LEVI Valuation

Levi Strauss & Co

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22.370

+0.11(0.494%)1D

Overview
Forecast
Valuation
Earnings

LEVI Relative Valuation

LEVI's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, LEVI is overvalued; if below, it's undervalued.

Historical Valuation

Levi Strauss & Co (LEVI) is now in the Fair zone, suggesting that its current forward PE ratio of 16.73 is considered Fairly compared with the five-year average of 14.46. The fair price of Levi Strauss & Co (LEVI) is between 17.45 to 23.69 according to relative valuation methord.

Relative Value

Fair Zone

17.45-23.69

Current Price：22.37

Fair

16.73

Trailing

Forward

11.33

EV/EBITDA

Levi Strauss & Co. (LEVI) has a current EV/EBITDA of 11.33. The 5-year average EV/EBITDA is 10.63. The thresholds are as follows: Strongly Undervalued below 7.33, Undervalued between 7.33 and 8.98, Fairly Valued between 12.28 and 8.98, Overvalued between 12.28 and 13.93, and Strongly Overvalued above 13.93. The current Forward EV/EBITDA of 11.33 falls within the Historic Trend Line -Fairly Valued range.

14.05

EV/EBIT

Levi Strauss & Co. (LEVI) has a current EV/EBIT of 14.05. The 5-year average EV/EBIT is 13.05. The thresholds are as follows: Strongly Undervalued below 9.44, Undervalued between 9.44 and 11.25, Fairly Valued between 14.86 and 11.25, Overvalued between 14.86 and 16.67, and Strongly Overvalued above 16.67. The current Forward EV/EBIT of 14.05 falls within the Historic Trend Line -Fairly Valued range.

1.39

Levi Strauss & Co. (LEVI) has a current PS of 1.39. The 5-year average PS is 1.23. The thresholds are as follows: Strongly Undervalued below 0.64, Undervalued between 0.64 and 0.93, Fairly Valued between 1.52 and 0.93, Overvalued between 1.52 and 1.81, and Strongly Overvalued above 1.81. The current Forward PS of 1.39 falls within the Historic Trend Line -Fairly Valued range.

12.11

P/OCF

Levi Strauss & Co. (LEVI) has a current P/OCF of 12.11. The 5-year average P/OCF is 13.56. The thresholds are as follows: Strongly Undervalued below 0.41, Undervalued between 0.41 and 6.99, Fairly Valued between 20.13 and 6.99, Overvalued between 20.13 and 26.71, and Strongly Overvalued above 26.71. The current Forward P/OCF of 12.11 falls within the Historic Trend Line -Fairly Valued range.

18.11

P/FCF

Levi Strauss & Co. (LEVI) has a current P/FCF of 18.11. The 5-year average P/FCF is 26.08. The thresholds are as follows: Strongly Undervalued below -35.46, Undervalued between -35.46 and -4.69, Fairly Valued between 56.86 and -4.69, Overvalued between 56.86 and 87.63, and Strongly Overvalued above 87.63. The current Forward P/FCF of 18.11 falls within the Historic Trend Line -Fairly Valued range.

Levi Strauss & Co (LEVI) has a current Price-to-Book (P/B) ratio of 4.23. Compared to its 3-year average P/B ratio of 3.48 , the current P/B ratio is approximately 21.81% higher. Relative to its 5-year average P/B ratio of 4.46, the current P/B ratio is about -5.07% higher. Levi Strauss & Co (LEVI) has a Forward Free Cash Flow (FCF) yield of approximately 4.15%. Compared to its 3-year average FCF yield of 3.41%, the current FCF yield is approximately 21.91% lower. Relative to its 5-year average FCF yield of 4.11% , the current FCF yield is about 1.13% lower.

4.23

P/B

Median3y

3.48

Median5y

4.46

4.15

FCF Yield

Median3y

3.41

Median5y

4.11

Competitors Valuation Multiple

The average P/S ratio for LEVI's competitors is 1.67, providing a benchmark for relative valuation. Levi Strauss & Co Corp (LEVI) exhibits a P/S ratio of 1.39, which is -17.20% above the industry average. Given its robust revenue growth of 6.42%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Birkenstock Holding PLC

Gildan Activewear Inc

Performance Decomposition

Market capitalization of LEVI increased by 18.79% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 1.27 to 5.50.

The secondary factor is the Revenue Growth, contributed 6.42%to the performance.

Overall, the performance of LEVI in the past 1 year is driven by Margin Expansion. Which is more sustainable.

6.42%

1.36B → 1.45B

Revenue Growth

333.07%

1.27 → 5.50

Margin Expansion

-320.70%

-9.65 → 21.29

P/E Change

18.79%