Kontoor Brands, Inc. (NYSE:KTB) Plans Dividend Increase – $0.53 Per Share

Kontoor Brands, Inc. (NYSE:KTB) declared a quarterly dividend on Friday, October 24th. Stockholders of record on Monday, December 8th will be paid a dividend of 0.53 per share on Thursday, December 18th. This represents a c) dividend on an annualized basis and a dividend yield of 2.5%. The ex-dividend date is Monday, December 8th. This is a 1.9% increase from Kontoor Brands’s previous quarterly dividend of $0.52.

Kontoor Brands has a payout ratio of 37.3% indicating that its dividend is sufficiently covered by earnings. Equities research analysts expect Kontoor Brands to earn $5.28 per share next year, which means the company should continue to be able to cover its $2.08 annual dividend with an expected future payout ratio of 39.4%.

Kontoor Brands Stock Performance

Shares of KTB stock opened at $84.85 on Friday. The company has a market cap of $4.71 billion, a price-to-earnings ratio of 18.94, a price-to-earnings-growth ratio of 1.97 and a beta of 1.15. The stock has a 50 day simple moving average of $79.91 and a 200-day simple moving average of $70.14. Kontoor Brands has a 12-month low of $50.00 and a 12-month high of $96.80. The company has a current ratio of 2.18, a quick ratio of 0.95 and a debt-to-equity ratio of 2.74.

Kontoor Brands (NYSE:KTB) last issued its earnings results on Thursday, August 7th. The company reported $1.21 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.86 by $0.35. The business had revenue of $658.26 million during the quarter, compared to the consensus estimate of $632.97 million. Kontoor Brands had a return on equity of 68.76% and a net margin of 9.48%.The company’s revenue for the quarter was up 8.5% on a year-over-year basis. During the same period in the prior year, the business posted $0.98 EPS. Kontoor Brands has set its FY 2025 guidance at 5.450-5.450 EPS. Q3 2025 guidance at 1.350-1.350 EPS. On average, equities analysts forecast that Kontoor Brands will post 4.82 EPS for the current year.

Analyst Upgrades and Downgrades

Several equities analysts recently weighed in on KTB shares. Stifel Nicolaus raised their price objective on Kontoor Brands from $72.00 to $73.00 and gave the company a “hold” rating in a research note on Friday, August 8th. Baird R W raised Kontoor Brands to a “strong-buy” rating in a research note on Friday, October 17th. Wall Street Zen raised Kontoor Brands from a “hold” rating to a “strong-buy” rating in a research note on Saturday, August 9th. Robert W. Baird started coverage on Kontoor Brands in a research note on Friday, October 17th. They issued an “outperform” rating and a $105.00 price objective for the company. Finally, BTIG Research started coverage on Kontoor Brands in a research note on Tuesday, October 14th. They issued a “buy” rating and a $95.00 price objective for the company. One equities research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and two have issued a Hold rating to the company. According to data from MarketBeat.com, Kontoor Brands currently has an average rating of “Moderate Buy” and a consensus target price of $95.38.

About Kontoor Brands

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.