Levi Strauss shares shot up more than 9% after the release of quarterly results that significantly exceeded Wall Street expectations. The jeans manufacturer not only improved sales but also raised its full-year forecast, which attracted the attention of analysts.
Levi Strauss' results for Q2 2025:
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Revenue: $1.4 billion (+6% y/y), above the expected $1.37 billion
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DTC (Direct-to-Consumer) sales: +11% y/y
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Wholesale sales: +3% y/y
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Earnings per share (EPS): $0.22 vs. $0.13 forecast (a year ago: $0.16)
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Raised full-year forecast:
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Revenue growth: now +1% to +2% (previously: -1% to -2%)
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EPS: $1.25–$1.30 (previously: $1.20–$1.25)
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CFO Harmit Singh emphasized that the improvement in results is the result of a focus on the Levi’s brand and a direct-to-consumer (DTC) sales strategy. The company wants to become a business with even higher growth rates, better margins, and stronger cash flows.
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Create account Try a demo Download mobile app Download mobile appBofA analysts maintained their “Buy” recommendation for the stock and raised their target price from $21 to $24 per share. They pointed to the ongoing cycle of positive EPS revisions. Levi Strauss has had two consecutive series of high organic sales growth.
The updated organic growth forecast of 4.5-5.5% may prove to be quite conservative. Although the company acknowledged that tariffs could reduce margins by 40 basis points in the second half of the year, BofA believes that Levi's is coping well with the macro environment, thanks in part to its strong brand, international exposure, and resilient, diversified supply chain. The results sparked optimism on Wall Street, and the revised full-year forecast may mark the beginning of a better run
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Source: xStation5
