Kontoor Brands, the parent company of Wrangler and Helly Hansen, is viewed by JPMorgan as being at a pivotal moment for growth. Analyst Matthew Boss highlighted that the company's decision to concentrate on its two primary brands, following the sale of its Lee brand to Authentic Brands Group for $1 billion, positions it well for revenue increases.
Specifically, Boss forecasts low-to-mid-single-digit growth for Wrangler and low-double-digit growth for Helly Hansen, which is an improvement over previous estimates. Despite a decline of over 20% in Kontoor's shares since January 2025, JPMorgan's price target suggests a recovery to near previous highs, with potential for further upside based on earnings forecasts and market multiples.
The analysis indicates that Kontoor's streamlined focus could enhance its financial performance and investor confidence