| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 81 | 12.4x | 17.8x | Top tier | |
Growth | 72 | 7.3% | 7.1% | Top tier | |
Quality | 83 | 12.3% | 4.5% | Top tier | |
Safety | 74 | 1.4x | 2.6x | Top tier | |
Capital Return | 46 | 2.70% | 2.12% | Around median | |
Momentum | 52 | 6.7% | 2.9% | Around median | |
Sentiment | 82 | 10 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Levi Strauss & Co. is transforming its model from a company focused on denim bottoms into a comprehensive modern apparel company led by the Levi's brand, with additional brands including value-oriented Signature and Beyond Yoga. The company generates revenue through direct-to-consumer and wholesale channels; direct-to-consumer accounted for 51% of Q2 fiscal 2026 revenue after growing 8%, while global wholesale grew 3%. International markets represent about 60% of the business, while the company is expanding its sources of growth through women's apparel, tops, and categories beyond denim bottoms.
In Q2 fiscal 2026, revenue according to EDGAR filings was about $1.6 billion, gross profit was $979.1 million, net income was $87.3 million, and earnings per share were $0.22. On the operating basis presented by management, reported revenue rose 8% and organic revenue rose 6%, and gross margin reached 62.7%, up 10 basis points, while adjusted EBIT margin increased 70 basis points to 9% and adjusted EBIT dollars grew 18%. Adjusted earnings per share were $0.28, up 27% year over year.
Growth was broad-based in Q2 fiscal 2026: Asia rose 12%, the Americas 7%, and the United States 5% according to the segment presentation, while reported Europe declined 1% due to the impact of the distribution center transition in the prior year. At the product level, women's apparel rose 11%, denim bottoms 6%, and tops 5%, while newly added addressable-market categories contributed about one-third of revenue growth. This mix supports higher profitability, as the company reduced inventory by 7% and increased adjusted free cash flow by about 80% to $231 million.
The analyst consensus is "Buy," with an average price target of $28.8 and a range between $27 and $34; the average is about 12% above the 52-week range high of $25.7, while the stock's annual range is between $17.72 and $25.7. This target reflects expectations for continued growth in direct-to-consumer and women's apparel and margin expansion, but the narrow gap between the lowest target and the average does not eliminate tariff risks or the dependence of second-half fiscal 2026 improvement on distribution savings and expense discipline.
Figures in the text are as of 2026-08-30; the live price is shown at the top of the page.
Organic revenue rose 6% and reported revenue rose 8% in Q2 fiscal 2026, with direct-to-consumer growth of 8% and wholesale growth of 3%. Asia led regional expansion with 12% growth, while women's apparel rose 11% and denim bottoms rose 6%. Expanded categories, such as tops, summer apparel, and products beyond denim bottoms, contributed about one-third of revenue growth.
Direct-to-consumer accounted for 51% of Q2 fiscal 2026 revenue and grew 8%, with comparable sales rising 6% for the seventeenth consecutive quarter of growth. E-commerce rose 17% due to increased traffic, improved conversion, higher units and average selling price, and fewer promotions. Despite e-commerce growing by about 60% during the three years preceding the call, it still represents about 12% of revenue, giving the company additional room to expand.
The company expects reported revenue growth of between 7% and 7.5% and organic revenue growth of between 5.5% and 6% in fiscal 2026. It also targets gross margin expansion of about 10 basis points, an adjusted EBIT margin of 12%, and adjusted earnings per share of between $1.46 and $1.52. For Q3 fiscal 2026, it expects revenue growth of between 4% and 5% and adjusted earnings per share of between $0.34 and $0.36.
Automated analysis for informational purposes only — not investment advice.
Q2 fiscal 2026 results indicate tangible progress, as tops rose 5% or 7% excluding the impact of the European distribution center transition, while shorts rose 11%. Beyond Yoga grew 16%, and the new linen collection helped expand it into modern apparel beyond traditional activewear. BlueTab also grew 40% for the second consecutive quarter, and the company is expanding it from denim bottoms into tops, jackets, and sweaters.
The fiscal 2026 outlook assumes additional tariffs of 30% on U.S. imports from China and 20% on imports from the rest of the world. Tariffs and currency pressured Q2 fiscal 2026 margin, although lower product costs and pricing actions allowed gross margin to increase 10 basis points to 62.7%. The outlook does not include any benefit from about $80 million in potential tariff refunds because the timing of the refund and the tariff environment were unresolved as of the July 8, 2026 call.
The average analyst price target is $28.8, with a low target of $27 and a high target of $34, and a consensus rating of "Buy." The average is about 12% above the 52-week range high of $25.7, reflecting expectations that exceed the best levels within that range. Achieving this outlook depends on delivering the fiscal 2026 guidance, particularly the 12% adjusted EBIT margin and reported revenue growth of between 7% and 7.5%, while tariffs and distribution center transitions remain among the key risks.
