Levi Strauss & Co (LEVI)
NYSEConsumer DiscretionaryApparel - ManufacturersSnapshot 2026-09-04
$21.06+1.74%
Close 2026-09-04 · 1-day change
NYSEConsumer DiscretionaryApparel - ManufacturersSnapshot 2026-09-04
Warn: Primary pillar under pressure — Adjusted EBIT margin expands to approximately 12%: FY26 operating margin guidance 12.0% vs 12% target.
Levi Strauss raised its 2026 revenue outlook to $5.5-$6.5 billion. Profit margin target is about 12%. EPS guidance is $1.42 to $1.48 per share. The company shows progress with revenue growing from $1.44B to $1.74B in recent quarters.
Job cuts and warehouse closure may hurt revenue and margin goals. A lawsuit could damage brand and sales. Management changes add uncertainty. Guidance was recently cut, signaling risks to growth.
The price is about 12% above our fair value near $22. Analysts expect roughly 6% revenue growth. Our fair value is 19% below the Street median, reflecting cautious optimism versus more bullish consensus.
Breaks if: Adjusted diluted EPS falls below $1.42 in FY26
Breaks if: Significant unexpected management departures or governance issues arise
Adjusted EBIT margin falls below 10% in FY26
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
LEVI represents a durable compounder in the Consumer Discretionary sector. The current thesis state is intact, although it has faced some recent headwinds and mixed signals.
The market currently prices LEVI as relatively cheap compared to its peers, with a slight expectations gap. This suggests that investors may not be fully factoring in the potential for revenue and margin growth.
Management is focused on raising revenue and margin targets, showing progress in these areas. However, there is a moderate risk due to recent mixed earnings results and a low probability of missing future targets.
The thesis hinges on LEVI's ability to maintain its revenue growth and margin expansion while navigating sector challenges. Key factors include the performance of sector peers and the potential impact of inflation on consumer spending.
The most important moves since the prior daily snapshot.
Yes, our read has strengthened. The latest earnings beat supports a positive outlook. The company raised its full year 2026 net revenue outlook, reflecting strong international growth. There are no new threats impacting the thesis.
as of 2026-09-04
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
Breaks if: Full year revenue falls below $5.5 billion in FY26
In the next 1 to 3 years, LEVI's performance will depend on its execution against management's goals and external economic factors. Not investment advice.