Levi's (LEVI) Q2 Earnings Report Preview: What To Look For

Kayode Omotosho /
2024/06/25 3:01 am EDT

Denim clothing company Levi's (NYSE:LEVI) will be reporting earnings tomorrow afternoon. Here's what to look for.

Levi's met analysts' revenue expectations last quarter, reporting revenues of $1.56 billion, down 7.8% year on year. It was a mixed quarter for the company, with an impressive beat of analysts' earnings estimates but a miss of analysts' operating margin estimates.

Is Levi's a buy or sell going into earnings? Read our full analysis here, it's free.

This quarter, analysts are expecting Levi's revenue to grow 8.6% year on year to $1.45 billion, a reversal from the 9.1% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.11 per share.

Levi's Total Revenue

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Levi's has missed Wall Street's revenue estimates four times over the last two years.

With Levi's being the first among its peers to report earnings this season, we don't have anywhere else to look to get a hint at how this quarter will unravel for consumer discretionary stocks.

Today’s young investors won’t have read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next.