Kontoor Brands Likely to Post Modest Q3 Beat, Upside Is Limited, UBS Says

01:34 PM EDT, 10/22/2026 (MT Newswires) -- Kontoor Brands (KTB) is likely to post a modest Q3 beat and raise, driven by healthy trends at Wrangler and Helly Hansen, UBS Securities said in a Thursday research report. The company is scheduled to report its financial results Oct. 29. Clearer signs of acceleration at Helly Hansen are unlikely to materialize until fiscal 2027 as the brand implements its US expansion. Channel checks showed online traffic growth in Q3 was robust across the company's brands, according to the note. There is limited potential for the Q3 results to materially change investor sentiment, as UBS believes the market already expects a similar outcome. Sentiment toward the stock is bearish, with short interest at an all-time high, while investors are seeking evidence that Helly Hansen can achieve its 10% five-year sales compound annual growth rate target. UBS has a buy rating on the stock, with a price target of $136 per share. Shares of Kontoor Brands were up 2.3% in Thursday afternoon trading. Price: 76.81, Change: +1.74, Percent Change: +2.32