Levi Strauss upgraded to Overweight from Equal Weight at Wells Fargo

Wells Fargo analyst Ike Boruchow upgraded Levi Strauss (LEVI) to Overweight from Equal Weight with a price target of $20, up from $17. The firm adjusted ratings in retail cut 2026 earnings estimates well below the Street to reflect current tariff headwinds and assumptions for a mild recession. Both headwinds will begin impacting numbers in the second half of 2025, the analyst tells investors in a research note. Wells believes Levi is well positioned in today’s macro envinrment with one of the lowest cost of goods sold exposures to China. The firm expects minimal pricing demand destruction given the company’s “strong brand/name power.”