Levi Strauss & Co. (LEVI) AI Stock Analysis

Levi Strauss & Co. designs, markets, and distributes apparel and accessories for men, women, and children across the Americas, Europe, and Asia. Its brand portfolio features Levi's, Dockers, Beyond Yoga, Signature by Levi Strauss & Co., and Denizen. Products include jeans, casual wear, activewear, tops, dresses, outerwear, and footwear. The company sells through its own retail channels, department stores, specialty shops, third-party retailers, and e-commerce platforms. Levi Strauss & Co. operates approximately 3,200 brand-dedicated stores and shop-in-shops globally, while also licensing its Levi's and Dockers trademarks for merchandise such as footwear, accessories, and children's wear.

Annual revenue grew from $5.76B in FY2021 to $6.28B in FY2025, recording a 5-year revenue CAGR of 7.1%. After dipping 1.2% in FY2025, net income rose to $578.1M with a net margin of 9.2% and gross margin reaching 61.7%. Operating margin improved from 4.2% in FY2024 to 10.8% in FY2025. Over the trailing twelve months ended August 31, 2026, revenue stood at $6.68B with an operating margin of 10.4% and diluted EPS of $1.52. In the latest quarter, revenue grew 4.3% year-over-year, while quarterly earnings declined 22.0%.

As of August 31, 2026, the company held $779.3M in cash and short-term investments against total debt of $2.33B, resulting in net debt of $1.55B. Shareholders' equity was $2.42B with total assets of $6.93B, a current ratio of 1.63, and a debt-to-equity ratio of 0.97. In FY2025, operations generated $545.7M in operating cash flow and $324.3M in free cash flow. Capital allocation in FY2025 included $221.4M for capital expenditures, $212.9M paid in dividends, and $150.5M spent on share buybacks, with share count decreasing 4.7% over 5 years.

LEVI trades at a trailing P/E of 13.4x, which is lower than the 18.0x median of its US-listed Consumer Cyclical peers. Its forward P/E stands at 16.8x compared to the peer median of 14.1x. The company has an enterprise value of $8.87B, an EV-to-EBITDA multiple of 9.1x versus the peer median of 11.1x, and a price-to-sales ratio of 1.2x. Over the past year, the stock returned -0.9%, trailing the S&P 500 return of 16.8%. Over 5 years, the stock returned -5.5% against an 83.0% gain for the S&P 500.

Levi Strauss & Co. pays a quarterly dividend with an annualized forward payout of $0.64 per share, translating to a dividend yield of 3.13%. The dividend is supported by a payout ratio of 37.7%. The company has paid dividends for 8 consecutive years, achieving a 5-year annualized dividend growth rate of 27.5%. Its last ex-dividend date was October 21, 2026.

Wall Street sentiment includes 7 Strong Buy, 5 Buy, and 3 Hold ratings, with no Sell or Strong Sell recommendations. The mean price target of $26.47 indicates an implied upside of 29.5% from the last close of $20.44. Analysts project FY2026 EPS of $1.57 on revenue of $6.74B, and FY2027 EPS of $1.66 on revenue of $7.04B. Levi Strauss & Co. beat EPS estimates in each of the last 4 quarters.

This page is an AI-written research summary of Levi Strauss & Co. (LEVI). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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