date of this dividend is Monday, December 8th. This represents a $2.12 annualized dividend and a yield of 3.1%. Kontoor Brands’s payout ratio is presently 54.64%.

Institutional Trading of Kontoor Brands

Large investors have recently modified their holdings of the business. Allworth Financial LP increased its position in shares of Kontoor Brands by 2.5% during the third quarter. Allworth Financial LP now owns 8,553 shares of the company’s stock worth $682,000 after acquiring an additional 211 shares during the last quarter. CIBC Private Wealth Group LLC increased its holdings in Kontoor Brands by 158.8% during the 3rd quarter. CIBC Private Wealth Group LLC now owns 1,245 shares of the company’s stock worth $99,000 after purchasing an additional 764 shares during the last quarter. CIBC Bancorp USA Inc. purchased a new stake in Kontoor Brands during the 3rd quarter worth approximately $469,000. Danske Bank A S acquired a new position in shares of Kontoor Brands in the 3rd quarter valued at approximately $12,002,000. Finally, Advisory Services Network LLC purchased a new position in shares of Kontoor Brands during the 3rd quarter valued at approximately $338,000. 93.06% of the stock is currently owned by institutional investors and hedge funds.

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.