Levi's stock rallies on earnings beat and sales forecast, despite tougher foreign-exchange headwinds

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Shares of Levi Strauss & Co. rallied after hours on Wednesday after the jeans maker reported fourth-quarter results and a full-year sales forecast that beat...

Shares of Levi Strauss & Co. rallied after hours on Wednesday after the jeans maker reported fourth-quarter results and a full-year sales forecast that beat expectations, as a strong performance at its own stores clashed with a harsher foreign-exchange backdrop.

On... Shares of Levi Strauss & Co. rallied after hours on Wednesday after the jeans maker reported fourth-quarter results and a full-year sales forecast that beat expectations, as a strong performance at its own stores clashed with a harsher foreign-exchange backdrop. On an adjusted basis, Levi Strauss LEVI earned 34 cents a share, compared with 41 cents in the same quarter last year. Analysts polled by FactSet expected adjusted earnings per share of 29 cents, on sales of $1.574 billion.

Levi’s said it expected full-year 2023 sales of between $6.3 billion and $6.4 billion, with adjusted earnings per share of between $1.30 and $1.40. FactSet forecast sales of $6.27 billion and earnings per share of $1.35.With higher prices still gouging shoppers, Levi’s faces questions from analysts over whether jeans are more vulnerable to a so-called “trade-down,” when customers seek cheaper alternatives.

 

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