LEVI STRAUSS & CO- CLASS A (LEVI) Stock Fundamental Analysis
USA - NYSE:LEVI - US52736R1023 - Common Stock
23.18 USD
-0.11 (-0.47%)
LEVI gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 48 industry peers in the Textiles, Apparel & Luxury Goods industry. LEVI has an excellent profitability rating, but there are some minor concerns on its financial health. LEVI has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year LEVI was profitable.
In the past year LEVI had a positive cash flow from operations.
LEVI had positive earnings in 4 of the past 5 years.
Each year in the past 5 years LEVI had a positive operating cash flow.
1.2 Ratios
The Return On Assets of LEVI (6.20%) is better than 75.00% of its industry peers.
With a decent Return On Equity value of 19.39%, LEVI is doing good in the industry, outperforming 75.00% of the companies in the same industry.
The Return On Invested Capital of LEVI (12.92%) is better than 75.00% of its industry peers.
LEVI had an Average Return On Invested Capital over the past 3 years of 11.40%. This is in line with the industry average of 12.19%.
The 3 year average ROIC (11.40%) for LEVI is below the current ROIC(12.92%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.2% | ||
| ROE | 19.39% | ||
| ROIC | 12.92% |
ROA(3y)5.62%
ROA(5y)4.8%
ROE(3y)17.59%
ROE(5y)15.25%
ROIC(3y)11.4%
ROIC(5y)9.92%
1.3 Margins
The Profit Margin of LEVI (6.40%) is better than 79.17% of its industry peers.
In the last couple of years the Profit Margin of LEVI has declined.
LEVI has a Operating Margin of 11.78%. This is amongst the best in the industry. LEVI outperforms 81.25% of its industry peers.
LEVI's Operating Margin has been stable in the last couple of years.
With an excellent Gross Margin value of 61.48%, LEVI belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
In the last couple of years the Gross Margin of LEVI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.78% | ||
| PM (TTM) | 6.4% | ||
| GM | 61.48% |
OM growth 3Y-5.57%
OM growth 5Y0.79%
PM growth 3Y-29.86%
PM growth 5Y-13.51%
GM growth 3Y1.12%
GM growth 5Y2.21%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so LEVI is still creating some value.
The number of shares outstanding for LEVI has been reduced compared to 1 year ago.
The number of shares outstanding for LEVI has been increased compared to 5 years ago.
Compared to 1 year ago, LEVI has an improved debt to assets ratio.
2.2 Solvency
LEVI has an Altman-Z score of 3.14. This indicates that LEVI is financially healthy and has little risk of bankruptcy at the moment.
LEVI has a Altman-Z score of 3.14. This is in the better half of the industry: LEVI outperforms 62.50% of its industry peers.
The Debt to FCF ratio of LEVI is 2.84, which is a good value as it means it would take LEVI, 2.84 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 2.84, LEVI is doing good in the industry, outperforming 66.67% of the companies in the same industry.
A Debt/Equity ratio of 0.50 indicates that LEVI is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.50, LEVI perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 2.84 | ||
| Altman-Z | 3.14 |
ROIC/WACC1.25
WACC10.32%
2.3 Liquidity
A Current Ratio of 1.48 indicates that LEVI should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.48, LEVI is doing worse than 75.00% of the companies in the same industry.
LEVI has a Quick Ratio of 1.48. This is a bad value and indicates that LEVI is not financially healthy enough and could expect problems in meeting its short term obligations.
LEVI's Quick ratio of 0.85 is on the low side compared to the rest of the industry. LEVI is outperformed by 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.48 | ||
| Quick Ratio | 0.85 |
3. Growth
3.1 Past
LEVI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 25.44%, which is quite impressive.
LEVI shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -11.72% yearly.
Looking at the last year, LEVI shows a small growth in Revenue. The Revenue has grown by 4.28% in the last year.
Measured over the past years, LEVI shows a small growth in Revenue. The Revenue has been growing by 1.98% on average per year.
EPS 1Y (TTM)25.44%
EPS 3Y-5.04%
EPS 5Y-11.72%
EPS Q2Q%37.5%
Revenue 1Y (TTM)4.28%
Revenue growth 3Y3.31%
Revenue growth 5Y1.98%
Sales Q2Q%0.33%
3.2 Future
Based on estimates for the next years, LEVI will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.41% on average per year.
The Revenue is expected to grow by 2.69% on average over the next years.
EPS Next Y6.58%
EPS Next 2Y8.8%
EPS Next 3Y9.41%
EPS Next 5YN/A
Revenue Next Year-1.3%
Revenue Next 2Y1.72%
Revenue Next 3Y2.69%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 16.21, LEVI is valued correctly.
Based on the Price/Earnings ratio, LEVI is valued a bit cheaper than the industry average as 62.50% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 27.67. LEVI is valued slightly cheaper when compared to this.
Based on the Price/Forward Earnings ratio of 15.67, the valuation of LEVI can be described as correct.
LEVI's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 23.13. LEVI is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.21 | ||
| Fwd PE | 15.67 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as LEVI.
Based on the Price/Free Cash Flow ratio, LEVI is valued a bit cheaper than the industry average as 60.42% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.07 | ||
| EV/EBITDA | 9.93 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
LEVI has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.46
PEG (5Y)N/A
EPS Next 2Y8.8%
EPS Next 3Y9.41%
5. Dividend
5.1 Amount
LEVI has a Yearly Dividend Yield of 2.32%.
Compared to an average industry Dividend Yield of 3.20, LEVI pays a better dividend. On top of this LEVI pays more dividend than 81.25% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.41, LEVI has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.32% |
5.2 History
The dividend of LEVI is nicely growing with an annual growth rate of 11.52%!
LEVI has been paying a dividend for over 5 years, so it has already some track record.
LEVI has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)11.52%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
50.75% of the earnings are spent on dividend by LEVI. This is a bit on the high side, but may be sustainable.
The dividend of LEVI is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP50.75%
EPS Next 2Y8.8%
EPS Next 3Y9.41%
NYSE:LEVI (9/30/2025, 12:51:40 PM)
23.18
-0.11 (-0.47%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners86.35%
Inst Owner Change3.09%
Ins Owners2.45%
Ins Owner Change-0.41%
Market Cap9.17B
Analysts78.95
Price Target24.29 (4.79%)
Short Float %8.99%
Short Ratio4.04
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.32% |
Yearly Dividend0.5
Dividend Growth(5Y)11.52%
DP50.75%
Div Incr Years5
Div Non Decr Years5
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)46.98%
Min EPS beat(2)32.77%
Max EPS beat(2)61.2%
EPS beat(4)4
Avg EPS beat(4)24.96%
Min EPS beat(4)1.37%
Max EPS beat(4)61.2%
EPS beat(8)8
Avg EPS beat(8)21.34%
EPS beat(12)12
Avg EPS beat(12)18.98%
EPS beat(16)16
Avg EPS beat(16)17.8%
Revenue beat(2)1
Avg Revenue beat(2)0.43%
Min Revenue beat(2)-2.88%
Max Revenue beat(2)3.73%
Revenue beat(4)2
Avg Revenue beat(4)0.3%
Min Revenue beat(4)-4.06%
Max Revenue beat(4)4.41%
Revenue beat(8)2
Avg Revenue beat(8)-1.21%
Revenue beat(12)3
Avg Revenue beat(12)-1.46%
Revenue beat(16)5
Avg Revenue beat(16)-1.14%
PT rev (1m)0%
PT rev (3m)19.65%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.29%
EPS NY rev (1m)0%
EPS NY rev (3m)6.33%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.61%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.21 | ||
| Fwd PE | 15.67 | ||
| P/S | 1.45 | ||
| P/FCF | 25.07 | ||
| P/OCF | 15.61 | ||
| P/B | 4.39 | ||
| P/tB | 5.67 | ||
| EV/EBITDA | 9.93 |
EPS(TTM)1.43
EY6.17%
EPS(NY)1.48
Fwd EY6.38%
FCF(TTM)0.92
FCFY3.99%
OCF(TTM)1.49
OCFY6.41%
SpS16
BVpS5.28
TBVpS4.08
PEG (NY)2.46
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.2% | ||
| ROE | 19.39% | ||
| ROCE | 16.37% | ||
| ROIC | 12.92% | ||
| ROICexc | 15.41% | ||
| ROICexgc | 17.59% | ||
| OM | 11.78% | ||
| PM (TTM) | 6.4% | ||
| GM | 61.48% | ||
| FCFM | 5.78% |
ROA(3y)5.62%
ROA(5y)4.8%
ROE(3y)17.59%
ROE(5y)15.25%
ROIC(3y)11.4%
ROIC(5y)9.92%
ROICexc(3y)13.08%
ROICexc(5y)11.93%
ROICexgc(3y)15.48%
ROICexgc(5y)14.43%
ROCE(3y)14.48%
ROCE(5y)12.6%
ROICexcg growth 3Y-10.85%
ROICexcg growth 5Y-8.71%
ROICexc growth 3Y-7.63%
ROICexc growth 5Y-8.57%
OM growth 3Y-5.57%
OM growth 5Y0.79%
PM growth 3Y-29.86%
PM growth 5Y-13.51%
GM growth 3Y1.12%
GM growth 5Y2.21%
F-Score8
Asset Turnover0.97
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 2.84 | ||
| Debt/EBITDA | 1.09 | ||
| Cap/Depr | 108.67% | ||
| Cap/Sales | 3.5% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 61.87% | ||
| Profit Quality | 90.25% | ||
| Current Ratio | 1.48 | ||
| Quick Ratio | 0.85 | ||
| Altman-Z | 3.14 |
F-Score8
WACC10.32%
ROIC/WACC1.25
Cap/Depr(3y)158.9%
Cap/Depr(5y)137.05%
Cap/Sales(3y)4.34%
Cap/Sales(5y)3.77%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)25.44%
EPS 3Y-5.04%
EPS 5Y-11.72%
EPS Q2Q%37.5%
EPS Next Y6.58%
EPS Next 2Y8.8%
EPS Next 3Y9.41%
EPS Next 5YN/A
Revenue 1Y (TTM)4.28%
Revenue growth 3Y3.31%
Revenue growth 5Y1.98%
Sales Q2Q%0.33%
Revenue Next Year-1.3%
Revenue Next 2Y1.72%
Revenue Next 3Y2.69%
Revenue Next 5YN/A
EBIT growth 1Y46.8%
EBIT growth 3Y-2.44%
EBIT growth 5Y2.78%
EBIT Next Year56.42%
EBIT Next 3Y21.52%
EBIT Next 5YN/A
FCF growth 1Y391.3%
FCF growth 3Y5.56%
FCF growth 5Y23.15%
OCF growth 1Y183.02%
OCF growth 3Y6.81%
OCF growth 5Y16.86%