Kontoor Brands recently announced its dividend for the first quarter and a new hemp partnership
Kontoor Brands, Inc. (NYSE: KTB) is an American lifestyle clothing company. You’re responsible for fan-favorite clothing brands like Lee, Wrangler, and Rock & Republic. Kontoor Brands also runs the VF outlet chain of factory outlet stores that you probably had a Saturday sifting through.
On April 27th, Kontoor Brands announced an expansion of its collaboration with Panda Biotech, LLC of Dallas, a company active in the industrial hemp fiber industry. The partnership between Kontoor Brands and Panda Biotech aims to accelerate the commercialization of hemp grown and processed in the US.
Recently, Kontoor Brands also announced a quarterly cash dividend of $ 0.40 per share, translating into a dividend yield of 2.46%. The cash dividend will be paid out to registered shareholders on June 18 at the close of business on June 8.
In addition, Kontoor Brands is expected to release its first quarter results on Thursday, May 6th. Kontoor Brands has exceeded earnings expectations in all four of the most recent earnings reports. However, this only resulted in two positive responses after winning. a bull gap of 7.7% in March and an 11.2% increase in late October. This time the options market expects an above-average movement for tomorrow’s trading after a gain of 9.1%.
On the charts, KTB hit a record high of $ 67.73 on April 27th. The broad retreat of the market that followed has so far been aided with support from the stock’s 20-day rising average, a trendline that has toggled between support and resistance for the stock over the past 12 months.
Basically, it is almost inexplicable that the Kontoor Brands share is trading near its all-time high. Despite receiving a pass for last year’s poor performance, Kontoor Brands’ sales and earnings numbers have been in decline for several years. Since fiscal 2017, KTB sales have decreased by 26%, and sales have decreased by 18% in 2020. In addition, the company’s net income has dropped a massive 74% since 2018 and has fallen 30% last year. The only fundamental factor about Kontoor Brands stock is that the analysts forward P / E ratio is 16.10, even though the current P / E ratio is an inflated 55.11.