KTB

Cintas (CTAS) came out with quarterly earnings of $1.29 per share, beating the Zacks Consensus Estimate of $1.24 per share. This compares to earnings of $1.09 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +4.03%. A quarter ago, it was expected that this uniform rental company would post earnings of $1.23 per share when it actually produced earnings of $1.24, delivering a surprise of +0.81%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Cintas, which belongs to the Zacks Textile - Apparel industry, posted revenues of $2.91 billion for the quarter ended May 2026, surpassing the Zacks Consensus Estimate by 1.02%. This compares to year-ago revenues of $2.67 billion. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Cintas shares have lost about 2% since the beginning of the year versus the S&P 500's gain of 10.2%. While Cintas has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Cintas was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be inte...

Get insights on thousands of stocks from the global community of over 7 million individual investors at Simply Wall St. Kontoor Brands stock has delivered a strong 129.4% gain over the past three years, yet both the Discounted Cash Flow (DCF) intrinsic value estimate and earnings based multiples still point to the shares trading at a discount to what the fundamentals suggest. A 129.4% return over three years puts Kontoor Brands among the stronger performers in its sector. This naturally raises the question of how much upside may be left if the market has already repriced the story. Recent revenue momentum can support expectations for cash flow, but the recent miss against market expectations highlights that earnings delivery may remain a swing factor for how investors value the stock. Kontoor Brands screens as undervalued in 5 of 6 key valuation checks, so the broader toolkit currently leans toward the shares looking cheap rather than fully priced. The issue now is whether Kontoor Brands' current price already reflects this intrinsic value gap or if there is still a meaningful discount built into the stock. Kontoor Brands delivered 32.8% returns over the last year. See how this stacks up to the rest of the Luxury industry. The Discounted Cash Flow (DCF) model values Kontoor Brands by projecting the cash it could return to shareholders and discounting it back to today. On the latest figures, Kontoor Brands is generating about $392 million of free cash flow over the last twelve months, and the model assumes these cash flows continue to grow rather than shrink in the coming years. On that basis, the DCF points to an estimated intrinsic value of about $111 per share, which implies the stock is trading at roughly a 24.5% discount to this cash flow based estimate. The recent Q1 revenue miss, despite a strong year over year increase, helps explain why the share price may still sit below what the cash flows alone would support. Putting it together, the DCF work suggests Kontoor Brands stock currently appears undervalued relative to its projected cash generation. Our Discounted Cash Flow (DCF) analysis suggests Kontoor Brands is undervalued by 24.5%. Track this in your watchlist or portfolio, or discover 44 more high quality undervalued stocks. Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Kontoor Brands....

Wrapping up Q1 earnings, we look at the numbers and key takeaways for the consumer discretionary - apparel and accessories stocks, including Kontoor Brands (NYSE:KTB) and its peers. The Consumer Discretionary sector, by definition, is made up of companies selling non-essential goods and services. When economic conditions deteriorate or tastes shift, consumers can easily cut back or eliminate these purchases. For long-term investors with five-year holding periods, this creates a structural challenge: the sector is inherently hit-driven, with low switching costs and fickle customers. As a result, only a handful of companies can reliably grow demand and compound earnings over long periods, which is why our bar is high and High Quality ratings are rare. Apparel and accessories companies design, brand, and distribute clothing, handbags, jewelry, and related lifestyle products, often spanning multiple price tiers. Tailwinds include premiumization trends (consumers trading up for perceived quality), international expansion into emerging markets, and growing digital commerce penetration. However, these businesses face headwinds from highly cyclical demand, intense promotional environments, and counterfeit competition undermining brand equity. Tariff volatility and sourcing concentration in a handful of countries add risk. Additionally, rapidly changing fashion cycles and the rise of ultra-fast-fashion digital competitors compress product life cycles and make demand forecasting exceptionally difficult. The 15 consumer discretionary - apparel and accessories stocks we track reported a strong Q1. As a group, revenues beat analysts’ consensus estimates by 1.4% while next quarter’s revenue guidance was in line. In light of this news, share prices of the companies have held steady as they are up 3.4% on average since the latest earnings results. Founded in 2019 after separating from VF Corporation, Kontoor Brands (NYSE:KTB) is a clothing company known for its high-quality denim products. Kontoor Brands reported revenues of $613.3 million, up 45% year on year. This print fell short of analysts’ expectations by 21.3%. Overall, it was a slower quarter for the company with a significant miss of analysts’ EPS and EBITDA estimates. Kontoor Brands achieved the fastest revenue growth but had the weakest performance against analyst estimates in the group. Unsurprisingly, the stock...

Image source: The Motley Fool. Thursday, May 7, 2026 at 8:30 a.m. ET President and Chief Executive Officer — Scott Baxter Executive Vice President and Chief Financial Officer — Joseph Alkire Need a quote from a Motley Fool analyst? Email [email protected] Scott Baxter: Thanks, Mike, and thank you all for joining us. Today marks an important day for Kontoor. This morning, we announced we have made the decision to divest the Lee brand as part of our strong commitment to maximize value. This decision will allow us to sharpen our focus on the opportunities with the greatest potential to generate returns for our shareholders. We believe this will be a great outcome for Kontoor and the Lee business. Our discussion today will focus on 3 topics: First, our rationale to divest Lee and why now is the right time to do so. Next, we will discuss where we are in the competitive sale process and why we are confident this result will accelerate value creation. And finally, we will discuss highlights of our first quarter results and provide an update to our stronger 2026 outlook. Since becoming a public company, we have been laser-focused on maximizing shareholder value and have executed a purposeful playbook to drive consistent revenue and profit growth. We established a multi-brand operating platform, executed Project Genius to create investment capacity to fund growth, optimized our supply chain and transformed the portfolio through the acquisition of Helly Hansen. These initiatives have resulted in improving fundamentals, accelerating capital allocation optionality and strong shareholder returns. As a result, we have delivered over 100% combined TSR since becoming a public company. Two years ago, we recognized the need to capitalize on the opportunity to improve Lee's fundamentals. When we set out to turn the business around, we established a clear road map to do so. We focused on harmonizing talent, product, marketing and distribution to create better alignment with the brand's position as an authority in classic lifestyle denim. While it has not been linear, we are where we expected to be when we started this initiative as seen in Lee's improving fundamentals in 2025. So why choose to divest Lee now? Our decision to initiate a sales process of the Lee business reflects the significant opportunities we see in both Wrangler and Helly Hansen. Focus is a critical element of our...

Never miss an important update on your stock portfolio and cut through the noise. Over 7 million investors trust Simply Wall St to stay informed where it matters for FREE. The latest analyst update on Kontoor Brands keeps the model fair value steady at US$92.67, even as the underlying assumptions behind that price target shift. Recent research has highlighted a cluster of higher published targets, tying those figures to a stronger Q4 profit performance and a 2026 outlook that is shaping opinion on valuation, execution and growth potential. Read on to see how these moving pieces fit together and how you can track the story as it develops. Stay updated as the Fair Value for Kontoor Brands shifts by adding it to your watchlist or portfolio. Alternatively, explore our Community to discover new perspectives on Kontoor Brands. UBS lifted its price target to US$131 from US$118 after Q4 results, pointing to what it describes as strong fundamentals and resilient gross margin, which feeds into a constructive view on execution and earnings power. Goldman Sachs raised its target to US$95 from US$84 and cites confidence in what it calls a path to profitable growth, highlighting Wrangler momentum, contribution from Helly Hansen and margin support from cost savings efforts. Wells Fargo moved its target to US$100 from US$95, pointing to a profit beat in Q4 and a 2026 outlook that it argues supports a more optimistic stance on both valuation and the durability of the growth plan. Barclays increased its target to US$93 from US$74, calling the Q4 report strong, which supports the view that Kontoor Brands is executing well against current expectations. Stifel lifted its target to US$80 from US$75 after Q4, citing what it describes as tangible margin strength into 2026 and an improved capital structure as key supports for the investment case. Stifel keeps a Hold rating despite its higher target, which signals some caution on how much upside is already reflected in the current valuation and how execution risks could affect the growth outlook. Do your thoughts align with the Bull or Bear Analysts? Perhaps you think there's more to the story. Head to the Simply Wall St Community to discover more perspectives! We've flagged 3 risks for Kontoor Brands. See which could impact your investment. Kontoor Brands authorized a share repurchase program of up to US$750m. Management indicated t...

The stock was sluggish on the back of Kontoor Brands, Inc.'s (NYSE:KTB) recent earnings report. Along with the solid headline numbers, we think that investors have some reasons for optimism. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. For anyone who wants to understand Kontoor Brands' profit beyond the statutory numbers, it's important to note that during the last twelve months statutory profit was reduced by US$122m due to unusual items. It's never great to see unusual items costing the company profits, but on the upside, things might improve sooner rather than later. When we analysed the vast majority of listed companies worldwide, we found that significant unusual items are often not repeated. And, after all, that's exactly what the accounting terminology implies. Assuming those unusual expenses don't come up again, we'd therefore expect Kontoor Brands to produce a higher profit next year, all else being equal. That might leave you wondering what analysts are forecasting in terms of future profitability. Luckily, you can click here to see an interactive graph depicting future profitability, based on their estimates. Because unusual items detracted from Kontoor Brands' earnings over the last year, you could argue that we can expect an improved result in the current quarter. Because of this, we think Kontoor Brands' earnings potential is at least as good as it seems, and maybe even better! And on top of that, its earnings per share have grown at 21% per year over the last three years. The goal of this article has been to assess how well we can rely on the statutory earnings to reflect the company's potential, but there is plenty more to consider. With this in mind, we wouldn't consider investing in a stock unless we had a thorough understanding of the risks. You'd be interested to know, that we found 3 warning signs for Kontoor Brands and you'll want to know about these. Today we've zoomed in on a single data point to better understand the nature of Kontoor Brands' profit. But there are plenty of other ways to inform your opinion of a company. For example, many people consider a high return on equity as an indication of favorable business economics, while others like to 'follow the money' and search out stocks that insiders are buying. While it might take a little research on your beha...

The S&P 500 Index ($SPX) (SPY) on Monday closed up +0.19%, the Dow Jones Industrial Average ($DOWI) (DIA) closed up +0.19%, and the Nasdaq 100 Index ($IUXX) (QQQ) closed up +0.29%. June E-mini S&P futures (ESM26) rose +0.18%, and June E-mini Nasdaq futures (NQM26) rose +0.28%. Stock indexes settled higher on Monday, with the S&P 500 and Nasdaq 10 posting new all-time highs amid strong corporate earnings results and resurgent optimism around artificial intelligence. Strength in chipmakers and AI-infrastructure stocks led the broader market higher on Monday. Gains in stocks were limited on Monday amid rising oil prices and bond yields after the US and Iran failed to reach terms to end the war in the Middle East. Global bond yields rose on concern that the continued standoff will keep energy prices elevated and could force the world’s central banks to tighten monetary policy. The 10-year T-note yield rose +5 bp to 4.41%. Dear D-Wave Quantum Stock Fans, Mark Your Calendars for May 12 Berkshire Hathaway Just Upped Its Stake in Sumitomo Stock. Greg Abel Says It’s Holding for the Long Term. This Analyst Just Raised the Price Target on Coherent Stock by 50%. What to Know. Our exclusive Barchart Brief newsletter is your FREE midday guide to what's moving stocks, sectors, and investor sentiment - delivered right when you need the info most. Subscribe today! In the latest developments in the Middle East, President Trump and Iran rejected each other's latest peace proposals to end the 10-week conflict. Iran offered to transfer some of its stockpile of highly enriched uranium to a third country, but rejected the idea of dismantling its nuclear facilities. Iran also demanded a lifting of the US naval blockade and sanctions relief, while maintaining a degree of control over traffic through the Strait of Hormuz. Despite the ceasefire in place since last month, a drone strike over the weekend set a cargo vessel ablaze off Qatar in the Persian Gulf. Also, the United Arab Emirates and Kuwait both said they intercepted hostile drones. Monday’s US economic news was slightly weaker than expected after Apr existing home sales rose +0.2% m/m to 4.02 million, below expectations of 4.05 million. Chinese trade news was better than expected, a positive factor for global growth. China Apr exports rose +14.1% y/y, stronger than expectations of +8.4% y/y. Apr imports rose +25.3% y/y, stro...

Interested in Kontoor Brands, Inc.? Here are five stocks we like better. Kontoor Brands plans to sell its Lee brand, a major portfolio shift that will make Wrangler and Helly Hansen the company’s main growth focus. Management said the move should reduce complexity and allow more concentrated investment in higher-return opportunities. Wrangler and Helly Hansen posted solid growth in the first quarter, with Wrangler up 2% globally and Helly Hansen up 16% on a pro forma basis. Kontoor highlighted share gains for Wrangler and sees significant room to expand Helly Hansen in the U.S. Profitability and capital returns improved, as adjusted gross margin rose to 50.6% and adjusted EPS from continuing operations climbed 67% year over year. The board also approved a new $750 million share repurchase authorization while keeping debt reduction and free cash flow generation as priorities. 5 Mid-Caps to Buy Before the Next Broad Market Sell-Off Kontoor Brands (NYSE:KTB) said it plans to divest its Lee brand, marking a major portfolio shift as the company seeks to focus resources on Wrangler and Helly Hansen following its first-quarter 2026 results. President, CEO and Chairman Scott Baxter said the decision reflects Kontoor’s effort to “sharpen our focus on the opportunities with the greatest potential to generate returns for our shareholders.” He said Lee’s fundamentals improved in 2025 after a turnaround effort, but that the brand now sits outside the company’s long-term strategic focus on function- and activity-based brands. → Beyond NVIDIA: Picks-and-Shovels AI Plays with Strong Momentum Top Three Value Stocks for 2020 “We believe this will be a great outcome for Kontoor and the Lee business,” Baxter said. He added that Kontoor intends to support Lee through the sale process and thanked the Lee team for its work. CFO and Global Head of Operations Joe Alkire said Kontoor initiated a competitive process to divest Lee during the first quarter and has received “strong interest from multiple parties.” The company expects to enter into an agreement to sell the business later this year. Lee is now being reported as discontinued operations. → 3 Ways to Target the Resources Powering AI and Data Centers Alkire said the divestiture will reduce operational complexity and allow Kontoor to make more concentrated investments in Wrangler and Helly Hansen. He said the sale is expected t...

It's been a good week for Kontoor Brands, Inc. (NYSE:KTB) shareholders, because the company has just released its latest first-quarter results, and the shares gained 6.3% to US$73.65. Kontoor Brands' revenues suffered a catastrophic miss, falling 22% short of forecasts, at US$613m. Statutory earnings per share however performed much better, hitting US$1.65, 47% above forecast. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. Taking into account the latest results, the current consensus, from the eight analysts covering Kontoor Brands, is for revenues of US$2.81b in 2026. This implies a definite 16% reduction in Kontoor Brands' revenue over the past 12 months. Statutory earnings per share are predicted to increase 5.4% to US$5.31. In the lead-up to this report, the analysts had been modelling revenues of US$3.45b and earnings per share (EPS) of US$6.13 in 2026. Indeed, we can see that the analysts are a lot more bearish about Kontoor Brands' prospects following the latest results, administering a substantial drop in revenue estimates and slashing their EPS estimates to boot. View our latest analysis for Kontoor Brands Despite the cuts to forecast earnings, there was no real change to the US$92.67 price target, showing that the analysts don't think the changes have a meaningful impact on its intrinsic value. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. There are some variant perceptions on Kontoor Brands, with the most bullish analyst valuing it at US$131 and the most bearish at US$50.00 per share. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business. Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. These estimates imply that revenue is expected to slow, with a forecast an...

Kontoor Brands, Inc. KTB reported stronger first-quarter 2026 results, with revenues and adjusted earnings from continuing operations increasing sharply year over year. The company also updated its full-year outlook and announced plans to divest the Lee business. During the quarter, the company initiated a competitive process to divest the Lee business and indicated that multiple parties have expressed interest. Management expects to enter into a definitive agreement for the divestiture during 2026, resulting in the Lee business being reported under discontinued operations. The company also stated that the divestiture is expected to be immaterial to earnings per share over a 12-to-18-month period, as the earnings contribution from Lee is anticipated to be offset through capital deployment initiatives, restructuring actions and mitigation of overhead and other previously allocated expenses. Adjusted earnings per share from continuing operations totaled $1.06, up 71% from the 62 cents in the year-ago quarter. This includes a 26-cent contribution from Helly Hansen. Adjusted EPS also included 11 cents of overhead and other expenses that were previously allocated to the Lee business. Including the contribution from discontinued operations, adjusted earnings per share came in at $1.55. The Zacks Consensus Estimate for earnings is pegged at $1.17 per share. Kontoor Brands, Inc. price-consensus-eps-surprise-chart | Kontoor Brands, Inc. Quote Revenue from continuing operations increased 45% year over year to $613 million from $423 million, supported by contributions from the acquisition of Helly Hansen, which was completed during the second quarter of 2025. Including discontinued operations, revenues totaled $807.6 million. The Zack Consensus Estimate for revenues is pegged at $778 million. Wrangler brand global revenue increased 4% year over year (or 2% in constant currency) to $435.8 million, slightly missing the Zacks Consensus Estimate of $437 million. Wrangler U.S. revenue rose 1%, supported by a 6% increase in direct-to-consumer sales and a 1% increase in wholesale revenue. Wrangler international revenue increased 20%, driven by 38% growth in direct-to-consumer sales and a 17% increase in wholesale revenue compared with the prior-year period. Helly Hansen’s global revenue increased 16% year over year on a pro forma basis to $176 million. Growth was balanced acr...

Kontoor Brands (KTB) came out with quarterly earnings of $1.06 per share, missing the Zacks Consensus Estimate of $1.17 per share. This compares to earnings of $1.2 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -9.40%. A quarter ago, it was expected that this maker of Wrangler and Lee apparel would post earnings of $1.65 per share when it actually produced earnings of $1.73, delivering a surprise of +4.85%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Kontoor, which belongs to the Zacks Textile - Apparel industry, posted revenues of $613.32 million for the quarter ended March 2026, missing the Zacks Consensus Estimate by 21.15%. This compares to year-ago revenues of $622.9 million. The company has topped consensus revenue estimates two times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Kontoor shares have added about 22.7% since the beginning of the year versus the S&P 500's gain of 7.6%. While Kontoor has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Kontoor was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong B...

Kontoor Brands (KTB) reported fiscal Q1 adjusted earnings Thursday of $1.55 per diluted share, up fr