Levi Strauss & Co (LEVI) AI Stock Analysis

• Market Cap: $6.61B
• Dividend Yield: 3.11%
• Average Volume (3M): 1.90M
• Price to Earnings (P/E): 18.8
• Beta (1Y): 0.99
• Revenue Growth: 4.63%
• EPS Growth: 187.50%
• Country: US
• Employees: 18,700
• Sector: Consumer Cyclical
• Sector Strength: 58
• Industry: Apparel - Manufacturers
• EPS (TTM): 0.38
• Shares Outstanding: 104,585,526
• 10 Day Avg. Volume: 1,962,882
• 30 Day Avg. Volume: 1,900,537
• PEG Ratio: 3.10
• Price to Book (P/B): 3.35
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -163.72
• Enterprise Value/Market Cap: 1.22
• Enterprise Value/Revenue: 0.32
• Enterprise Value/Gross Profit: 2.08
• Enterprise Value/Ebitda: 3.22
• 1Y Price Target: $19.30
• Price Target Upside: 15.43% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 10

• Rating: 73 Outperform
• Price Target: $19.00 ▲(13.64%Upside)

Levi Strauss & Co's overall stock score is driven by its strong earnings call performance and positive corporate events. Solid financial health and attractive valuation support its resilience, while mixed technical indicators suggest a neutral short-term outlook.

Positive Factors

Brand Strength

Strong brand image and pricing power, with limited tariff exposure—which should help insulate the company from cost headwinds.

Shareholder Returns

Management plans to use proceeds from the sale to repurchase approximately $100MM of stock, which is expected to have a positive impact.

Strategic Focus

The sale of Dockers is seen as a positive move as it allows management to focus on its key Levi’s brand, which has been performing well.

Negative Factors

Beyond Yoga Business

There is a lack of confidence in the long-term prospects of the Beyond Yoga business.

Geographical Revenue Volatility

Revenue volatility by geography continued on Europe distribution challenges, though Americas and Asia outperformed.

Tariff Uncertainty

Potential impacts of tariffs are looming and not yet formally embedded in the fiscal year guidance, adding greater uncertainty.

Levi Strauss & Co Business Overview & Revenue Model

Company Description

Levi Strauss & Co. (LEVI) is a global leader in the apparel industry, renowned for its iconic denim jeans and casual wear. Founded in 1853 and headquartered in San Francisco, California, the company designs, markets, and sells a range of products, including jeans, casual and dress pants, tops, shorts, skirts, jackets, footwear, and related accessories for men, women, and children. Levi Strauss & Co. operates through a diversified supply chain, with its products available in over 100 countries through a mix of retail stores, e-commerce platforms, and third-party retailers.

How the Company Makes Money

Levi Strauss & Co. generates revenue primarily through the sale of its apparel products under various brand names, with Levi's being the most prominent. The company operates a multi-channel sales strategy, which includes direct-to-consumer sales through its branded retail stores and e-commerce platforms, as well as wholesale distribution through department stores, specialty retailers, and mass merchants. The direct-to-consumer channel allows the company to capture higher margins, while the wholesale channel provides broader market reach. Additionally, Levi Strauss & Co. engages in collaborations and partnerships with other brands and designers to create limited-edition collections, further driving brand visibility and sales. Key factors contributing to its earnings include brand strength, product innovation, effective marketing strategies, and global market penetration.

Levi Strauss & Co Financial Statement Overview

Summary

Levi Strauss & Co demonstrates solid financial health with stable margins and effective cash management, despite inconsistent revenue growth and negative recent free cash flow growth rates.

Income Statement

Levi Strauss & Co shows strong gross profit margins consistent with industry standards, though net profit margins are modest. Revenue growth has been fluctuating, with a slight decline recently in TTM data. The EBIT and EBITDA margins are stable, indicating efficient operational management.

Balance Sheet

The company's debt-to-equity ratio is manageable, reflecting a balanced use of leverage. Return on equity is moderate, suggesting decent profitability for shareholders. The equity ratio is stable, indicating a solid capital structure.

Cash Flow

Operating cash flow is robust relative to net income, suggesting strong cash generation capabilities. However, recent free cash flow growth rates have been negative, signaling caution. The company's ability to convert earnings into cash remains a key strength.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
6.33B	6.36B	6.18B	6.17B	5.76B	4.45B
	Gross Profit
3.86B	3.82B	3.52B	3.55B	3.35B	2.35B
	EBIT
527.70M	264.10M	353.30M	646.50M	686.21M	-17.18M
	EBITDA
649.90M	454.00M	476.40M	834.20M	796.31M	34.20M
	Net Income Common Stockholders
356.30M	210.60M	249.60M	569.10M	553.54M	-127.14M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
574.40M	690.00M	398.80M	500.20M	901.82M	1.59B
	Total Assets
6.20B	6.38B	6.05B	6.04B	5.90B	5.64B
	Total Debt
2.16B	2.21B	2.18B	2.08B	2.24B	2.66B
	Net Debt
1.58B	1.52B	1.78B	1.65B	1.43B	1.16B
	Total Liabilities
4.16B	4.41B	4.01B	4.13B	4.23B	4.34B
	Stockholders Equity
2.03B	1.97B	2.05B	1.90B	1.67B	1.30B
Cash Flow		Free Cash Flow
442.40M	670.90M	120.00M	-39.00M	570.32M	339.20M
	Operating Cash Flow
664.90M	898.40M	435.50M	228.10M	737.26M	469.59M
	Investing Cash Flow
-280.50M	-281.10M	-240.70M	-235.70M	-571.81M	-188.56M
	Financing Cash Flow
-322.30M	-319.30M	-214.10M	-365.40M	-840.89M	286.00M

Levi Strauss & Co Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 16.72
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LEVI, the sentiment is Negative. The current price of 16.72 is below the 20-day moving average (MA) of 17.48, above the 50-day MA of 16.33, and below the 200-day MA of 17.29, indicating a neutral trend. The MACD of 0.10 indicates Positive momentum. The RSI at 44.02 is Neutral, neither overbought nor oversold. The STOCH value of 33.35 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for LEVI.

Levi Strauss & Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LEVI	73 Outperform	$6.61B	18.81	18.03%	3.11%	4.63%	187.50%
PVH	72 Outperform	$3.01B	8.84	8.31%	0.24%	-3.63%	-37.24%
KTB	71 Outperform	$3.45B	15.22	56.32%	3.35%	1.19%	3.19%
COLM	63 Neutral	$3.41B	15.23	12.34%	2.01%	-1.69%	-4.01%
Sector *	62 Neutral	$6.82B	11.05	2.80%	4.32%	2.67%	-24.92%
VFC	53 Neutral	$4.52B	―	-2.39%	3.11%	-8.42%	57.91%
HBI	52 Neutral	$1.62B	―	-23.24%	―	-33.72%	-892.32%

Levi Strauss & Co Corporate Events

Levi Strauss Sells Dockers Business to Authentic Brands

On May 18, 2025, Levi Strauss & Co. announced an agreement to sell its Dockers business to Authentic Brands Group for an initial value of $311 million, potentially reaching $391 million based on future performance. This strategic move aligns with Levi’s focus on its direct-to-consumer approach and expanding its denim lifestyle brand, while returning $100 million from the proceeds to shareholders through share repurchases.

The most recent analyst rating on (LEVI) stock is a Buy with a $26.00 price target. To see the full list of analyst forecasts on Levi Strauss & Co stock, see the LEVI Stock Forecast page.

Levi Strauss Announces Leadership Transition in Finance

On April 30, 2025, Levi Strauss & Co. announced that Lisa Stirling, the Global Controller and Principal Accounting Officer, will transition to a new role as Vice President, U.S. and Canada Finance to further her career development. The company has initiated a search for her successor, and Stirling will maintain her current role until a replacement is found, ensuring a smooth transition. Her move is not due to any disagreements with the company’s accounting practices or policies.