Kontoor BrandsKTB +4.24%79 ROA % is 14.13% as of Mar. 2026, which is 23% above its 10-year median of 11.48. 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 1,069 Manufacturing - Apparel & Accessories companies, Kontoor Brands ranks better than 92.24% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Kontoor Brands's annualizedNet Income for the quarter that ended in Mar. 2026 was $370 Mil.
Kontoor Brands's average Total Assets over the quarter that ended in Mar. 2026 was $2,616 Mil. Therefore, Kontoor Brands's annualized ROA % for the quarter that ended in Mar. 2026 was 14.13%.
The historical rank and industry rank for Kontoor Brands's ROA % or its related term are showing as below:
KTB'
s ROA % Range Over the Past 10 Years
Min: 4.44 Med: 11.48 Max: 15.76
Current: 11.09
During the past 10 years, Kontoor Brands's highest ROA % was 15.76%. The lowest was 4.44%. And the median was 11.48%.
ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A banks ROA % is typically well under 2%.
Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:
Note:
The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data.
* 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.
Be Aware
Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.
E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.
Kontoor Brands ROA % Related Terms
Kontoor Brands ROA % Historical Data
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The historical data trend for Kontoor Brands's ROA % 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.
For the Apparel Manufacturing subindustry, Kontoor Brands's ROA %, along with its competitors' market caps and ROA % 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 ROA % vs Manufacturing - Apparel & Accessories Industry
For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Kontoor Brands's ROA % distribution charts can be found below:
* The bar in red indicates where Kontoor Brands's ROA % falls into.
* 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 ROA %, the net income of the last fiscal year and the average total assets 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.
ROA % is displayed in the 30-year financial page.
Kontoor Brands (KTB) has a ROA % of 14.13% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Kontoor Brands and its competitors. This is 23% above median its historical median of 11.48. Over the past decade, Kontoor Brands' ROA % has ranged from 4.44 to 15.76. According to the industry distribution chart, Kontoor Brands ranks #83 out of 1069 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 7.8%.
Is Kontoor Brands' ROA % too high?
Kontoor Brands' current ROA % of 14.13% is 23% above median its 10-year median of 11.48. Over the past 10 years, this metric has ranged from a low of 4.44 to a high of 15.76. The Manufacturing - Apparel & Accessories industry median ROA % is 1.95. Kontoor Brands' value of 14.13% is 624.6% above this industry median. Based on the distribution chart, Kontoor Brands ranks #83 out of 1069 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' ROA % compare to ZGN and PVH?
According to the Manufacturing - Apparel & Accessories industry distribution chart, Kontoor Brands ranks #83 out of 1069 companies for ROA %. This places Kontoor Brands in the top 8% of its industry — outperforming the majority of peers. The industry median ROA % is 1.95. Kontoor Brands' value of 14.13% is 624.6% above this benchmark. Historically, Kontoor Brands' own ROA % has ranged from 4.44 to 15.76 over the past decade. While the company's 10-year median is 11.48 vs. the industry median of 1.95, 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 ROA % for a Manufacturing - Apparel & Accessories company?
The median ROA % among Manufacturing - Apparel & Accessories companies is 1.95, based on 1,069 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Kontoor Brands's current ROA % of 14.13% is 624.6% 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 ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Kontoor Brands and its competitors. For the Manufacturing - Apparel & Accessories industry, the median ROA % is 1.95 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kontoor Brands's current ROA % is 14.13%, which is 23% above median its own 10-year median of 11.48. 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 $83.29 — trading 12.9% above its estimated fair value. The current ROA % is 14.13%, which is 23% above median its 10-year median of 11.48 and 624.6% above the Manufacturing - Apparel & Accessories industry median of 1.95. 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 ROA % calculated?
ROA % is calculated from a company's financial statements. For Kontoor Brands (KTB), the current ROA % is 14.13% 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 $83.29 is trading 12.9% above its estimated GF Value™ of $73.77.
GuruFocus considers Kontoor Brands to be Modestly Overvalued.
Key valuation signals for KTB:
ROA %: 14.13% (23% above median its 10-year median of 11.48)
GF Value™: $73.77 vs. price of $83.29 (12.9% above fair value)
Industry Position: 624.6% above the Manufacturing - Apparel & Accessories median (#83 of 1069)
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 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
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