KTB (Kontoor Brands) Return-on-Tangible-Equity: Negative Tangible Equity% (As of Mar. 2026)

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KTB Kontoor Brands Inc KTB
79 GF Score
Price $87.82
GF Value $72.99
Valuation Modestly Overvalued
! 5 Warning Signs
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What is Kontoor Brands Return-on-Tangible-Equity?

Kontoor Brands KTB +4.31% 79 Return-on-Tangible-Equity is Negative Tangible Equity% as of Mar. 2026. GuruFocus rates KTB with a GF Score™ of 79/100 and a GF Value™ of $72.99 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 1,014 Manufacturing - Apparel & Accessories companies, Kontoor Brands ranks better than 99.9% on this metric.

Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Kontoor Brands's annualized net income for the quarter that ended in Mar. 2026 was $370 Mil. Kontoor Brands's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $-383 Mil. Therefore, Kontoor Brands's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was Negative Tangible Equity%.

The historical rank and industry rank for Kontoor Brands's Return-on-Tangible-Equity or its related term are showing as below:

KTB' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 10.89   Med: 20.93   Max: 3478.83
Current: Negative Tangible Equity

During the past 10 years, Kontoor Brands's highest Return-on-Tangible-Equity was 3,478.83%. The lowest was 10.89%. And the median was 20.93%.

KTB's Return-on-Tangible-Equity is ranked better than
99.9% of 1014 companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 4.43 vs KTB: Negative Tangible Equity

Kontoor Brands  (NYSE:KTB) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net Income is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.


Kontoor Brands Return-on-Tangible-Equity Related Terms


Kontoor Brands Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Kontoor Brands's Return-on-Tangible-Equity 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.

Kontoor Brands Return-on-Tangible-Equity Chart

Kontoor Brands Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only Negative Tangible Equity Negative Tangible Equity 3,478.83 267.78 Negative Tangible Equity

Kontoor Brands Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Return-on-Tangible-Equity 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 107.66 Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity

KTB vs ZGN, PVH, COLM: Return-on-Tangible-Equity Comparison

For the Apparel Manufacturing subindustry, Kontoor Brands's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity 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 Return-on-Tangible-Equity vs Manufacturing - Apparel & Accessories Industry

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

* The bar in red indicates where Kontoor Brands's Return-on-Tangible-Equity falls into.


KTB
79GF Score
Kontoor Brands Inc KTB
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
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Kontoor Brands Return-on-Tangible-Equity Calculation

Kontoor Brands's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=227.452/( (112.399+-474.952 )/ 2 )
=227.452/-181.2765
=Negative Tangible Equity %

Kontoor Brands's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=369.756/( (-474.952+-290.548)/ 2 )
=369.756/-382.75
=Negative Tangible Equity %

* 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.

In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Mar. 2026) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

What does a Return-on-Tangible-Equity of Negative Tangible Equity% mean?
Kontoor Brands (KTB) has a Return-on-Tangible-Equity of Negative Tangible Equity% as of Mar. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Kontoor Brands and its competitors. Over the past decade, Kontoor Brands' Return-on-Tangible-Equity has ranged from 10.89 to 3,478.83. According to the industry distribution chart, Kontoor Brands ranks #1 out of 1014 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 0.099999999999994%.
Is Kontoor Brands' Return-on-Tangible-Equity too high?
Kontoor Brands' current Return-on-Tangible-Equity is Negative Tangible Equity%. Over the past 10 years, this metric has ranged from a low of 10.89 to a high of 3,478.83. Based on the distribution chart, Kontoor Brands ranks #1 out of 1014 companies in the Manufacturing - Apparel & Accessories industry, which is in the top quartile — a strong position relative to peers. 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' Return-on-Tangible-Equity compare to ZGN and PVH?
According to the Manufacturing - Apparel & Accessories industry distribution chart, Kontoor Brands ranks #1 out of 1014 companies for Return-on-Tangible-Equity. This places Kontoor Brands in the top 0% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 4.43. Historically, Kontoor Brands' own Return-on-Tangible-Equity has ranged from 10.89 to 3,478.83 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Equity for a Manufacturing - Apparel & Accessories company?
The median Return-on-Tangible-Equity among Manufacturing - Apparel & Accessories companies is 4.43, based on 1,014 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Kontoor Brands and its competitors. For the Manufacturing - Apparel & Accessories industry, the median Return-on-Tangible-Equity is 4.43 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kontoor Brands's current Return-on-Tangible-Equity is Negative Tangible Equity%. 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 $72.99, compared to a current price of $87.82 — trading 20.3% above its estimated fair value. The current Return-on-Tangible-Equity is Negative Tangible Equity%. 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 Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Kontoor Brands (KTB), the current Return-on-Tangible-Equity is Negative Tangible Equity% 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 $87.82 is trading 20.3% above its estimated GF Value™ of $72.99. GuruFocus considers Kontoor Brands to be Modestly Overvalued.

Key valuation signals for KTB:

  • Return-on-Tangible-Equity: Negative Tangible Equity%
  • GF Value™: $72.99 vs. price of $87.82 (20.3% above fair value)
  • GF Score™: 79/100 with 5 warning signs

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

Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$87.82
Price
$72.99
GF Value