Levi Strauss initiated with an Outperform at Raymond James

Raymond James initiated coverage of Levi Strauss (LEVI) with an Outperform rating and $26 price target The firm views Levi as a mid-single-digits-percent revenue growth story “with levers across channels, geographies, customers, and categories.” The company’s EBIT margins should expand, driving earnings growth of at least high-single-digit percent, the analyst tells investors in a research note. Raymond James believes Levi’s direct-to-consumer business can grow from new stores, productivity, and digital. Consensus estimates for the unit embed conservatism and have room for upside, the firm contends.