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KTB, Kontoor Brands Inc. Common Stock

Kontoor Brands Inc. Common Stock is a global lifestyle apparel company, with a portfolio led by three of the world's most iconic consumer brands: Wrangler , Lee and Helly Hansen .

Kontoor Brands Inc. Common Stock designs, manufactures, procures, sells and licenses apparel, footwear and accessories, primarily under the brand names Wrangler , Lee and Helly Hansen .

Our products are sold through wholesale and direct-to-consumer channels in the United States ("U.S.") and internationally, primarily in the Europe, Middle East and Africa ("EMEA"), Asia-Pacific ("APAC") and Non-U.S.

Latest annual: FY2026 10-K

KTB · Kontoor Brands Inc. Common Stock

The business

What it sells, where the money comes from, the kind of company it is.

Revenue · FY2026

$3.2B

+20.9% YoY · 4% 5-yr CAGR

Vital signs · TTM, with 5-yr average

Revenue $3.3B 5-yr avg $2.6B

Gross margin 47% 5-yr avg 43%

Operating margin 11.8% 5-yr avg 11.1%

ROIC 18% 5-yr avg 25%

Owner-earnings margin 12% 5-yr avg 11%

Free cash flow margin 12% 5-yr avg 11%

The business in brief

read the 10-K →

What this business is and what moves its needle, from its own SEC filings.

What moves the needle: Gross margin has run about 41% and operating margin about 12% through the cycle, a solid spread between what it charges and what the product costs to make. Inventory runs near 18% of sales, so how fast it turns back into cash — and the risk of writing it down when demand softens — sits alongside the margin. On its own account, the filing leans hardest on customer concentration, set against the numbers in what the filing emphasizes, below.
Is it a good business?: Return on capital has run in the teens (median 16%, above 15% in 6 of 8 years). Owner earnings agree: roughly 12% of revenue reaches owners as cash, consistently. Returns like these are solid but short of clear franchise economics; whether they hold is what the 10-K settles, not the multiple.

Every line is arithmetic on the company's filings, shown in full in the sections below.

Where the money comes from

read the 10-K →

27% of revenue comes from outside the United States.

Revenue by geography, FY2026

United States73%$2.3B
International27%$865M

From the segment footnote of the company's own 10-K. Shares are of total revenue; the profit bar shows each segment's share of segment operating profit, before unallocated corporate costs.

The record

Ten years of arithmetic, read across the cycle.

The record, 2017–2026

realized figures from each filing · older years to the left

2017’17	2018’18	2019’19	2021’21	2022’22	2023’23	2024’24	2026’26	TTMTTMApr 2026
									Income statement
$2.8B	$2.8B	$2.5B	$2.1B	$2.6B	$2.6B	$2.6B	$3.2B	$3.3B	RevenueRevenue
41%	40%	39%	41%	43%	42%	45%	45%	47%	Gross marginGross mgn
29%	28%	32%	35%	30%	29%	31%	34%	35%	SG&A / revenueSG&A/rev
$357M	$333M	$168M	$124M	$357M	$319M	$342M	$337M	$396M	Operating incomeOp. inc.
12.6%	12.0%	6.6%	5.9%	13.6%	12.2%	13.1%	10.7%	11.8%	Operating marginOp. mgn
$116M	$263M	$97M	$68M	$245M	$231M	$246M	$227M	$277M	Net incomeNet inc.
—	23%	29%	7%	23%	15%	18%	24%	23%	Effective tax rateTax rate
									Cash flow & returns
$169M	($96M)	$778M	$242M	$84M	$357M	$368M	$456M	$424M	Operating cash flowOp. cash
$34M	$31M	$31M	$34M	$37M	$38M	$43M	$48M	$54M	DepreciationDeprec.
$6M	($405M)	$627M	$124M	($221M)	$71M	$53M	$141M	$62M	Working capital & otherWC & other
$26M	$21M	$23M	$18M	$18M	$27M	$19M	$21M	$25M	CapexCapex
0.9%	0.8%	0.9%	0.9%	0.7%	1.0%	0.7%	0.7%	0.7%	Capex / revenueCapex/rev
$143M	($117M)	$755M	$224M	$65M	$329M	$349M	$435M	$400M	Owner earningsOwner earn.
5.1%	−4.2%	29.6%	10.7%	2.5%	12.6%	13.4%	13.8%	12.0%	Owner earnings marginOE mgn
$143M	($117M)	$755M	$224M	$65M	$329M	$349M	$435M	$400M	Free cash flowFCF
5.1%	−4.2%	29.6%	10.7%	2.5%	12.6%	13.4%	13.8%	12.0%	Free cash flow marginFCF mgn
—	—	—	—	—	$0	$0	$901M	$901M	AcquisitionsAcquis.
$0	$0	$64M	$55M	$104M	$109M	$112M	$116M	$117M	Dividends paidDiv. paid
—	—	$0	$0	$62M	$30M	$86M	$25M	—	BuybacksBuybacks
14%	16%	14%	15%	28%	29%	35%	16%	18%	ROICROIC
9%	15%	140%	80%	98%	62%	61%	40%	45%	Return on equityROE
9%	15%	48%	16%	57%	33%	33%	20%	26%	Retained to equityRetained/eq
									Balance sheet
$81M	$97M	$107M	$248M	$59M	$215M	$334M	$108M	$56M	Cash & investmentsCash+inv
—	$253M	$228M	$231M	$226M	$218M	$244M	$276M	$245M	ReceivablesReceiv.
—	$474M	$458M	$341M	$597M	$500M	$390M	$567M	$464M	InventoryInvent.
—	$134M	$147M	$167M	$206M	$180M	$180M	$245M	$240M	Accounts payablePayables
—	$593M	$539M	$405M	$616M	$538M	$454M	$598M	$468M	Operating working capitalOper. WC
—	$1.9B	$878M	$902M	$982M	$1.0B	$1.1B	$1.1B	$1.1B	Current assetsCur. assets
—	$617M	$379M	$414M	$440M	$393M	$394M	$594M	$601M	Current liabilitiesCur. liab.
—	3.1×	2.3×	2.2×	2.2×	2.7×	2.7×	1.8×	1.9×	Current ratioCurr. ratio
$219M	$215M	$213M	$213M	$210M	$210M	$209M	$531M	$459M	GoodwillGoodwill
—	$2.5B	$1.5B	$1.5B	$1.6B	$1.6B	$1.7B	$2.6B	$2.7B	Total assetsAssets
—	$0	$923M	$913M	$793M	$784M	$740M	$1.1B	$1.1B	Total debtDebt
—	($97M)	$816M	$665M	$733M	$569M	$406M	$1.0B	$1.1B	Net debt / (cash)Net debt
283.0×	283.9×	4.7×	2.5×	9.2×	7.9×	8.4×	5.4×	5.8×	Interest coverageInt. cov.
$1.4B	$1.7B	$69M	$85M	$251M	$372M	$400M	$565M	$619M	Shareholders’ equityEquity
0.5%	0.5%	0.9%	0.8%	0.8%	0.6%	1.0%	1.2%	0.9%	Stock comp / revenueSBC/rev
									Per share
56.6M	56.6M	57.2M	57.9M	57.0M	56.9M	56.3M	56.1M	56.0M	Shares out (diluted)Shares
$49.96	$48.79	$44.55	$36.26	$46.20	$45.80	$46.30	$56.19	$59.70	Revenue / shareRev/sh
$2.05	$4.64	$1.69	$1.17	$4.31	$4.06	$4.36	$4.05	$4.95	EPS (diluted)EPS
$2.52	$-2.07	$13.20	$3.87	$1.14	$5.78	$6.20	$7.75	$7.14	Owner earnings / shareOE/sh
$2.52	$-2.07	$13.20	$3.87	$1.14	$5.78	$6.20	$7.75	$7.14	Free cash flow / shareFCF/sh
$0.00	$0.00	$1.11	$0.95	$1.82	$1.91	$1.99	$2.07	$2.08	Dividends / shareDiv/sh
$0.45	$0.37	$0.40	$0.31	$0.32	$0.48	$0.33	$0.38	$0.44	Cap. spending / shareCapex/sh
$23.97	$30.42	$1.21	$1.46	$4.40	$6.53	$7.10	$10.07	$11.05	Book value / shareBVPS

Per-share growththe realized rate an owner's share compounded

	9-yr	5-yr
Revenue / share	+1.3%/yr	+9.2%/yr
Owner earnings / share	+13.3%/yr	+14.9%/yr
EPS	+7.9%/yr	+28.1%/yr
Dividends / share	—	+16.9%/yr
Capital spending / share	−2.0%/yr	+3.6%/yr
Book value / share	−9.2%/yr	+47.1%/yr

The record, charted

FY2017–2026

Each measure over its full record; the current point and the worst year marked.

Share count

56Mpeak FY2021

ROIC

16%low FY2019

Gross margin

45%low FY2019

Net debt ÷ owner earnings

2.4×peak FY2022

Owner earnings vs. net income

Owner earningsNet income

The accountant's number, and the cash an owner can take; the gap is the tell.

$435Mowner earningsvs.$227Mnet incomelow FY2018

Where the cash went

ReinvestBuybacksDividendsAcquisitionsRetainedBeyond op. cash

Each year's outlays against its operating cash: the mix, and how it drifts. The hatched cap is spending beyond that year's operating cash — financed from the balance sheet or borrowing, not operations.

FY2017FY2026

Owner-earnings bridge

FY2021–FY2026cash-flow statement, SEC EDGAR →

Net income is the accountant's number; owner earnings is the cash an owner could take out. The walk between them, off the cash-flow statement, and whether the gap is widening or holding.

In fiscal 2026 the business turned $227M of profit into $435M of owner earnings: more cash than the profit line showed, after the non-cash charges and the capital it put back in.

Reported net income$227M

Owner earnings$435M · 14% of revenue

	FY2026	FY2024	FY2023	FY2022	FY2021
Reported net income	$227M	$246M	$231M	$245M	$68M
Depreciation & amortizationnon-cash charge added back	+$48M	+$43M	+$38M	+$37M	+$34M
Stock-based compensationreal costnon-cash, but a real cost	+$39M	+$27M	+$17M	+$22M	+$16M
Working capital & othertiming of cash in and out, other non-cash items	+$141M	+$53M	+$71M	−$221M	+$124M
Cash from operations	$456M	$368M	$357M	$84M	$242M
Capital expenditurecash put back in to keep running and to grow	−$21M	−$19M	−$27M	−$18M	−$18M
Owner earnings	$435M	$349M	$329M	$65M	$224M
Owner-earnings marginowner earnings ÷ revenue	14%	13%	13%	2%	11%

Owner earnings is the cash an owner could pull out without starving the business: operating cash less the capital it must spend to hold its position . The cash-flow statement also adds stock comp back as non-cash, but it is a real cost paid in shares; counted as the expense it is (less $39M), owner earnings is nearer $396M.

Maintenance capex is estimated as depreciation where a growing business invests above it; free cash flow is the figure the scorecard's free-cash margin reads.

III

Quality & stewardship

Returns, the balance sheet, capital allocation, and pay.

Owner’s Scorecard

FY2026 10-K · source on SEC EDGAR →

Will it survive?

Can it pay its interest? 5.4×

Comfortable

Operating income $337M ÷ interest expense $62M

What this means
Operating profit covers interest with the kind of margin Graham wanted for a defensive holding. Necessary, not sufficient, it says solvent, not cheap.
How heavy is the debt, net of cash? $1.0B · 3.1× operating profit

Meaningful net debt

Cash $108M − debt $1.1B

What this means
Netting $108M of cash and short-term investments against $1.1B of debt leaves $1.0B owed, about 3.1× a year's operating profit (3.4× on the gross debt, before the cash). Net debt is the leverage figure that matters: the cash is already set against the debt. Strategic or illiquid investments aren't counted here.
How long is cash tied up? 100d

Long (60+ days)

DSO 32 + DIO 120 − DPO 52 days

What this means
Days cash is tied up between paying suppliers and collecting from customers. Lower is better; a long cycle means growth itself eats cash.

Is it a good business?

Return on invested capital 16%

High through the cycle

8-yr median, range 14%–35%; 16% latest = NOPAT $256M ÷ invested capital $1.6B

Industry peers: median 14%

What this means
The rate the business earns on the money tied up in it, Buffett's north star, because over time a stock tracks the ROIC beneath it. Above ~15% sustained hints at a moat; a return below the cost of capital (~8%) erodes value as a business grows rather than building it — the test Buffett weighs most. The headline is the median of the last 8 years (it ran 16% most recently), so one peak or trough year doesn't set the verdict. Asset-light businesses (R&D expensed, little capital) read artificially high, pair this with Owner Earnings.
Owner-earnings margin 11%

Solid through the cycle

8-yr median margin, range -4%–30%; latest $435M = operating cash $456M − maintenance capex $21M

Industry peers: median 7%

What this means
What an owner could take out without starving the business: operating cash less the maintenance capital it must spend to hold its position — Buffett's owner earnings. That's 14% of revenue this year, a 11% median across 8 years. Treating stock comp as the real expense it is (less $39M of SBC) leaves $396M.
Are earnings backed by cash? 2.00×

Cash-backed

Cash from ops $456M ÷ net income $227M

What this means
How much of reported profit showed up as operating cash. Above 1× is reassuring; well below suggests earnings lean on accruals. One year is noisy, growth and working-capital swings distort it, and this is operating cash, not free cash. Watch the multi-year trend.

How is the cash used?

Where do the earnings go? 32%

Reinvests most of it

Dividends + buybacks $141M ÷ Owner Earnings $435M

What this means
Of $435M Owner Earnings, $141M (32%) went back to shareholders, $116M dividends, $25M buybacks. But the buybacks barely exceed stock issued to employees ($39M SBC), net of dilution, little was truly returned. Returning most of it is the mark of a mature business with little left to reinvest at a high return; reinvesting most could mean a long runway, or empire-building. The split doesn't say which; the return earned on it (see ROIC) does.
Investing or harvesting? 0.44×

Harvesting

Capex $21M ÷ depreciation $48M

What this means
Descriptive, not a grade. Above ~1× means investing faster than assets wear out (growth, or, sustained for years, today's earnings carrying less depreciation than tomorrow's will). Below means spending less than it's wearing out (efficiency, or a melting asset base). The ratio won't tell you which; the filings will.

Graham’s defensive tests · 3 of 6 met

Graham’s numerical criteria for the defensive investor (The Intelligent Investor, ch. 14), run on the filings. A floor of safety, not a buy signal; many fine modern businesses fail his strictest liquidity rules by design.

Adequate size Pass

Revenue ≥ $2B · $3.2B

What this means
Big enough to weather a storm. Graham's 1972 floor was ~$100M of sales (≈ $700M today); we use a $2B revenue line as a conservative modern stand-in.
Strong liquidity Near

Current ratio ≥ 2× · 1.82×

What this means
Current assets at least twice current liabilities, near-term bills covered without touching the business. Strict by design: many cash-rich modern firms run leaner and miss it, holding their cushion in longer-dated securities.
Conservative debt Miss

Debt ≤ working capital · $1.1B vs $487M WC

What this means
Graham's rule that borrowings not exceed net current assets. Capital-heavy and buyback-heavy firms routinely fail it, read it next to interest coverage, not alone.
Earnings stability Pass

A profit every year (8-yr record) · no losses

What this means
Graham wanted earnings in each of the past ten years, the stability a defensive owner leans on.
Dividend record Miss

Uninterrupted dividends · 6 of 8 yrs

What this means
An unbroken dividend was Graham's mark of durability. He wanted twenty years; the filings show about ten, and a single suspension breaks the streak. Non-payers, many fine modern compounders, fall outside his defensive net by design.
Earnings growth Pass

Earnings +33% over the record · +48%

What this means
At least a third more earnings than a decade ago, averaging three years at each end. Net income (not per-share), so stock splits don't distort it, buybacks and dilution show up in the share-count line instead.
Moderate price —

P/E ≤ 15 and P/E × P/B ≤ 22.5 · decided by the price

What this means
Graham's valuation gate, the wall he kept between a sound business and a sound investment. Three-year average earnings are $4.25/share (latest year $4.12), the averaged base the calculator's gate runs on, and book value is $10.22/share. Enter a price in “What the price implies” just below for the P/E, P/B, and whether it clears. But this is the rule Buffett outgrew: there's no hard P/E law, and a wonderful business can deserve a far richer multiple if the thesis holds, treat it as the bargain-hunter's floor, not a verdict on the price.

Durability & moat, 2017–2026

Whether the record’s returns held, and what the capital reinvested earned.

Profitable years 8 of 8

What this means
Never lost money over the record, the earnings stability Graham insisted on.
Return on capital ≥ 15% 6 of 7 yrs

What this means
A moat shows up as a high return on invested capital that holds year after year, not one good vintage.
Operating margin 10% → 12% (3-yr avg ends)

What this means
Through the cycle the operating margin held roughly steady — about 10% early, 12% lately, median 12%.
Reinvestment, incremental ROIC returns capital

What this means
The capital base barely grew: this business returns cash through dividends and buybacks rather than reinvesting. Judge it on the cash returned, not on compounding.
Owner earnings growth +46%/yr

What this means
Owner earnings grew about 46% a year over the record.
Worst year 2021 · 5.9% op. margin

What this means
Stayed profitable even in its hardest year, the resilience that survives recessions.
Share count −0.1%/yr

What this means
Roughly flat share count, little dilution, little buyback.
Dividend record rising

What this means
Paid and raised the dividend across the record, the continuity Graham prized.

Does AI threaten the moat?

Moderate contestability

AI is likely to reshape costs and some products here without clearly contesting or sparing the core moat; how the company itself frames it is the tell.

In its own filing Raised, but not as a competitor

The filing raises AI among its risks, but in other terms (security, regulation, energy or the like), not as a competitor to its product.

The question is whether a moat the record shows as durable outlasts a technology that lowers the cost of part of what the firm sells. The durability is read in the record above, the filing's own framing of AI beside it; the industry label decides nothing on its own.

Read from the filing's own risk factors, paired with the industry's structure under its SIC code; the durability is read above, the price below.

All figures as filed; the source filing is linked above.

Current Position

as of the latest quarter, Apr 4, 2026

Can the business pay what it owes this year, off the freshest balance sheet: the quality of the assets, the debt actually coming due, and what a low ratio means here.

Current assets$1.1B

Cash & short-term investments$56M
Receivables$245M
Inventory$464M
Other current assets$358M

Current liabilities$601M

Debt due within a year$13M
Accounts payable$240M
Other current liabilities$348M

Current ratio1.87×all current assets ÷ what's due · Graham looked for 2×

Quick ratio1.10×stricter: inventory excluded

Cash ratio0.09×strictest: cash alone against what's due

Working capital$522Mthe cushion left after near-term bills

Debt due this year vs. cash$13M due · $56M cash covered by cash on hand, no refinancing forced · both figures from the Apr 4, 2026 balance sheet

Revenue, latest quarter vs. a year ago+45.0%the freshest read on whether the business is still growing

Current ratio, recent quarters2.7× → 1.9×

Deeper floors

Tangible book value($291M)equity stripped of goodwill & intangibles

Net current asset value($908M)Graham's net-net: current assets less all liabilities

Debt incl. operating leases$1.3B$132M of it operating leases

Deferred revenue$2Mcustomer cash collected before delivery; operating float

From the company's latest filing.

How the cash was used, 2017–2026

Over the record, the business generated $2.4B of operating cash; how management split it reads as a balanced allocator, splitting cash between the business, owners, and the balance sheet.

Reinvested$173M · 7%
Dividends$559M · 24%
Buybacks$203M · 9%
Retained (debt / cash)$1.4B · 60%

Returned to owners$762M
35% of the owner earnings the business produced over the span, $559M as dividends and $203M as buybacks.
Average price paid for buybacks—
Buybacks ran $203M over the span, but the filings don't tag the share count needed to deduce the average price paid.
Net change in share count−1.2%
The diluted count fell from 57M to 56M, so the buybacks outran the stock issued to staff.
Dividend record$2.07/sh
Paid in 6 of the years on record. It was cut at least once along the way.
Return on what it retained15%
Of the earnings it kept rather than paid out ($732M over the span), annual owner earnings (first three years vs last three) grew $111M, so each retained $1 added about 0.15 of yearly owner earnings. Buffett's test, run on owner earnings instead of market value.

Buybacks are gross of stock issued to staff; the share-count line above is the net of that, the figure that decides whether owners gained. The average price paid blends a year of purchases (and any accelerated repurchase), so it is close, not exact. The record of where the cash went and on what terms.

Acquisitions & goodwill

from the balance sheet & the 8-year cash-flow record

Goodwill grows only when a company acquires and falls only when it concedes it overpaid. The size of that bet, the cash put into buying rather than building, and how much has already been written off.

Goodwill & intangibles$982M38% of all assets; the premium carried on the balance sheet for businesses acquired

Against book equity94%goodwill is this share of book equity; the rest is the company’s own retained and paid-in capital

Cash spent acquiring$901Mover 8 years buying other businesses, against $173M of capital spent building

None written down over the record; the goodwill is still carried at full cost. That is the deals holding their value on the books so far; whether they keep doing so is the test an owner watches, since the write-down, when it comes, is the admission the price was too high.

Goodwill, acquired intangibles and equity from the latest balance sheet; acquisition spend and write-downs summed across the 8-year record, from the company's own filings.

Management, ownership & pay

read the proxy →

From the proxy: how much of the business the people running it own, and how they are paid, beside what the business earned for its owners in the same years.

Fiscal year	Chief executive	Pay, as filed	“Actually paid”	Owner earnings
2021	Scott H. Baxter	$10.0M	$15.1M	$224M
2022	Scott H. Baxter	$11.4M	$10.1M	$65M
2023	Scott H. Baxter	$9.9M	$18.5M	$329M
2024	Scott H. Baxter	$12.6M	$23.7M	$349M
2026	Scott H. Baxter	$13.2M	$13.6M	$435M

Both pay figures are the company’s own, from the pay-versus-performance table its proxy statement files. “As filed” is the Summary Compensation Table total: salary, bonus, and equity awards at their value on the day of grant. “Actually paid” is the SEC’s prescribed recalculation, which re-marks those equity awards to what they became as they vested; it can swing far above or below the filed figure in either direction, and negative years occur. Owner earnings are the whole business's, from the record above, for the same fiscal years.

Insider ownership<1%
The stake all directors and executive officers hold together, per the 2026 proxy: skin in the game, the first thing Munger reads.
Stock-based compensation$39M
The slice of the business handed to employees in shares this year, 1% of revenue, equal to 12% of operating profit. Buffett's oldest accounting fight: this is compensation, compensation is an expense, real whether or not the headline earnings admit it. One trap: the cash-flow statement adds SBC back, so the operating cash, and the owner earnings drawn from it, are flattered by exactly this amount; counted as the cost it is, what an owner keeps is lower.

Inverting the record

Invert: instead of why Kontoor Brands Inc. Common Stock is a good business, the question is what would make owning it a mistake, and whether those marks are in the record. Disconfirming tests across 2017–2026.

1 of the 4 tests turned up something to look into; the other 3 came back clean.

Look hereAre "one-time" charges a yearly habit?5 of 8 years
Management took an impairment or write-down in 5 of the last 8 years, $18M in all. Taken across the majority of the record, the "one-time" label is wearing thin — ask whether these are past deals coming due rather than genuinely isolated events. Read it beside the goodwill the company still carries.

And these came back clean

Is it less profitable than it was?
Did the share count rise anyway?
Did reported profit become cash?

Each test is read from the filings and is noisy alone; a flag can mark a cyclical trough or a year of heavy investment as easily as a problem. The filing says which.

What an owner would ask, FY2026

read the 10-K →

How much of the revenue rides on one buyer?
≈$1.8B · 53% of revenue on the largest customers (TTM)
“Sales to our ten largest customers accounted for 53% of total net revenues in 2025, and our top customer, Walmart, accounted for 30% of our total net revenues in 2025, 2024 and 2023.”verify →
Which reported numbers are a judgment call?
Management names Income taxes, Acquisitions as critical estimates
each rests partly on management's judgment; the filing's note sets out the assumptionsverify →

The questions the record and the charts do not answer on their own; each carries the figure and the place to look.

Peers, Textiles & Apparel

The same industry, side by side on owner economics. Each figure is a through-cycle median, so a peak or trough year can’t distort it; the group median at the foot is the line to read each against.

Company	Revenue	Gross margin	Op. margin	ROIC	Owner earn. margin
CTASCintas	$10.3B	49%	18.0%	20%	15%
VFCVF Corp.	$9.6B	54%	8.9%	13%	7%
PVHPVH Corp.	$9.0B	56%	8.0%	8%	7%
RLRalph Lauren Corporation	$8.1B	65%	9.9%	20%	10%
KTBKontoor Brands Inc. Common Stock	$3.2B	42%	12.1%	16%	12%
GESGuess	$3.0B	38%	5.4%	14%	4%
GIIIG-III Apparel	$3.0B	36%	6.3%	9%	4%
OXMOxford Industries	$1.5B	59%	8.0%	14%	7%
Group median	—	51%	8.5%	14%	7%

The price

What a price has to assume.

What the price implies

reverse-DCF

Type today's close and see the owner-earnings growth you'd have to believe to justify it, beside what Kontoor Brands Inc. Common Stock has delivered.

Kontoor Brands Inc. Common Stock’s latest year runs above its own through-cycle margin — the reported figure may flatter a peak. So the tool opens on the through-cycle base, Graham’s averaging cutting both ways; clear the toggle below to read the latest year exactly as reported.

Today’s price $

Through the cycle, Kontoor Brands Inc. Common Stock earns about $367M on its 11.6% median owner-earnings margin. This year’s 13.8% margin runs above that; the reported figure may flatter a peak you'd be paying on. Normalize, below, values the price on that through-cycle figure rather than the latest year. It comes pre-checked here for that reason, the same rule that already normalizes a trough; clear it to price the year as filed.

Base Normalize · through-cycle ($367M) Net of stock comp (−$31M) Steady-state · maintenance capex ($403M)

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The assumptions Required return 9% Years of high growth 10 Terminal growth 2.5%

9.0% = the 4.55% 10-year Treasury (Jul 15, 2026) + 4.45 points of equity premium. The rate you require is yours to set.

Enter a price above to run it.

Implied by the price—

Owner-earnings growth · ’21→’26+22%/yr

Owner-earnings growth · ’17→’26+46%/yr

Owner-earnings yield—

P/E (3-yr earnings ’23–’26)—

P/B—

Graham’s price gate—

Graham capped the multiple at 15×; Buffett and Munger let that rule go: a wonderful business can deserve 50× if the thesis holds. The gate marks the bargain-hunter's floor.

Against a high-grade bond: Graham’s yardstick bond yield%

Prefilled with the 10-year Treasury (4.55%, as of Jul 15, 2026). Edit it for today’s exact figure, or a AAA corporate yield.

Graham measured a stock against the bond you could own instead, the heart of his margin of safety. Enter a price above to weigh the owner-earnings yield against this bond.

Free cash flow $400M on 55M shares outstanding, per the 10-Q cover, as of 2026-05-01; net debt $1.1B. The base opens on the through-cycle figure (the latest year sits above the record’s own median, and Graham’s averaging cuts both ways); clear Normalize to use the year as filed. Net of stock comp treats option pay as the expense it is. Capex ($25M) runs well above depreciation ($54M), so this is a build-out; Steady-state swaps total capex for maintenance (≈ depreciation), lifting the base to about $403M, the cash it would throw off if it stopped expanding. The dials set the multiple a growth belief justifies; the price, and every dollar on this page, is yours.

Weigh KTB against another business →

Cite: Owner Scorecard, "Kontoor Brands Inc. Common Stock (KTB), the owner's record," https://ownerscorecard.com/c/KTB, data as of 2026-07-09.

Manual order: ← KSS its page in the Manual KTOS →

Industry order: ← GOOS the Textiles & Apparel chapter LANV →