In recent trading, shares of Kontoor Brands Inc (Symbol: KTB) have crossed above the average analyst 12-month target price of $83.17, changing hands for $83.73/share. When a stock hits an analyst’s target, the analyst typically has two choices: downgrade the stock due to valuation or adjust their target price higher. Whether they decide to change their forecast often depends on the company’s current business situation. If the outlook is positive, it may warrant an increase in the target price.
Six different analyst targets within the Zacks coverage universe contribute to the average for Kontoor Brands Inc. However, this average reflects a mathematical calculation. Some analysts have set lower targets, such as one aiming for a price of $77.00. Conversely, one analyst has a target as high as $90.00. The standard deviation is $5.269, showing some variation among predictions.
The purpose of looking at the average KTB price target is to access a “wisdom of crowds” method, aggregating insights from various analysts rather than relying on a single expert opinion. With KTB now exceeding the average target price of $83.17/share, shareholders are prompted to reconsider their position. Investors should evaluate whether $83.17 is just a stepping stone to a higher target or if the current valuation is too high, suggesting a partial exit might be wise. Below is a table outlining the current views from analysts covering Kontoor Brands Inc:
| Recent KTB Analyst Ratings Breakdown | ||||
|---|---|---|---|---|
| » | Current | 1 Month Ago | 2 Month Ago | 3 Month Ago |
| Strong buy ratings: | 6 | 6 | 6 | 6 |
| Buy ratings: | 0 | 0 | 0 | 0 |
| Hold ratings: | 1 | 1 | 1 | 1 |
| Sell ratings: | 0 | 0 | 0 | 0 |
| Strong sell ratings: | 0 | 0 | 0 | 0 |
| Average rating: | 1.29 | 1.29 | 1.29 | 1.29 |
The average rating above is on a scale from 1 to 5, where 1 is Strong Buy and 5 is Strong Sell. This article utilized data from Zacks Investment Research via Quandl.com. For more insights, check out the latest Zacks research report on KTB — available for free.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
