UBS Reiterates Buy Rating on Levi Strauss & Co. (LEVI)

UBS analyst Jay Sole reiterated a Buy rating and $20.00 price target on Levi Strauss & Co. (NYSE: LEVI).

The analyst commented, “We believe LEVI’s ongoing transformation into a global, multi-channel, lifestyle brand for both men and women from what traditionally was a North America, wholesale, men’s, denim business should continue to fuel share gains over the LT. We have greater conviction in this view after the announcement of the Dockers divestiture given it will allow LEVI to: 1) improve its organic revenue growth profile; 2) generate higher margins by lowering its cost structure; 3) further reduce its US wholesale exposure; and 4) simplify the business so it can focus on investing in the core Levi’s brand and Beyond Yoga business. Plus, the deal will give LEVI the ability to proceed with incremental share buybacks. Our view is once LEVI can convince the market it can consistently deliver +MSD% revenue growth at a healthy margin, its P/E should expand. We forecast an ~11% 5-yr EPS CAGR (FY24-FY29E).”

For an analyst ratings summary and ratings history on Levi Strauss & Co. click here. For more ratings news on Levi Strauss & Co. click here.

Shares of Levi Strauss & Co. closed at $17.84 yesterday.

You May Also Be Interested In

• Stripe, Advent In Talks To Buy Paypal - WSJ
• Air T reports revenue jump but widens operating loss in Q1 fiscal 2027
• Fiserv (FISV) PT Lowered to $60 at Freedom Broker