Lands' End (LE) AI Stock Analysis

• Market Cap: $542.59M
• Dividend Yield: N/A
• Average Volume (3M): 253.01K
• Price to Earnings (P/E): 47.8
• Beta (1Y): 1.22
• Revenue Growth: -8.47%
• EPS Growth: N/A
• Country: US
• Employees: 2,432
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Specialty Retail
• EPS (TTM): 0.21
• Shares Outstanding: 30,551,067
• 10 Day Avg. Volume: 450,229
• 30 Day Avg. Volume: 253,008
• PEG Ratio: -0.59
• Price to Book (P/B): 1.62
• Price to Sales (P/S): 0.29
• P/FCF Ratio: 25.28
• Enterprise Value/Market Cap: 0.99
• Enterprise Value/Revenue: 0.41
• Enterprise Value/Gross Profit: 0.84
• Enterprise Value/Ebitda: 6.77
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 0.96
• Revenue Forecast (FY): $1.38B

• Rating: 59 Neutral
• Price Target: $14.50 ▼(-9.09% Downside)

Overall score reflects mixed financial performance (thin profitability and sharply weaker free cash flow) and weak technical momentum, offset by positive near-term outlook from earnings guidance and significant corporate actions that strengthen the balance sheet and reposition the brand. Valuation remains a headwind given the high P/E and no stated dividend yield.

Positive Factors

Balance-sheet deleveraging via IP JV

The IP contribution and 50/50 JV with WHP provides $300M cash earmarked to fully repay the term loan, materially reducing leverage. This creates durable financial flexibility, lowers interest burden, and enables reinvestment or strategic options without relying on operating cash flow alone.

High and expanding gross margins

Sustained gross margins near 50% reflect a favorable product mix and pricing capability. Durable margin strength helps absorb input cost volatility, supports EBITDA expansion, and provides room to fund marketing or product investments even if top-line growth is modest over the coming quarters.

Diversified channels and B2B wins

Rapid third-party marketplace growth alongside B2B contracts (Delta uniforms) and >20% school uniform expansion diversifies revenue beyond DTC. This reduces concentration risk, leverages partner distribution, and creates scalable, lower-capital channels that can sustain sales even if direct e‑commerce softens.

Negative Factors

Weak free cash flow conversion

Severely negative FCF growth and poor cash conversion indicate the company struggles to turn accounting profits into usable cash. Over the medium term this constrains capex, inventory funding, and organic growth, increasing reliance on transactions or external financing for strategic needs.

Thin net profitability

Very low net margins and modest ROE signal limited ability to generate returns on sales and equity. Persistent thin profitability reduces internal funding capacity, heightens sensitivity to cost or demand shocks, and makes durable earnings improvements necessary for sustained shareholder value creation.

Regional and e‑commerce softness

A ~20% European sales decline and U.S. e‑commerce softness (flat overall revenue) reflect competitive/promotional pressure and uneven geographic performance. Continued regional or channel weakness can limit scale benefits, compress margins, and slow recovery of overall revenue growth in the medium term.

Lands' End Business Overview & Revenue Model

Company Description

Lands' End, Inc. operates as a uni-channel retailer of casual clothing, accessories, footwear, and home products in the United States, Europe, Asia, and internationally. It operates through U.S. eCommerce, Europe eCommerce, Japan eCommerce, Outfitters, Third Party, and Retail segments. The company sells its products online through e-commerce, company operated stores, as well as through third party distribution channels under the Lands' End, Let's Get Comfy, Lands' End Lighthouse, Square Rigger, Squall, Super-T, Drifter, Outrigger, Marinac, Beach Living, as well as Supima, No-Gape, Starfish, Iron Knees, Hyde Park, Year' Rounder, ClassMate, Willis & Geiger, and ThermaCheck brands. As of January 28, 2022, it operated 30 stores. Lands' End, Inc. was founded in 1963 and is headquartered in Dodgeville, Wisconsin.

How the Company Makes Money

Lands' End generates revenue primarily through the sale of apparel and home goods, leveraging a direct-to-consumer model that includes e-commerce, catalogs, and physical retail locations. Key revenue streams include seasonal collections, custom clothing options, and branded merchandise. The company also benefits from strategic partnerships, including collaborations with other brands and retailers, which expand its market reach. Additionally, Lands' End emphasizes customer loyalty programs and personalized marketing strategies to enhance sales and repeat purchases, contributing significantly to its overall earnings.

Lands' End Financial Statement Overview

Summary

Mixed fundamentals: healthy gross margin (~48.5%) and manageable leverage (TTM debt-to-equity ~0.16), but revenue is slightly declining (TTM -1.73%), net margin is very thin (~0.46%), and free cash flow growth is sharply negative (TTM -69.49%) with weak cash conversion (operating cash flow to net income ~0.19).

Income Statement

Lands' End shows a mixed performance in its income statement. The TTM (Trailing-Twelve-Months) data indicates a slight decline in revenue and profitability, with a negative revenue growth rate of -1.73%. Gross profit margin remains healthy at 48.54%, but net profit margin is low at 0.46%, indicating challenges in converting sales into profit. Historical data shows fluctuating revenue growth and profitability, with a notable decline in EBIT and EBITDA margins over the years.

Balance Sheet

The balance sheet reflects moderate financial stability. The TTM data shows a low debt-to-equity ratio of 0.16, indicating manageable leverage. However, historical data reveals higher leverage in previous years, with a debt-to-equity ratio peaking at 1.15. Return on equity is modest at 2.61%, suggesting limited efficiency in generating returns from equity. The equity ratio is not provided, but the overall asset management appears stable.

Cash Flow

Cash flow analysis reveals some concerns. The TTM free cash flow growth rate is significantly negative at -69.49%, indicating potential liquidity issues. The operating cash flow to net income ratio is 0.19, suggesting limited cash generation relative to net income. Historical data shows fluctuating free cash flow growth, with a notable decline in recent periods. The company needs to improve cash flow management to ensure long-term sustainability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.32B	1.36B	1.47B	1.56B	1.64B	1.43B
Gross Profit	638.62M	653.35M	625.53M	593.77M	691.46M	605.85M
EBITDA	79.69M	84.71M	-45.06M	63.83M	118.95M	77.69M
Net Income	6.00M	6.23M	-130.68M	-12.53M	33.37M	10.84M
Balance Sheet
Total Assets	800.64M	765.48M	811.48M	1.08B	1.04B	1.05B
Cash, Cash Equivalents and Short-Term Investments	21.25M	16.18M	25.31M	39.56M	34.30M	33.93M
Total Debt	35.59M	262.43M	278.15M	373.76M	292.19M	332.56M
Total Liabilities	575.52M	526.26M	569.89M	701.40M	629.94M	675.80M
Stockholders Equity	225.12M	239.22M	241.59M	380.75M	406.70M	369.70M
Cash Flow
Free Cash Flow	5.24M	15.37M	95.65M	-68.17M	45.33M	61.48M
Operating Cash Flow	48.70M	53.14M	130.56M	-36.37M	70.57M	91.63M
Investing Cash Flow	-40.74M	-35.04M	-34.91M	-29.84M	-25.24M	-30.15M
Financing Cash Flow	-11.41M	-26.59M	-110.11M	73.46M	-45.09M	-103.08M

Lands' End Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 15.95
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LE, the sentiment is Positive. The current price of 15.95 is above the 20-day moving average (MA) of 15.80, above the 50-day MA of 15.44, and above the 200-day MA of 13.12, indicating a bullish trend. The MACD of 0.73 indicates Negative momentum. The RSI at 60.33 is Neutral, neither overbought nor oversold. The STOCH value of 63.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for LE.

Lands' End Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BBW	80 Outperform	$772.61M	13.78	41.18%	1.52%	6.16%	15.74%
BWMX	71 Outperform	$670.21M	12.89	79.76%	8.47%	-7.03%	1.04%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
LE	59 Neutral	$542.59M	47.79	5.17%	―	-8.47%	―
BNED	49 Neutral	$304.78M	-33.90	-3.86%	―	1.38%	63.65%
BBBY	45 Neutral	$406.90M	-2.10	-72.72%	―	-27.23%	62.19%

Lands' End Corporate Events

Lands’ End Forms IPCo, Sells Stake to WHP Global

On January 26, 2026, Lands’ End entered into an agreement to contribute all of its “Lands’ End” brand intellectual property and related licensing assets into a new subsidiary, IPCo, and then sell a 50% controlling stake in IPCo to WHP Global’s subsidiary for $300 million in cash, with the proceeds earmarked in part to repay its outstanding term loan. WHP will also launch a concurrent tender offer to buy up to 2,222,222 Lands’ End shares at $45 per share, potentially taking a roughly 7% equity stake, while the deal structure gives WHP board control over IPCo, sets up detailed governance and exit mechanics tied to WHP Topco monetization events, and locks Lands’ End into a long-term, royalty-bearing exclusive license for its core products in key markets—together signaling a significant balance-sheet deleveraging, a strategic shift to an asset-light, brand-management model, and a tighter alignment with WHP that could reshape economics for shareholders and other stakeholders over time.

The most recent analyst rating on (LE) stock is a Hold with a $14.50 price target. To see the full list of analyst forecasts on Lands’ End stock, see the LE Stock Forecast page.

Lands’ End Forms WHP Global Joint Venture, Delevers Balance Sheet

On January 26, 2026, Lands’ End and brand management firm WHP Global agreed to form a 50/50 joint venture that will house all intellectual property associated with the Lands’ End brand, with WHP paying $300 million in cash for a controlling stake and leading global licensing and brand expansion while Lands’ End continues to operate its existing direct-to-consumer and B2B businesses under a long-term, royalty-bearing license. Lands’ End plans to use the proceeds, including approximately $234 million to fully repay its term loan, to significantly strengthen its balance sheet while retaining economic upside through royalties and potential future participation in WHP Global’s value creation, and WHP will also launch a tender offer of up to $100 million for Lands’ End shares at $45 per share, potentially taking ownership of up to about 7% of the company and aligning the partners’ interests in the brand’s long-term growth and global reach.

The most recent analyst rating on (LE) stock is a Hold with a $14.50 price target. To see the full list of analyst forecasts on Lands’ End stock, see the LE Stock Forecast page.