Levi's Earnings Preview: Growth and Challenges Ahead
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 day ago
0mins
Source: Yahoo Finance
- Revenue Growth: Last quarter, Levi's reported revenues of $1.74 billion, reflecting a 14.1% year-on-year increase that surpassed analyst expectations, indicating strong market performance despite potential future growth slowdowns.
- Earnings Expectations: The market anticipates a 5% year-on-year revenue growth this quarter, down from 6.4% in the same quarter last year, highlighting potential risks from intensified industry competition and slowing consumer spending.
- Analyst Confidence: Over the past 30 days, analysts have generally reaffirmed their earnings estimates for Levi's, suggesting confidence in the company's stability heading into earnings, despite having missed Wall Street's revenue estimates multiple times in the past two years.
- Market Performance: Levi's stock has risen 8.1% over the past month, outperforming the average 6.3% increase in the consumer discretionary sector, with an average analyst price target of $27.13, reflecting optimism about its future performance.
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Analyst Views on LEVI
Wall Street analysts forecast LEVI stock price to rise
4 Analyst Rating
4 Buy
0 Hold
0 Sell
Strong Buy
Current: 24.680
Low
26.00
Averages
26.50
High
27.00
Current: 24.680
Low
26.00
Averages
26.50
High
27.00
About LEVI
Levi Strauss & Co. is an apparel company. The Company designs and markets jeans, casual wear and related accessories for men, women and children under the Levi's, Levi Strauss Signature, and Beyond Yoga brands. The Company operates through three geographical segments: Americas, Europe and Asia. It designs, markets and sells directly or through third parties and licensees’ products that include jeans, casual and dress pants, activewear, tops, shorts, skirts, dresses, jackets and related accessories for men, women and children around the world. Its products are sold in approximately 120 countries worldwide through a combination of chain retailers, department stores, online sites, and a global footprint of approximately 3,300 retail stores and shop-in shops. Outside the United States, department stores, specialty retailers, franchised or other brand-dedicated stores and shop-in-shops have traditionally been its primary distribution channels.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Levi's Earnings Preview: Growth and Challenges Ahead
- Revenue Growth: Last quarter, Levi's reported revenues of $1.74 billion, reflecting a 14.1% year-on-year increase that surpassed analyst expectations, indicating strong market performance despite potential future growth slowdowns.
- Earnings Expectations: The market anticipates a 5% year-on-year revenue growth this quarter, down from 6.4% in the same quarter last year, highlighting potential risks from intensified industry competition and slowing consumer spending.
- Analyst Confidence: Over the past 30 days, analysts have generally reaffirmed their earnings estimates for Levi's, suggesting confidence in the company's stability heading into earnings, despite having missed Wall Street's revenue estimates multiple times in the past two years.
- Market Performance: Levi's stock has risen 8.1% over the past month, outperforming the average 6.3% increase in the consumer discretionary sector, with an average analyst price target of $27.13, reflecting optimism about its future performance.
See More
Levi Strauss Stock Fluctuations and Market Dynamics
- Levi Strauss Stock Performance: Levi Strauss shares have risen 25% over the past three months but are down 3.6% from the July 1 high, indicating increased market volatility as investors await the upcoming earnings report.
- SK Hynix Listing Update: SK Hynix is set to list in the U.S. on Friday, holding a 25% weighting in the iShares MSCI South Korea ETF, which has dropped 18% since June 18 yet is up nearly 160% year-to-date, reflecting strong market interest in the semiconductor sector.
- Used Car Market Trends: CarMax shares are down 27% from last July's high, despite an 8% increase over the past month, while Carvana has fallen 30% since January, indicating ongoing pressure in the used car market.
- Costco Sales Data Preview: Costco is scheduled to release monthly sales data on Wednesday, with shares down 2.5% in the past month and 13% from the May high, prompting investors to monitor sales performance for future earnings assessments.
See More
Levi Strauss Q2 Earnings Preview and Estimates
- Earnings Announcement Date: Levi Strauss (LEVI) is set to announce its Q2 earnings on July 8th after market close, with a consensus EPS estimate of $0.24, reflecting a 9.1% year-over-year increase, indicating ongoing improvement in profitability.
- Revenue Expectations: The revenue estimate for Q2 stands at $1.52 billion, representing a 4.8% year-over-year growth, which reflects the company's stable performance and sustained consumer demand, potentially boosting investor confidence.
- Historical Performance Review: Over the past two years, LEVI has beaten EPS estimates 100% of the time and has exceeded revenue estimates 63% of the time, suggesting a consistent performance that may attract more investor interest.
- Estimate Revision Dynamics: In the last three months, EPS estimates have seen 8 upward revisions and 1 downward revision, while revenue estimates have experienced 10 upward revisions and 4 downward revisions, indicating analysts' optimistic outlook on the company's future performance, which could influence stock price movements.
See More
Trump Discusses U.S. Economy and Technology in Exclusive Interview
- Chip Manufacturing Outlook: Trump anticipates that by the end of his term, 40% to 60% of global chip manufacturing will be based in the U.S., indicating a significant shift towards domestic production that could reshape global supply chains.
- AI Technology Leadership: He asserts that the development of AI will surpass that of the internet, highlighting the U.S.'s leading position in this technology, which could attract more investments and accelerate growth in related sectors.
- Economic Growth Expectations: Trump believes that the U.S. GDP should be between 12% and 13%, a statement that, while not aligned with current data, reflects his optimistic view on economic recovery and may influence market confidence.
- 401(k) Growth Claims: He claimed that 401(k) accounts have increased by 80% to 90%, although this figure does not match Fidelity's latest statistics; if accurate, it would positively impact American household wealth and consumer spending capacity.
See More
Trump Discusses U.S. Economy and Technology in Exclusive Interview
- Chip Manufacturing Outlook: Trump anticipates that by the end of his term, 40% to 60% of chip manufacturing will occur in the U.S., indicating a significant shift in the global semiconductor landscape that could attract more investments and technology back to the country.
- GDP Growth Expectations: Trump asserts that the U.S. GDP should be between 12% and 13%, a notably optimistic view that diverges from current economic data, potentially impacting market confidence in future economic policies.
- 401(k) Growth Claims: Trump claims that 401(k) accounts have risen by 80% to 90%, although this figure does not align with the latest Fidelity reports, which may raise questions about the effectiveness of his economic policies.
- Strong Stock Market Performance: Amid soaring temperatures on the East Coast, major Wall Street indexes ended last week in the green, with the Dow Jones Industrial Average hitting an all-time high, as expectations for Federal Reserve interest rate hikes diminished, likely boosting investor confidence.
See More
Upcoming Earnings Season and Economic Data Insights
- Earnings Preview: The earnings season officially kicks off from July 13 to 17, with major companies like Levi Strauss, PepsiCo, and Delta Air Lines reporting, prompting market focus on consumer spending and inflationary pressures impacting performance.
- Oil Prices and Consumer Spending: Despite a 27% drop in U.S. WTI crude prices over the past month, consumer gas prices have only decreased by 10.5%, which may influence purchasing decisions, particularly for brands like Levi's.
- Service Sector Data Release: This week will see the release of the S&P Global Services PMI and ISM Services PMI, aimed at providing timely insights into business activity in the U.S. services sector, aiding in the assessment of economic health.
- Semiconductor Industry Volatility: The semiconductor sector faced severe selling last week, with the iShares Semiconductor ETF and VanEck Semiconductor ETF nearing their 50-day moving averages, and the market will watch for whether buyers will support a rebound in this sector.
See More
Levi's Earnings Preview: Growth and Challenges Ahead
- Revenue Growth: Last quarter, Levi's reported revenues of $1.74 billion, reflecting a 14.1% year-on-year increase that surpassed analyst expectations, indicating strong market performance despite potential future growth slowdowns.
- Earnings Expectations: The market anticipates a 5% year-on-year revenue growth this quarter, down from 6.4% in the same quarter last year, highlighting potential risks from intensified industry competition and slowing consumer spending.
- Analyst Confidence: Over the past 30 days, analysts have generally reaffirmed their earnings estimates for Levi's, suggesting confidence in the company's stability heading into earnings, despite having missed Wall Street's revenue estimates multiple times in the past two years.
- Market Performance: Levi's stock has risen 8.1% over the past month, outperforming the average 6.3% increase in the consumer discretionary sector, with an average analyst price target of $27.13, reflecting optimism about its future performance.
See More
Levi Strauss Stock Fluctuations and Market Dynamics
- Levi Strauss Stock Performance: Levi Strauss shares have risen 25% over the past three months but are down 3.6% from the July 1 high, indicating increased market volatility as investors await the upcoming earnings report.
- SK Hynix Listing Update: SK Hynix is set to list in the U.S. on Friday, holding a 25% weighting in the iShares MSCI South Korea ETF, which has dropped 18% since June 18 yet is up nearly 160% year-to-date, reflecting strong market interest in the semiconductor sector.
- Used Car Market Trends: CarMax shares are down 27% from last July's high, despite an 8% increase over the past month, while Carvana has fallen 30% since January, indicating ongoing pressure in the used car market.
- Costco Sales Data Preview: Costco is scheduled to release monthly sales data on Wednesday, with shares down 2.5% in the past month and 13% from the May high, prompting investors to monitor sales performance for future earnings assessments.
See More
Levi Strauss Q2 Earnings Preview and Estimates
- Earnings Announcement Date: Levi Strauss (LEVI) is set to announce its Q2 earnings on July 8th after market close, with a consensus EPS estimate of $0.24, reflecting a 9.1% year-over-year increase, indicating ongoing improvement in profitability.
- Revenue Expectations: The revenue estimate for Q2 stands at $1.52 billion, representing a 4.8% year-over-year growth, which reflects the company's stable performance and sustained consumer demand, potentially boosting investor confidence.
- Historical Performance Review: Over the past two years, LEVI has beaten EPS estimates 100% of the time and has exceeded revenue estimates 63% of the time, suggesting a consistent performance that may attract more investor interest.
- Estimate Revision Dynamics: In the last three months, EPS estimates have seen 8 upward revisions and 1 downward revision, while revenue estimates have experienced 10 upward revisions and 4 downward revisions, indicating analysts' optimistic outlook on the company's future performance, which could influence stock price movements.
See More
Trump Discusses U.S. Economy and Technology in Exclusive Interview
- Chip Manufacturing Outlook: Trump anticipates that by the end of his term, 40% to 60% of global chip manufacturing will be based in the U.S., indicating a significant shift towards domestic production that could reshape global supply chains.
- AI Technology Leadership: He asserts that the development of AI will surpass that of the internet, highlighting the U.S.'s leading position in this technology, which could attract more investments and accelerate growth in related sectors.
- Economic Growth Expectations: Trump believes that the U.S. GDP should be between 12% and 13%, a statement that, while not aligned with current data, reflects his optimistic view on economic recovery and may influence market confidence.
- 401(k) Growth Claims: He claimed that 401(k) accounts have increased by 80% to 90%, although this figure does not match Fidelity's latest statistics; if accurate, it would positively impact American household wealth and consumer spending capacity.
See More
Trump Discusses U.S. Economy and Technology in Exclusive Interview
- Chip Manufacturing Outlook: Trump anticipates that by the end of his term, 40% to 60% of chip manufacturing will occur in the U.S., indicating a significant shift in the global semiconductor landscape that could attract more investments and technology back to the country.
- GDP Growth Expectations: Trump asserts that the U.S. GDP should be between 12% and 13%, a notably optimistic view that diverges from current economic data, potentially impacting market confidence in future economic policies.
- 401(k) Growth Claims: Trump claims that 401(k) accounts have risen by 80% to 90%, although this figure does not align with the latest Fidelity reports, which may raise questions about the effectiveness of his economic policies.
- Strong Stock Market Performance: Amid soaring temperatures on the East Coast, major Wall Street indexes ended last week in the green, with the Dow Jones Industrial Average hitting an all-time high, as expectations for Federal Reserve interest rate hikes diminished, likely boosting investor confidence.
See More
Upcoming Earnings Season and Economic Data Insights
- Earnings Preview: The earnings season officially kicks off from July 13 to 17, with major companies like Levi Strauss, PepsiCo, and Delta Air Lines reporting, prompting market focus on consumer spending and inflationary pressures impacting performance.
- Oil Prices and Consumer Spending: Despite a 27% drop in U.S. WTI crude prices over the past month, consumer gas prices have only decreased by 10.5%, which may influence purchasing decisions, particularly for brands like Levi's.
- Service Sector Data Release: This week will see the release of the S&P Global Services PMI and ISM Services PMI, aimed at providing timely insights into business activity in the U.S. services sector, aiding in the assessment of economic health.
- Semiconductor Industry Volatility: The semiconductor sector faced severe selling last week, with the iShares Semiconductor ETF and VanEck Semiconductor ETF nearing their 50-day moving averages, and the market will watch for whether buyers will support a rebound in this sector.
See More
