Kontoor Brands (NYSE:KTB) Hits New 12-Month High After Earnings Beat

Kontoor Brands, Inc. (NYSE:KTB) shares reached a new 52-week high on Thursday following a stronger than expected earnings report. The company traded as high as $84.88 and last traded at $83.73, with a volume of 6336 shares traded. The stock had previously closed at $76.56.

The company reported $1.37 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.25 by $0.12. The business had revenue of $670.19 million during the quarter, compared to the consensus estimate of $663.45 million. Kontoor Brands had a return on equity of 72.43% and a net margin of 9.35%. The company’s revenue for the quarter was up 2.4% on a year-over-year basis. During the same period last year, the company earned $1.22 EPS.

Kontoor Brands Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, December 19th. Stockholders of record on Monday, December 9th will be paid a $0.52 dividend. This is a boost from Kontoor Brands’s previous quarterly dividend of $0.50. The ex-dividend date is Monday, December 9th. This represents a $2.08 annualized dividend and a dividend yield of 2.55%. Kontoor Brands’s dividend payout ratio is 46.85%.

Wall Street Analysts Forecast Growth

A number of research analysts recently commented on the company. UBS Group upped their price objective on Kontoor Brands from $103.00 to $110.00 and gave the company a “buy” rating in a report on Friday. Stifel Nicolaus cut shares of Kontoor Brands from a “buy” rating to a “hold” rating and upped their target price for the company from $89.00 to $93.00 in a research report on Friday. Barclays upped their price target on Kontoor Brands from $83.00 to $100.00 and gave the stock an “overweight” rating in a research note on Friday. Wells Fargo & Company lifted their price objective on Kontoor Brands from $80.00 to $90.00 and gave the company an “overweight” rating in a research note on Wednesday, October 23rd. Finally, Guggenheim increased their target price on Kontoor Brands from $80.00 to $100.00 and gave the stock a “buy” rating in a research note on Friday. Two research analysts have rated the stock with a hold rating and five have issued a buy rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $95.00.

Institutional Trading of Kontoor Brands

A number of large investors have recently modified their holdings of KTB. Northwest Investment Counselors LLC purchased a new stake in shares of Kontoor Brands during the third quarter worth approximately $30,000. Farther Finance Advisors LLC raised its stake in Kontoor Brands by 242.5% in the third quarter. Farther Finance Advisors LLC now owns 387 shares of the company’s stock valued at $32,000 after buying an additional 274 shares in the last quarter. Quest Partners LLC acquired a new stake in Kontoor Brands in the second quarter valued at $27,000. Sound Income Strategies LLC purchased a new stake in Kontoor Brands during the 3rd quarter worth about $48,000. Finally, GAMMA Investing LLC boosted its position in shares of Kontoor Brands by 53.5% during the 3rd quarter. GAMMA Investing LLC now owns 700 shares of the company’s stock worth $57,000 after acquiring an additional 244 shares in the last quarter. Hedge funds and other institutional investors own 93.06% of the company’s stock.

Kontoor Brands Trading Down 4.6 %

The company has a current ratio of 2.74, a quick ratio of 1.43 and a debt-to-equity ratio of 2.04. The firm has a market cap of $4.55 billion, a PE ratio of 18.39, a P/E/G ratio of 1.99 and a beta of 1.20. The business has a fifty day moving average price of $77.81 and a 200 day moving average price of $71.34.

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.