Comparing Kontoor Brands (NYSE:KTB) and Blue (OTCMKTS:BLHI)

Blue (OTCMKTS:BLHI) and Kontoor Brands (NYSE:KTB) are both consumer discretionary companies, but which is the better investment? We will compare the two companies based on the strength of their risk, earnings, institutional ownership, dividends, analyst recommendations, valuation and profitability.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Blue and Kontoor Brands, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Blue	0	0	0	0	0.00
Kontoor Brands	0	1	5	0	2.83

Kontoor Brands has a consensus price target of $89.67, indicating a potential upside of 16.85%. Given Kontoor Brands’ stronger consensus rating and higher probable upside, analysts plainly believe Kontoor Brands is more favorable than Blue.

Insider and Institutional Ownership

93.1% of Kontoor Brands shares are held by institutional investors. 1.7% of Kontoor Brands shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Blue and Kontoor Brands’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Blue	N/A	N/A	N/A
Kontoor Brands	9.48%	68.76%	15.02%

Earnings and Valuation

This table compares Blue and Kontoor Brands”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Blue	N/A	N/A	N/A	N/A	N/A
Kontoor Brands	$2.61 billion	1.64	$245.80 million	$4.48	17.13

Kontoor Brands has higher revenue and earnings than Blue.

Summary

Kontoor Brands beats Blue on 9 of the 9 factors compared between the two stocks.

About Blue

Blue Holdings Inc., directly and through its wholly owned subsidiary Antik Denim, LLC, designs, develops, manufactures, markets, distributes, and sells high-end fashion jeans, apparel, and accessories under the principal brand names Antik Denim, Taverniti So Jeans, Yanuk, and Faith Connexion. Its products include jeans, jackets, belts, purses, and T-shirts. The company sells premium denim products and accessories in high-end department stores and fashion boutiques that cater to fashion conscious consumers. Its products are sold in the United States, Canada, Japan, and the European Union directly to department stores and boutiques, and through distribution arrangements in a various countries. Blue Holdings Inc. was formerly known as Marine Jet Technology Corp. and changed its name to Blue Holdings Inc. in June 2005. The company was incorporated in 2000 and is headquartered in Commerce, California with showrooms in Los Angeles and New York.

About Kontoor Brands

Kontoor Brands, Inc., a lifestyle apparel company, designs, produces, procures, markets, distributes, and licenses denim, apparel, footwear, and accessories, primarily under the Wrangler and Lee brands. The company operates through two segments: Wrangler and Lee. It licenses and sells apparel under the Rock & Republic brand name. The company sells its products primarily through mass merchants, specialty stores, mid-tier and traditional department stores, company-operated stores, and online. It operates in the Americas, Europe, the Middle East, Africa, and the Asia-Pacific regions. Kontoor Brands, Inc. was incorporated in 2018 and is headquartered in Greensboro, North Carolina.