olivLaw · US equity research
Levi Strauss & Co. LEVI
Apparel & Other Finishd Prods of Fabrics & Similar Matl · SIC 2300 · Vertical: Apparel & Other Finishd Prods of Fabrics & Similar Matl (SIC 2300)
Levi Strauss & Co. is one of the world's largest brand-name apparel companies, with the Levi's brand at the core of its business and over half of its revenues generated outside the United States. In recent quarters the company combined revenue growth with a rising Adjusted EBIT margin, and it raised its 2026 guidance.
At the close of 04 Nov 2026, Levi Strauss & Co. (LEVI) stock was 23.80 USD (+4.07% on the day), with market capitalisation 894.9 m USD, P/E 15.9 on diluted EPS of 1.50 USD over the last 12 months, dividend yield 2.44%, beta 1.35, 52-week range 17.91–25.53 USD. Latest reported quarter (Q3 2026): revenue of 1.6 bn USD (+4.3% YoY), net income of 168.6 m USD (−22.7% YoY), diluted EPS 0.43 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
Loading chart…
Technical reading
- RSI (14)
- 74.9
- overbought (≥ 70)
- Bollinger (20, 2)
- 18.31 – 23.90
- in the upper half of the band · %B 0.98 · band width 26.5%
- SMA 50 / 200
- 20.57 / 21.74
- mixed trend
- MACD (12, 26, 9)
- 0.77 / 0.47
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | +17.4% | −1.1% | +18.5 pp | — |
| 3 months | −3.8% | −0.5% | −3.4 pp | — |
| 6 months | +3.3% | +4.4% | −1.0 pp | — |
| Year to date | +14.8% | +12.3% | +2.4 pp | — |
| 1 year | +22.2% | +13.5% | +8.7 pp | +9.5% |
| 3 years | +64.3% | +76.4% | −12.2 pp | +2.9% |
| 5 years | −11.9% | +63.7% | −75.5 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q3 2026 · 30 Aug 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 1.7 bn | 1.5 bn | 1.4 bn | 1.5 bn | 1.8 bn | 1.7 bn | 1.6 bn | 1.6 bn |
| Cost of revenue | 668.9 m | 579.2 m | 540.2 m | 591.8 m | 693.0 m | 664.2 m | 582.9 m | 543.9 m |
| Gross profit | 1.1 bn | 947.6 m | 905.8 m | 951.6 m | 1.1 bn | 1.1 bn | 979.1 m | 1.1 bn |
| SG&A | 858.5 m | 749.3 m | 791.0 m | 775.6 m | 857.3 m | 871.7 m | 843.4 m | 835.9 m |
| Operating income | 208.5 m | 191.6 m | 108.0 m | 167.4 m | 210.6 m | 198.7 m | 122.2 m | 222.3 m |
| Depreciation & amortisation | 54.4 m | 49.2 m | 50.4 m ≈ | 51.8 m ≈ | 54.9 m | 55.6 m | 57.2 m ≈ | 54.8 m ≈ |
| Interest expense | 11.4 m | 10.9 m | 11.8 m | 12.5 m | 13.4 m | 13.1 m | 12.9 m | 12.9 m |
| Pre-tax income | 196.1 m | 176.6 m | 102.5 m | 156.2 m | 198.7 m | 228.2 m | 122.2 m | 220.1 m |
| Income tax | 15.7 m | 36.4 m | 22.9 m | 34.2 m | 38.5 m | 51.1 m | 27.4 m | 51.5 m |
| Net income | 182.6 m | 135.0 m | 67.0 m | 218.1 m | 158.0 m | 175.8 m | 87.3 m | 168.6 m |
| Diluted EPS | 0.46 ≈ | 0.34 | 0.17 | 0.55 | 0.40 ≈ | 0.45 | 0.22 | 0.43 |
| Operating cash flow | 297.3 m | 52.5 m | 185.5 m ≈ | 24.8 m ≈ | 266.8 m | 211.5 m | 270.8 m ≈ | 102.9 m ≈ |
| Capex | 65.7 m | 66.6 m | 39.5 m ≈ | 64.2 m ≈ | 51.1 m | 59.4 m | 39.9 m ≈ | 58.6 m ≈ |
| Dividends paid | 51.4 m | 51.4 m | 51.4 m | 55.4 m | 54.7 m | 53.8 m | 53.9 m | 61.6 m |
| Share repurchases | 30.4 m | 30.0 m | 500.0 k ≈ | 0 ≈ | 0 | 0 | 0 ≈ | 0 ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 42 percentile of its own 26-quarter history (min 11.5, median 17.3, max 64.1; quarters with earnings only).
Fiscal years
| Fiscal year | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 5.6 bn | 5.8 bn | 4.5 bn | 5.8 bn | 6.2 bn | 5.8 bn | 6.0 bn | 6.3 bn |
| Revenue YoY | +13.7% | +3.4% | −22.7% | +29.5% | +7.0% | −5.3% | +3.3% | +4.1% |
| Net income | 283.1 m | 394.6 m | -127.1 m | 553.5 m | 569.1 m | 249.6 m | 210.6 m | 578.1 m |
| Net income YoY | +0.6% | +39.4% | −132.2% | unavailable | +2.8% | −56.1% | −15.6% | +174.5% |
| Diluted EPS | 0.73 | 0.97 | -0.32 | 1.35 | 1.41 | 0.62 | 0.52 | 1.45 |
| Diluted EPS YoY | 0.0% | +32.9% | −133.0% | unavailable | +4.4% | −56.0% | −16.1% | +178.8% |
| net % | 5.1% | 6.8% | -2.9% | 9.6% | 9.2% | 4.3% | 3.5% | 9.2% |
| Free cash flow | 261.0 m | 236.8 m | 339.2 m | 570.4 m | -39.0 m | 121.9 m | 670.9 m | 308.2 m |
Reported results vs expectations
Loading…
Balance sheet & financial health
Fiscal year 2025 · 30 Nov 2025
- Cash
- 757.9 m USD
- Financial debt
- 1.0 bn USD
- Net debt
- 281.3 m USD
- Equity
- 2.3 bn USD
- Total assets
- 6.8 bn USD
- Debt / equity
- 0.46x
- Current ratio
- 1.55x
- ROE
- 27.2%
- ROA
- 8.7%
- FCF margin
- 4.9%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 4.5 bn | 5.8 bn | 6.2 bn | 5.8 bn | 6.0 bn | 6.3 bn | SEC (XBRL)· 28 Jan 2026verified |
| Cost of revenue | 2.1 bn | 2.4 bn | 2.6 bn | 2.5 bn | 2.4 bn | 2.4 bn | SEC (XBRL)· 28 Jan 2026verified |
| Gross profit | 2.4 bn | 3.3 bn | 3.5 bn | 3.4 bn | 3.7 bn | 3.9 bn | SEC (XBRL)· 28 Jan 2026verified |
| SG&A | 2.3 bn | 2.7 bn | 2.9 bn | 2.9 bn | 3.1 bn | 3.2 bn | SEC (XBRL)· 28 Jan 2026verified |
| Operating income | -85.1 m | 686.2 m | 646.5 m | 354.4 m | 262.7 m | 677.6 m | SEC (XBRL)· 28 Jan 2026verified |
| Depreciation & amortisation | 141.8 m | 143.2 m | 158.9 m | 165.3 m | 193.2 m | 206.3 m | SEC (XBRL)· 28 Jan 2026verified |
| EBITDA | 56.7 m ≈ | 829.4 m ≈ | 805.4 m ≈ | 519.7 m ≈ | 455.9 m ≈ | 883.9 m ≈ | SEC (XBRL)· 28 Jan 2026derived |
| Interest expense | 82.2 m | 72.9 m | 25.7 m | 45.9 m | 41.8 m | 48.6 m | SEC (XBRL)· 28 Jan 2026verified |
| Pre-tax income | -189.7 m | 580.2 m | 649.6 m | 266.3 m | 217.6 m | 634.0 m | SEC (XBRL)· 28 Jan 2026verified |
| Income tax | -62.6 m | 26.7 m | 80.5 m | 15.7 m | 7.2 m | 132.0 m | SEC (XBRL)· 28 Jan 2026verified |
| Net income | -127.1 m | 553.5 m | 569.1 m | 249.6 m | 210.6 m | 578.1 m | SEC (XBRL)· 28 Jan 2026verified |
| Diluted EPS | -0.32 | 1.35 | 1.41 | 0.62 | 0.52 | 1.45 | SEC (XBRL)· 28 Jan 2026verified |
| Weighted average diluted shares | 397.3 m | 409.8 m | 403.8 m | 401.7 m | 402.4 m | 399.7 m | SEC (XBRL)· 28 Jan 2026verified |
| Dividend per share | 0.16 | 0.26 | 0.44 | 0.48 | 0.50 | 0.54 | SEC (XBRL)· 28 Jan 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 1.5 bn | 810.3 m | 429.6 m | 398.8 m | 690.0 m | 757.9 m | SEC (XBRL)· 28 Jan 2026verified |
| Receivables | 540.2 m | 707.6 m | 697.0 m | 752.7 m | 710.0 m | 774.7 m | SEC (XBRL)· 28 Jan 2026verified |
| Inventories | 817.7 m | 898.0 m | 1.4 bn | 1.3 bn | 1.1 bn | 1.2 bn | SEC (XBRL)· 28 Jan 2026verified |
| Current assets | 3.1 bn | 2.7 bn | 2.8 bn | 2.6 bn | 2.9 bn | 3.2 bn | SEC (XBRL)· 28 Jan 2026verified |
| Property, plant & equipment, net | 454.5 m | 502.6 m | 622.8 m | 680.7 m | 687.4 m | 681.8 m | SEC (XBRL)· 28 Jan 2026verified |
| Goodwill | 264.8 m | 386.9 m | 365.7 m | 303.7 m | 277.6 m | 280.6 m | SEC (XBRL)· 28 Jan 2026verified |
| Intangibles (excl. goodwill) | 47.4 m | 291.3 m | 286.7 m | 267.6 m | 196.6 m | 194.4 m | SEC (XBRL)· 28 Jan 2026verified |
| Total assets | 5.6 bn | 5.9 bn | 6.0 bn | 6.1 bn | 6.4 bn | 6.8 bn | SEC (XBRL)· 28 Jan 2026verified |
| Accounts payable | 375.5 m | 524.8 m | 657.2 m | 567.9 m | 663.4 m | 597.6 m | SEC (XBRL)· 28 Jan 2026verified |
| Short-term debt | 17.6 m | 5.9 m | 11.7 m | 12.5 m | 5.5 m | 0 | SEC (XBRL)· 28 Jan 2026verified |
| Long-term debt | 1.5 bn | 1.0 bn | 984.5 m | 1.0 bn | 994.0 m | 1.0 bn | SEC (XBRL)· 28 Jan 2026verified |
| Current liabilities | 1.5 bn | 1.9 bn | 2.0 bn | 1.8 bn | 2.0 bn | 2.0 bn | SEC (XBRL)· 28 Jan 2026verified |
| Total liabilities | 4.3 bn | 4.2 bn | 4.1 bn | 4.0 bn | 4.4 bn | 4.6 bn | SEC (XBRL)· 28 Jan 2026verified |
| Equity | 1.3 bn | 1.7 bn | 1.9 bn | 2.0 bn | 2.0 bn | 2.3 bn | SEC (XBRL)· 28 Jan 2026verified |
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | 469.6 m | 737.3 m | 228.1 m | 435.5 m | 898.4 m | 529.6 m | SEC (XBRL)· 28 Jan 2026verified |
| Capex | 130.4 m | 166.9 m | 267.1 m | 313.6 m | 227.5 m | 221.4 m | SEC (XBRL)· 28 Jan 2026verified |
| Free cash flow | 339.2 m ≈ | 570.4 m ≈ | -39.0 m ≈ | 121.9 m ≈ | 670.9 m ≈ | 308.2 m ≈ | SEC (XBRL)· 28 Jan 2026derived |
| Investing cash flow | -188.6 m | -571.8 m | -235.7 m | -240.7 m | -281.1 m | -68.7 m | SEC (XBRL)· 28 Jan 2026verified |
| Financing cash flow | 286.0 m | -840.9 m | -365.4 m | -214.1 m | -319.3 m | -400.2 m | SEC (XBRL)· 28 Jan 2026verified |
| Dividends paid | 63.6 m | 104.4 m | 174.3 m | 190.5 m | 198.5 m | 212.9 m | SEC (XBRL)· 28 Jan 2026verified |
| Share repurchases | 56.2 m | 85.9 m | 175.7 m | 8.1 m | 90.1 m | 30.5 m | SEC (XBRL)· 28 Jan 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
Score: 66 / 100
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 894.9 m USD
Key indicators
Coverage and freshness
Score by group
- Valuation84
- Balance sheet50
- Quality88
- Growth6
- Returns100
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 7.10 – 610.62 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)301.29 – 610.62 (Mid 402.37)WACC 6.8% · starting FCFF 683.8 m USD · terminal value share of EV 81%The WACC × g sensitivity gives the method's bounds; these are not probabilities.Reverse DCF: no growth between −30% and +40% justifies the price
- Peers: EV/EBITDA97.89 – 331.41 (Mid 141.04)6 companies used · median multiple 5.8x · quartiles 4.2x – 13.2xAS, CRI, GIII, GIL, JRSH, LULU
- Peers: P/E16.66 – 50.72 (Mid 24.82)11 companies used · median multiple 16.6x · quartiles 11.1x – 33.9xAS, BRIA, COLM, CRI, FIGS, GIII, GIL, JRSH, LULU, NCI, SGC
- Dividend discount (DDM)7.10 – 9.54 (Mid 8.14)
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Neutral profile · Score 66/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 21.7% | 82 (vs peers) | 10% |
| Net margin · Quality | 8.8% | 88 (vs peers) | 6% |
| FCF conversion · Quality | 109.0% | 100 (on a fixed band) | 6% |
| Revenue CAGR 3Y · Growth | 0.6% | 5 (on a fixed band) | 8% |
| EPS CAGR 3Y · Growth | 0.9% | 6 (on a fixed band) | 8% |
| Net debt / EBITDA · Balance sheet | 0.4x | 13 (vs peers) | 10% |
| Interest coverage · Balance sheet | 14.4x | 100 (on a fixed band) | 6% |
| Current ratio · Balance sheet | 1.6x | 69 (on a fixed band) | 4% |
| P/E (TTM) · Valuation | 15.9x | 55 (vs peers) | 10% |
| EV/EBITDA · Valuation | 1.3x | 100 (vs peers) | 10% |
| FCF yield · Valuation | 71.8% | 100 (on a fixed band) | 8% |
| Shareholder yield (distributions) · Returns | 25.0% | 100 (on a fixed band) | 6% |
| Payout ratio (FCF) · Returns | 34.8% | 100 (on a fixed band) | 4% |
Score groups
- Balance sheet50/100 · 3/3 factors with a value
- Growth6/100 · 2/2 factors with a value
- Quality88/100 · 3/3 factors with a value
- Returns100/100 · 2/2 factors with a value
- Valuation84/100 · 3/3 factors with a value
Memo
LEVI STRAUSS & CO (LEVI). Latest full fiscal year: 2025; data up to 2026-08-30.
Figures computed from the financial statements: revenue 6.3 bn USD in 2025; YoY growth 4.1%; net margin 8.8%; ROE 25.8%; net debt/EBITDA 0.4x.
The estimated value range is 57.27–191.06 USD per share (median of 4 methods, agreement: low); assumptions are illustrative. Against the central value of 82.93 USD, the price of 23.80 USD leaves a potential of 248.4% (value / price − 1) and a margin of safety of 71.3% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 66/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- ROIC: 21.7%
- Net margin: 8.8%
- FCF conversion: 109.0%
- Interest coverage: 14.4x
- EV/EBITDA: 1.3x
- FCF yield: 71.8%
- Shareholder yield (distributions): 25.0%
- Payout ratio (FCF): 34.8%
- The price is below the estimated value range
What contradicts it
- Revenue CAGR 3Y: 0.6%
- EPS CAGR 3Y: 0.9%
- Net debt / EBITDA: 0.4x
- The valuation methods diverge
Versus the vertical median
Apparel & Other Finishd Prods of Fabrics & Similar Matl (SIC 2300) · same industry (4-digit SIC) · compared with 16 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| ASAmer Sports, Inc. | 17.9 bn | 42.2 | 7.9% | 6.5% | +26.7% | −14% / unavailable |
| LULUlululemon athletica inc. | 11.8 bn | 9.2 | 30.9% | 12.8% | +4.9% | −39% / −75% |
| GILGildan Activewear Inc. | 8.0 bn | 16.6 | 15.9% | 11.0% | +10.7% | −22% / +19% |
| COLMColumbia Sportswear Company | 3.6 bn | 18.4 | 12.7% | 6.0% | +0.9% | +32% / −9% |
| GIIIG III Apparel Group Ltd | 1.4 bn | 10.8 | 7.7% | 4.8% | −7.0% | +14% / +15% |
| CRICarter’s, Inc. | 1.2 bn | 5.5 | 22.9% | 7.4% | unavailable | +5% / −51% |
| LEVILevi Strauss & Co | 894.9 m | 15.9 | 25.8% | 8.8% | +4.1% | +22% / +64% |
| SGCSuperior Group Of Companies, Inc. | 224.5 m | 25.6 | 4.3% | 1.4% | +0.1% | +45% / +18% |
| JRSHJerash Holdings (US), Inc. | 73.8 m | 15.3 | 7.6% | 2.8% | +14.0% | +87% / +103% |
| PASWPing An Biomedical Co., Ltd. | 60.1 m | — | -28.4% | -37.6% | unavailable | +541% / unavailable |
| BRIABrilliA Inc | 34.5 m | 11.5 | 21.5% | 4.4% | +15.1% | −23% / unavailable |
| NCINeo-Concept International Group Holdings Limited | 12.8 m | 63.1 | 0.6% | 0.2% | −41.9% | −93% / unavailable |
| LANVLanvin Group Holdings Limited | — | — | -200.4% | -50.3% | −22.9% | −60% / −79% |
| FIGSFIGS, Inc. | 0 | 67.0 | 14.8% | 8.7% | +13.6% | +124% / +202% |
| ZGNErmenegildo Zegna N.V. | — | — | 10.1% | 5.1% | −1.5% | +39% / +30% |
| GOOSCanada Goose Holdings Inc. | — | — | 19.8% | 7.0% | +1.1% | −36% / −20% |
| UAUnder Armour, Inc. | — | — | -29.8% | -10.0% | −3.8% | +26% / −27% |
1- and 3-year price returns: for LEVI from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 141.59 Total return 514% · Per year 514% | 250.81 Total return 980% · Per year 980% | 378.46 Total return 1,521% · Per year 1,521% |
| 3 years | 126.88 Total return 488% · Per year 80% | 253.88 Total return 1,044% · Per year 125% | 422.11 Total return 1,772% · Per year 166% |
| 5 years | 113.70 Total return 465% · Per year 41% | 256.98 Total return 1,110% · Per year 65% | 470.79 Total return 2,051% · Per year 85% |
- Exit P/E± 63.47
- Net margin± 44.43
- Annual revenue growth± 37.88
- Annual dilution± 3.73
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
Levi Strauss & Co. is one of the world's largest brand-name apparel companies, with the Levi's brand at the core of its business and over half of its revenues generated outside the United States 1. In recent quarters the company combined revenue growth with a rising Adjusted EBIT margin, and it raised its 2026 guidance 23.
SWOT
Strengths
- The Levi's brand has global recognition and a leading position in jeans, supported by a broad distribution network.
- The company has geographic and channel diversification, which reduces dependence on a single market.
- Organic growth and margin expansion in 2026 show management's execution capability.
Weaknesses
- The DTC channel fell short of internal expectations in the third quarter of 2026, pointing to execution vulnerabilities.
- Dependence on one main brand makes the company sensitive to changes in consumer tastes.
- Restructuring and the logistics transition have generated costs and delivery delays.
Opportunities
- Growth in Asia and in lifestyle categories beyond jeans could open new revenue sources.
- Expanding the company-operated store network and e-commerce could support margins over the long term.
- The Beyond Yoga® brand has growth potential in the premium athleisure segment.
Threats
- Trade tariffs and retaliation could raise product costs and reduce demand.
- Inflationary pressure and reduced discretionary consumer spending could affect sales.
- Currency fluctuations can change reported results, because a large share of revenues comes from outside the US.
Risks
- Macroeconomic and consumer riskshigh
Discretionary consumer spending could decline, which could reduce demand and pressure prices 1.
- Currency exposuremedium
A significant portion of revenues is generated in currencies other than the dollar, which can affect reported results 1.
- Tariffs and international tradehigh
Changes in trade policy could raise import costs and affect gross margin 12.
- Customer financial healthmedium
Financial difficulties at retailers could lead to lower orders, late payments or insolvencies 1.
- Dependence on third-party logisticsmedium
Disruptions at outsourced logistics providers could affect deliveries and customer satisfaction 1.
Investment thesis
What would need to be true (bull case)
- If the margin expansion seen in 2026 is sustained, the company could reach its long-term margin target sooner.
- International growth and the wholesale channel could offset weakness in the US and in DTC.
- If the DTC First strategy regains momentum, e-commerce could become a growth engine with better margins.
What would break the thesis
- If tariffs intensify, import costs could reduce gross margin more than expected.
- If consumers cut discretionary spending, demand for premium jeans could fall.
- If tariff refunds are fully reinvested, the profitability benefit could remain temporary.
What to watch
- Delivery of the Adjusted EBIT and adjusted EPS guidanceQ4 2026
- Evolution of DTC sales during the holiday seasonQ4 2026
- Final effect of tariffs and IEEPA refunds on margins2027
- Pace of growth in Asia and in the wholesale channelQ1 2027
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
The company designs, markets and sells jeans, casual and dress pants, activewear, tops, skirts and accessories under the Levi's®, Levi Strauss Signature™ and Beyond Yoga® brands, after the sale of the Dockers® business in 2026 12. Products are sold in approximately 120 countries through about 50,000 retail locations 1. The Levi's brand accounts for about 94% of revenues 12.
The strategy rests on three pillars: a brand-led approach, a DTC-first model and portfolio expansion (Power the Portfolio), supported by operational excellence 1. The company aims for mid-single-digit annual net revenue growth and an Adjusted EBIT margin of approximately 15% over the long term 1.
The wholesale channel generated 51% of revenues in the first nine months of 2026, and the DTC channel 49% 2. The company-operated store network grew to 1,261 stores as of August 30, 2026 2.
Segments
Americas
In the third quarter of 2026, Americas revenues rose 4% as reported and 2% organically, to 839 million USD, while operating income rose 32% 3.
Market context
More than half of revenues come from outside the United States, and in the first nine months of 2026 international revenues represented 60% of the total 12. The company operates in more than 120 countries, in a global jeans and casual apparel market that remains competitive 1.
Demand depends on discretionary consumer spending, while trade tariffs and raw material prices such as cotton can affect margins 1.
Trends
- Growth of DTC and e-commercetailwind
E-commerce grew 10% in the third quarter of 2026, suggesting that the DTC First strategy could support margins over the long term 3.
- Reinvestment of tariff refundsmixed
IEEPA tariff refunds improved quarterly margins, but part was reinvested in promotion, which limits the net impact on profit 3.
- Tariffs and global tradeheadwind
New tariffs on imports into the US and retaliation by other countries have raised inventory costs and create uncertainty for production in Bangladesh, Pakistan, Cambodia and Vietnam 1.
- Shift of logistics to third-party providersmixed
Moving distribution centers to third-party operators can cause delays and transition costs, but could lower the cost structure over the long term 1.
Competitive position
The branded apparel market is dominated by large companies with global distribution networks and strong brands, and competition centers on price, promotion and the in-store and online shopping experience. The sources provided do not explicitly name competitors, so the list below is limited.
Levi's remains the global leader in jeans by retail sales, but the advantage could erode if the brand loses relevance with younger consumers 1.
- Wholesale retailers and department stores
The wholesale channel represents 51% of revenues, and pressure from large customers can affect commercial terms 12.
- Specialty stores and pure-play online retailers
These channels distribute competing products and can influence the brand's share in stores and online 1.
- Casual and athleisure apparel brands
Competition in the athleisure segment directly affects the Beyond Yoga® brand 1.
- Retailers' private-label brands
Mass-market products can compete on price, especially in the value segment 1.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
Loading the links…
News & filings
In the press
- CNBC TEC Summit live updates: Cisco, Levi's executives discuss AI risks and costsCNBC — Top News · 28 Oct 2026 · EN
- PepsiCo Lowers Guidance; Levi Strauss Sales Growth Disappoints | Stock MoversBloomberg Markets · 08 Oct 2026 · EN
- Levi Strauss hikes profit guidance after tariff refunds, but its sales outlook is less optimisticCNBC — Top News · 07 Oct 2026 · EN
- WSJ рассказала о возрождении Levi's и большом риске компанииRBC News (RU business+politics) · 05 Oct 2026 · RU
- Attackers pick Levi's pockets in social engineering attackThe Register · 10 Aug 2026 · EN
- Corporate Data Stolen in Levi Strauss CyberattackSecurityWeek · 10 Aug 2026 · EN
- Levi Strauss & Co. says hackers stole corporate data in cyberattackBleepingComputer · 07 Aug 2026 · RO
- Levi Strauss: Asia Key Growth Engine in $10B Rev. GoalBloomberg Markets · 31 Jul 2026 · EN
- Levi Strauss beats quarterly expectations, raises guidance and dividendCNBC World · 08 Jul 2026 · EN
SEC filings
- Current report07 Oct 2026Results of operations · Financial statements and exhibits
- Quarterly report07 Oct 2026
- Current report30 Sept 2026Departure or appointment of officers · Regulation FD disclosure · Financial statements and exhibits
- Current report18 Aug 2026Departure or appointment of officers
- Current report07 Aug 2026Other events
- Quarterly report08 Jul 2026
- Current report08 Jul 2026Results of operations · Financial statements and exhibits
- Current report15 Jun 2026Departure or appointment of officers
- Current report27 Apr 2026Shareholder vote
- Current report27 Apr 2026Amendments to articles or bylaws · Financial statements and exhibits
Sources
- [1] Form 10-K, fiscal year ended 2025-11-30 · SEC / Levi Strauss & Co. · 28 Jan 2026
- [2] Form 10-Q, quarter ended 2026-08-30 · SEC / Levi Strauss & Co. · 07 Oct 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / Levi Strauss & Co. · 07 Oct 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.