Levi Strauss (LEVI) Exceeds Market Returns: Some Facts to Consider
Levi Strauss (LEVI) closed the most recent trading day at $15.56, moving +1.04% from the previous trading session. The stock exceeded the S&P 500, which registered a gain of 0.45% for the day.
The investment community will be paying close attention to the earnings performance of Levi Strauss in its upcoming release. On that day, Levi Strauss is projected to report earnings of $0.43 per share, which would represent year-over-year growth of 26.47%. Our most recent consensus estimate is calling for quarterly revenue of $1.66 billion, up 4.6% from the year-ago period.
Investors might also notice recent changes to analyst estimates for Levi Strauss. These revisions typically reflect the latest short-term business trends, which can change frequently. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.25% downward. Levi Strauss is holding a Zacks Rank of #3 (Hold) right now.
From a valuation perspective, Levi Strauss is currently exchanging hands at a Forward P/E ratio of 11.76. For comparison, its industry has an average Forward P/E of 15.16, which means Levi Strauss is trading at a discount to the group.
It's also important to note that LEVI currently trades at a PEG ratio of 0.53. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Retail - Apparel and Shoes was holding an average PEG ratio of 1.55 at yesterday's closing price.
The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 136, finds itself in the bottom 47% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow LEVI in the coming trading sessions, be sure to utilize Zacks.com.
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Levi Strauss & Co. (LEVI) : Free Stock Analysis Report
