KTB (Kontoor Brands) Interest Coverage: 5.60 (As of Mar. 2026) — 32% Below Median


KTB Kontoor Brands Inc KTB
79 GF Score
Price $81.99
GF Value $73.77
Valuation Modestly Overvalued
! 5 Warning Signs
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What is Kontoor Brands Interest Coverage?

Kontoor Brands KTB -1.56% 79 Interest Coverage is 5.60 as of Mar. 2026, which is 32% below its 10-year median of 8.24. GuruFocus rates KTB with a GF Score™ of 79/100 and a GF Value™ of $73.77 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 741 Manufacturing - Apparel & Accessories companies, Kontoor Brands ranks worse than 50.47% on this metric.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. Kontoor Brands's Operating Income for the three months ended in Mar. 2026 was $90 Mil. Kontoor Brands's Interest Expense for the three months ended in Mar. 2026 was $-16 Mil. Kontoor Brands's interest coverage for the quarter that ended in Mar. 2026 was 5.60. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Kontoor Brands's Interest Coverage or its related term are showing as below:

KTB' s Interest Coverage Range Over the Past 10 Years
Min: 2.48   Med: 8.24   Max: No Debt
Current: 5.22


KTB's Interest Coverage is ranked worse than
50.47% of 741 companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 5.43 vs KTB: 5.22

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Kontoor Brands  (NYSE:KTB) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


Kontoor Brands Interest Coverage Related Terms


Kontoor Brands Interest Coverage Historical Data

* Premium members only.

The historical data trend for Kontoor Brands's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

Kontoor Brands Interest Coverage Chart

Kontoor Brands Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.27 10.21 8.04 8.43 5.56

Kontoor Brands Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.20 5.82 3.47 6.17 5.60

KTB vs ZGN, PVH, COLM: Interest Coverage Comparison

For the Apparel Manufacturing subindustry, Kontoor Brands's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Kontoor Brands Interest Coverage vs Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Kontoor Brands's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Kontoor Brands's Interest Coverage falls into.


KTB
79GF Score
Kontoor Brands Inc KTB
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Kontoor Brands Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Kontoor Brands's Interest Coverage for the fiscal year that ended in Dec. 2025 is calculated as

Here, for the fiscal year that ended in Dec. 2025, Kontoor Brands's Interest Expense was $-62 Mil. Its Operating Income was $345 Mil. And its Long-Term Debt & Capital Lease Obligation was $1,251 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*345.486/-62.162
=5.56

Kontoor Brands's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Kontoor Brands's Interest Expense was $-16 Mil. Its Operating Income was $90 Mil. And its Long-Term Debt & Capital Lease Obligation was $1,232 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*90.105/-16.084
=5.60

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 5.60 mean?
Kontoor Brands (KTB) has a Interest Coverage of 5.60 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Kontoor Brands and its competitors. This is 32% below median its historical median of 8.24. Over the past decade, Kontoor Brands' Interest Coverage has ranged from 2.48 to 10,000.00. According to the industry distribution chart, Kontoor Brands ranks #374 out of 741 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 50.5%.
Is Kontoor Brands' Interest Coverage too high?
Kontoor Brands' current Interest Coverage of 5.60 is 32% below median its 10-year median of 8.24. Over the past 10 years, this metric has ranged from a low of 2.48 to a high of 10,000.00. The Manufacturing - Apparel & Accessories industry median Interest Coverage is 5.43. Kontoor Brands' value of 5.60 is 3.1% above this industry median. Based on the distribution chart, Kontoor Brands ranks #374 out of 741 companies in the Manufacturing - Apparel & Accessories industry, which is below the industry midpoint. Overall, Kontoor Brands has a GF Score™ of 79/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Kontoor Brands' Interest Coverage compare to ZGN and PVH?
According to the Manufacturing - Apparel & Accessories industry distribution chart, Kontoor Brands ranks #374 out of 741 companies for Interest Coverage. This places Kontoor Brands in the lower half of its industry. The industry median Interest Coverage is 5.43. Kontoor Brands' value of 5.60 is 3.1% above this benchmark. Historically, Kontoor Brands' own Interest Coverage has ranged from 2.48 to 10,000.00 over the past decade. While the company's 10-year median is 8.24 vs. the industry median of 5.43, Kontoor Brands has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Manufacturing - Apparel & Accessories company?
The median Interest Coverage among Manufacturing - Apparel & Accessories companies is 5.43, based on 741 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Kontoor Brands's current Interest Coverage of 5.60 is 3.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Kontoor Brands and its competitors. For the Manufacturing - Apparel & Accessories industry, the median Interest Coverage is 5.43 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kontoor Brands's current Interest Coverage is 5.60, which is 32% below median its own 10-year median of 8.24. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kontoor Brands stock overvalued right now?
Based on GuruFocus' analysis, Kontoor Brands (KTB) is currently considered Modestly Overvalued. The stock's GF Value™ is $73.77, compared to a current price of $81.99 — trading 11.1% above its estimated fair value. The current Interest Coverage is 5.60, which is 32% below median its 10-year median of 8.24 and 3.1% above the Manufacturing - Apparel & Accessories industry median of 5.43. Kontoor Brands' overall GF Score™ is 79/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Kontoor Brands (KTB), the current Interest Coverage is 5.60 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Kontoor Brands (KTB) Overvalued in 2026?

Based on GuruFocus' analysis, Kontoor Brands stock appears to be overvalued. The current stock price of $81.99 is trading 11.1% above its estimated GF Value™ of $73.77. GuruFocus considers Kontoor Brands to be Modestly Overvalued.

Key valuation signals for KTB:

  • Interest Coverage: 5.60 (32% below median its 10-year median of 8.24)
  • GF Value™: $73.77 vs. price of $81.99 (11.1% above fair value)
  • GF Score™: 79/100 with 5 warning signs
  • Industry Position: 3.1% above the Manufacturing - Apparel & Accessories median (#374 of 741)

No single metric tells the full story. See the KTB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Kontoor Brands Business Description

Other Exchanges 3KO:Germany
Address 400 N. Elm Street, Greensboro, NC, USA, 27401
Kontoor Brands Inc is a lifestyle apparel company. It designs, manufactures, procures, sells, and licenses apparel, footwear, and accessories, mainly under the brand names Wrangler, Lee, Helly Hansen, and a few other brands. The company also licenses the use of its brands in certain regions. Its products are sold through wholesale and direct-to-consumer channels in the United States (its key revenue-generating market) and internationally, mainly in Europe, Middle East and Africa (EMEA), Asia-Pacific (APAC), and Non-U.S. Americas regions. The company's three reportable segments are Wrangler, Lee, and Helly Hansen. The majority of its revenue is generated from the Wrangler segment, which offers denim, apparel, footwear, and accessories through Wrangler and various sub-brands.
79GF Score

Get the complete analysis for KTB

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$81.99
Price
$73.77
GF Value