Brand LoyaltyLSF has strong brand loyalty with roughly 80% of DTC net sales from either subscribers or repeat users.
Financial PerformanceLSF reported better-than-expected gross margins despite industry headwinds, providing flexibility for trade promotion investments or delaying price increases.
ValuationThe company has an attractive valuation with shares currently trading at an EV/revenue multiple below the peer average, which is justified due to LSF's above peer-average projected revenue growth, synergistic product portfolio, and premium brand reputation.