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Investing.com - JPMorgan has raised its price target on Levi Strauss & Co. (NYSE:LEVI) to $33.00 from $23.00 while maintaining an Overweight rating on the stock.
The investment bank cited Levi’s expansion as a denim lifestyle apparel brand, which has led to accelerated global demand momentum and new customer acquisition, particularly among the 18-30 year old demographic.
JPMorgan noted these younger customers are transacting at higher average unit retail prices and with greater purchase frequency, contributing to the company’s growth trajectory.
The firm highlighted Levi’s gross margin expansion of 370 basis points on a trailing twelve-month basis, driven by structural mix tailwinds as direct-to-consumer sales outpace wholesale, product cost savings, and improved full-price selling.
JPMorgan also pointed to Levi’s structurally improved profitability profile following the exit of lower-margin segments including Denizen, European footwear, and Dockers, with the Dockers exit alone driving 50 basis points of annual EBIT margin improvement.
In other recent news, Levi Strauss & Co . reported its financial results for the third quarter of 2025, surpassing earnings expectations with an adjusted diluted EPS of $0.34, compared to the forecasted $0.30. The company also exceeded revenue predictions, posting $1.54 billion against an expected $1.5 billion. These results reflect a strong performance for the denim maker, despite some mixed signals observed in the market. Additionally, UBS raised its price target for Levi Strauss to $32 from $28, maintaining a Buy rating on the stock. This 14% increase in the price target was attributed to what UBS described as a "solid" third-quarter report, reinforcing their positive outlook on the company. These developments highlight the recent financial and market activity surrounding Levi Strauss & Co.
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