📊 LEVI Key Takeaways
Is LEVI a Good Investment? Thesis Analysis
Levi Strauss demonstrates strong operational improvement with net income surging 174.5% YoY and excellent profitability metrics (61.9% gross margin, 10.1% net margin), supported by robust free cash flow generation of $152.1M. However, modest 4.1% revenue growth and low returns on capital (ROE 8%, ROA 2.7%) present headwinds; sustainability of dramatic profit expansion requires verification to confirm underlying operational gains versus one-time benefits.
Why Buy LEVI? Key Strengths
- Exceptional profitability improvement: Net income +174.5% YoY, EPS +178.8% YoY indicating significant operational leverage
- Industry-leading gross margins of 61.9% demonstrate strong brand equity and pricing power
- Robust free cash flow of $152.1M with 8.7% FCF margin; operating cash flow well-covers capital expenditures
LEVI Investment Risks to Consider
- Slow organic revenue growth at 4.1% YoY limits enterprise value creation and suggests market saturation
- Suboptimal capital efficiency with ROE of 8% and ROA of 2.7% below acceptable hurdle rates
- Quick ratio of 0.97x indicates tight short-term liquidity; sustainability of net income spike must be verified as potentially driven by one-time items or cost cuts
Key Metrics to Watch
- Revenue growth acceleration trajectory and organic growth sustainability
- Quality of earnings: operating cash flow vs. net income divergence to confirm profitability sustainability
- Return on equity and return on assets improvement path
- Operating margin maintenance during potential revenue headwinds
LEVI Financial Metrics
💡 AI Analyst Insight
LEVI STRAUSS & CO presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
LEVI Profitability Ratios
LEVI vs Default Sector
How LEVI STRAUSS & CO compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is LEVI Overvalued or Undervalued?
Based on fundamental analysis, LEVI STRAUSS & CO has mixed fundamental signals relative to the Default sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
LEVI Balance Sheet & Liquidity
LEVI 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: LEVI STRAUSS & CO's revenue has shown modest growth of 9% over the 5-year period. The most recent EPS of $0.62 reflects profitable operations.
LEVI Growth Metrics (YoY)
LEVI Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $1.5B | N/A | $0.34 |
| Q3 2025 | $1.4B | N/A | $0.05 |
| Q2 2025 | $1.4B | N/A | $0.02 |
| Q1 2025 | $1.5B | -$10.6M | $-0.03 |
| Q3 2024 | $1.5B | $9.6M | $0.02 |
| Q2 2024 | $1.3B | -$1.6M | $0.00 |
| Q1 2024 | $1.6B | -$10.6M | $-0.03 |
| Q3 2023 | $1.5B | $9.6M | $0.02 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
LEVI Capital Allocation
LEVI SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for LEVI STRAUSS & CO (CIK: 0000094845)
📋 Recent SEC Filings
❓ Frequently Asked Questions about LEVI
What is the AI rating for LEVI?
LEVI STRAUSS & CO (LEVI) has an AI rating of BUY with 72% confidence, based on fundamental analysis of SEC EDGAR filings.
What are LEVI's key strengths?
Claude: Exceptional profitability improvement: Net income +174.5% YoY, EPS +178.8% YoY indicating significant operational leverage. Industry-leading gross margins of 61.9% demonstrate strong brand equity and pricing power.
What are the risks of investing in LEVI?
Claude: Slow organic revenue growth at 4.1% YoY limits enterprise value creation and suggests market saturation. Suboptimal capital efficiency with ROE of 8% and ROA of 2.7% below acceptable hurdle rates.
What is LEVI's revenue and growth?
LEVI STRAUSS & CO reported revenue of $1.7B.
Does LEVI pay dividends?
LEVI STRAUSS & CO pays dividends, with $53.8M distributed to shareholders in the trailing twelve months.
Where can I find LEVI SEC filings?
Official SEC filings for LEVI STRAUSS & CO (CIK: 0000094845) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is LEVI's EPS?
LEVI STRAUSS & CO has a diluted EPS of $0.45.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is LEVI a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, LEVI STRAUSS & CO has a BUY rating with 72% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is LEVI stock overvalued or undervalued?
Valuation metrics for LEVI: ROE of 8.0% (sector avg: 15%), net margin of 10.1% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy LEVI stock in 2026?
Our dual AI analysis gives LEVI STRAUSS & CO a combined BUY rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is LEVI's free cash flow?
LEVI STRAUSS & CO's operating cash flow is $211.5M, with capital expenditures of $59.4M. FCF margin is 8.7%.
How does LEVI compare to other Default stocks?
Vs Default sector averages: Net margin 10.1% (avg: 12%), ROE 8.0% (avg: 15%), current ratio 1.58 (avg: 1.8).