Kontoor Brands, Inc. (KTB) vs Levi Strauss & Co. (LEVI)

Kontoor Brands, Inc. and Levi Strauss & Co. are both Apparel Manufacturing companies. Levi Strauss & Co. is the larger, with a market value of $8.9B against $4.3B — 2.0× the size. Levi Strauss & Co. trades at the lower P/E: 15.1× against 21.2×. Levi Strauss & Co. grew revenue faster over the last twelve months: 6.61% against 2.38%. Levi Strauss & Co. has the higher net margin (8.83% vs 6.94%) and the higher return on invested capital (17.6% vs 16.8%). Both pay a dividend; Kontoor Brands, Inc. yields more (2.75% vs 2.62%). Across the 23 metrics below, Levi Strauss & Co. leads on 14 and Kontoor Brands, Inc. on 9.

Valuation

Metric KTB LEVI Apparel Manufacturing median
P/E 21.19 15.07 21.20
P/S 1.45 1.32 0.47
P/B 6.81 3.66 1.53
Price to free cash flow 10.27 13.74 8.61
EV/EBITDA 11.29 10.11 10.41
EV/Sales 1.83 1.48 0.61
Earnings yield 4.72% 6.63% 1.49%
Free cash flow yield 9.74% 7.28% 8.20%

Profitability

Metric KTB LEVI Apparel Manufacturing median
Gross margin 56.47% 62.81% 52.52%
Operating margin 15.25% 11.28% 4.07%
Net margin 6.94% 8.83% 1.32%
Free cash flow margin 14.14% 9.64% 3.76%
Return on equity 36.94% 25.76% 0.00%
Return on assets 7.12% 8.68% 0.00%
Return on invested capital 16.81% 17.58% 3.49%

Growth

Metric KTB LEVI Apparel Manufacturing median
Revenue growth (TTM) 2.38% 6.61% 0.86%
EPS growth (last fiscal year) (7.11%) 178.85% (6.25%)
Revenue growth, 5-year CAGR 8.49% 7.13% 6.36%
Net income growth, 5-year CAGR 27.34% 0.00% 0.00%

Health

Metric KTB LEVI Apparel Manufacturing median
Debt to equity 2.03 0.43 0.20
Current ratio 1.69 1.63 1.95
Net debt to EBITDA 2.69 0.21 (0.43)

Dividend

Metric KTB LEVI Apparel Manufacturing median
Dividend yield 2.75% 2.62% 1.71%
Payout ratio 0.59 0.40 0.39

Size

Metric KTB LEVI Apparel Manufacturing median
Market cap 4.33b 8.86b 455.04m

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