All articles tagged with #levi strauss
Levi Strauss reported strong Q2 FY25 results with a 6% increase in net revenues to $1.45 billion, driven by broad-based growth and margin expansion, leading to an improved outlook for FY25 and a significant rise in net income and earnings per share, especially in Europe and direct-to-consumer channels.
Levi Strauss stock soared 17.5% after beating first-quarter earnings estimates and raising its yearly guidance, despite an 8% revenue decline due to one-time events. The company's shift to direct-to-consumer sales boosted gross margin and reduced inventories, while adjusted earnings per share exceeded expectations. Levi Strauss maintained its revenue guidance for the year and raised its adjusted EPS forecast, signaling a successful turnaround strategy amidst industry struggles. However, investors are advised to temper their expectations given the stock's significant gains.
Levi Strauss & Co's shares surged 20% to a more than two-year high as the jeans maker raised its annual profit forecast, driven by CEO Michelle Gass's cost-cutting initiatives and a focus on direct-to-customer (DTC) sales. The company's DTC channel accounted for nearly half of its total revenue in the first quarter, and the latest earnings drew positive reactions on Wall Street, with analysts expressing optimism about the business trajectory. CEO Gass highlighted increased popularity for loose fits and expressed confidence in Europe's growth in the second half, while some analysts cautioned about the risk of Europe not improving as expected.
Levi Strauss plans to cut 10-15% of its global corporate jobs and exit its Denizen brand in an effort to rein in costs and focus on upscale products under new CEO Michelle Gass. The company's weak forecast is attributed to the fallout of an inventory glut, consumer inflation, and weaker foreign currency exchanges, impacting its wholesale business. Levi's aims to shift focus to direct-to-consumer sales and expand into lighter-weight denim and athletic wear, while also experiencing shipping delays and planning to cut back on off-price sales. The company expects these initiatives to generate net cost savings of $100 million in 2024, but its forecasted revenue and profit fall below Wall Street expectations, leading to a 1.7% drop in after-hours trading.
T-Mobile, Intel, and Levi Strauss are among the stocks making significant moves in after-hours trading, with T-Mobile reporting better-than-expected earnings and revenue, Intel's stock dropping after the company's earnings report, and Levi Strauss experiencing a decline in its stock price despite beating earnings estimates.
Levi Strauss plans to cut at least 10% of its global corporate workforce in the first half of the year as part of a restructuring, potentially affecting up to 15% of corporate employees. The apparel retailer's announcement comes amid a wave of early-year layoffs in the retail industry, with Macy's and Wayfair also announcing job cuts. The company's fourth-quarter earnings slightly missed analyst expectations, leading to a more than 2% drop in its shares in extended trading.
Levi's Stadium and the San Francisco 49ers have extended their naming-rights deal for another 10 years, now running through 2043, with an increased value of $17 million per year. The Santa Clara Stadium Authority is expected to approve the proposal, solidifying the partnership between Levi Strauss and the 49ers for the foreseeable future.
Michelle Gass, former CEO of Kohl's, will replace Chip Bergh as the CEO of Levi Strauss on January 29, 2023. Bergh, who has been with the company since 2011, will officially retire on April 26 but will continue to serve as an advisor. Under Bergh's leadership, Levi's went through an IPO, expanded its women's offerings, and transformed into a direct-to-consumer retailer. Gass aims to further boost international growth and transition the company into a direct-to-consumer first organization.
Pioneer Natural Resources stock surged nearly 10% after reports of a potential $60 billion acquisition by Exxon Mobil. Tesla shares dipped as the company reduced prices on some Model 3 and Model Y versions in the U.S., while also reporting lower-than-expected third-quarter deliveries. Levi Strauss saw a 2.5% drop in shares after cutting its full-year sales forecast due to inflation and rising costs. MGM Resorts rose 5% after providing an update on a cybersecurity issue, stating that the impact would likely be minimal. Financial services company Freedom Holding slid 1% amid investigations by federal prosecutors and the SEC over compliance issues.
Pioneer Natural Resources stock surged nearly 10% in premarket trading after reports of a potential $60 billion deal with Exxon Mobil. Levi Strauss shares dropped 1.3% after cutting its full-year sales forecast due to inflation and rising costs. Philips shares fell over 8.7% following the FDA's criticism of its handling of a sleep apnea device recall. Tesla shares declined over 1% after the company reduced prices on some Model 3 and Model Y vehicles. Apellis Pharmaceuticals saw a 5.5% increase in its stock price after reporting growing sales for its Syfovre drug.
Investors are eagerly awaiting the September employment report for insights into the Federal Reserve's upcoming decisions. Levi Strauss reported mixed Q3 earnings and lowered its full-year sales outlook. Tesla is reducing the prices of its Model 3 and Model Y vehicles. Other trending stocks include Pioneer Natural Resources, Coca-Cola, and PepsiCo. Notable guests on Yahoo Finance Live today include Lydia Boussour, Joe Brusuelas, Julie Su, Bill Newlands, Harmit Singh, Mark Mahaney, Robert Sockin, and Rohit Chopra.
U.S. stock futures were relatively unchanged as traders awaited Friday's jobs report, with Dow Jones Industrial Average futures down 0.05% and S&P 500 futures and Nasdaq 100 futures dipping 0.07% and 0.04% respectively. Investors are hoping for a softer jobs report to ease volatility in the bond market, which has weighed on equities. The Dow is on track for its third straight week of losses, while the S&P 500 is heading for its fifth consecutive losing week. Levi Strauss shares fell after reporting weaker-than-expected revenue and issuing lackluster guidance.
Levi Strauss has once again lowered its full-year sales forecast as it missed revenue expectations and faced weaker shopping trends at department stores and big-box retailers in the US. The company cited inflation, rising mortgage rates, and gas prices as factors affecting consumer spending. Levi's direct-to-consumer business and international sales have been stronger, but its wholesale business has seen declines in North America and Europe. The company is looking to expand in international markets and capitalize on its fashion reputation by selling more types of clothing. Levi's CEO is cautiously optimistic about the upcoming holiday season and expects a slightly less promotional environment compared to last year.
Levi Strauss stock rises after receiving an outperform rating from TD Cowen, who believes the company is in the early stages of a favorable denim cycle. Costco's fiscal fourth-quarter results beat expectations, but the stock fell over 1% due to weak U.S. comparable sales growth. ChargePoint's stock jumps after UBS initiates coverage with a buy rating, citing an attractive risk-reward profile. XPO stock climbs following an upgrade to outperform from Evercore ISI, with analysts predicting greater margin expansion and pricing power. Mattel shares gain after Morgan Stanley initiates coverage with an overweight rating, considering it a top pick despite a challenging macroeconomic environment.
Biogen, Rivian, Alibaba, and Meta are stocks to watch on Friday. Meta's Threads app has gained over 30 million users in less than 24 hours. Rivian's stock is expected to rise for an eighth session following increased deliveries in Q2. Levi Strauss experienced a 6.8% drop in premarket trading after reporting a loss in Q2. Alibaba's ADRs rose 2.8% as Chinese authorities are likely to fine its affiliate, Ant Group, resolving regulatory issues.