Operating Margin

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Price: 20.45 USD -3.76% Market Closed

Market Cap: $8B

11.8%

Improving

by 2.3%

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin

11.8%

Operating Income

$752.5m

Revenue

$6.4B

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin

11.8%

Operating Income

$752.5m

Revenue

$6.4B

Peer Comparison

Country	Company	Market Cap	Operating Margin
US	Levi Strauss & Co NYSE:LEVI	8B USD	Loading...
FR	LVMH Moet Hennessy Louis Vuitton SE PAR:MC	269.3B EUR	Loading...
FR	Hermes International SCA PAR:RMS	214.9B EUR	Loading...
KR	SBW KRX:102280	235.5T KRW	Loading...
FR	EssilorLuxottica SA PAR:EL	116.8B EUR	Loading...
CH	Compagnie Financiere Richemont SA SIX:CFR	87.8B CHF	Loading...
FR	Christian Dior SE PAR:CDI	90.9B EUR	Loading...
FR	Kering SA PAR:KER	32.6B EUR	Loading...
IN	Titan Company Ltd NSE:TITAN	3.4T INR	Loading...
DE	Adidas AG XETRA:ADS	25.9B EUR	Loading...
CN	ANTA Sports Products Ltd HKEX:2020	223B HKD	Loading...

Market Distribution

Min	-4 087 900%
30th Percentile	-5.1%
Median	6%
70th Percentile	14.8%
Max	1 032 600%

Other Profitability Ratios

Levi Strauss & Co
Glance View

Economic Moat

None

Market Cap

8B USD

Industry

Textiles, Apparel & Luxury Goods

Levi Strauss & Co. stands as a remarkable testament to the power of enduring innovation and branding within the apparel industry. Founded in 1853 by German immigrant Levi Strauss during the California Gold Rush, the company found its footing by addressing the rugged demands of laborers. The iconic blue jeans, introduced in 1873, emerged from a collaboration between Strauss and tailor Jacob Davis, combining canvas-like denim with riveted reinforcement. This innovation not only transformed workwear but also laid the groundwork for a fashion revolution. Levi's jeans struck a chord with a diverse audience, becoming an emblem of American culture and self-expression across generations. The company’s evolution from a practical clothing maker to a symbol of cultural shifts underscores its ability to adapt and innovate while staying true to its core values. Today, Levi Strauss & Co. operates as a global leader in jeanswear and casual apparel, generating revenue through a multifaceted business model. Primarily, the company earns by designing, marketing, and selling a wide array of products under brands like Levi's, Dockers, and beyond. Levi’s garners profits through direct-to-consumer channels, including its own retail stores and e-commerce platforms, as well as wholesale channels reaching retailers worldwide. This diversified strategy helps balance the scaling of its extensive manufacturing and distribution chains with the nimbleness required in the modern retail environment. By focusing on quality and leveraging its rich heritage through storytelling and brand engagement, Levi Strauss & Co. continues to navigate the complex, ever-evolving fashion landscape, embedding itself as a mainstay in the wardrobes of millions.

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LEVI Intrinsic Value

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What is Intrinsic Value?

Economic Moat is a concept popularized by Warren Buffett to describe a company's durable competitive advantage. It represents the 'moat' that protects a company from competitors and helps it sustain profitability over the long term. Our analysis of the past 10 years showed that companies with a wide economic moat significantly outperformed the market, delivering +645% returns compared to +189% for the S&P 500.

Our research into Economic Moat performance spans the past 10 years and focuses on companies with a wide economic moat. For this analysis, we calculated the average stock price returns of these companies, comparing them to the performance of the S&P 500 index over the same period.

The results were compelling: wide moat stocks achieved a remarkable +645% average return, compared to +188% for the broader market. This difference highlights the long-term benefits of investing in businesses that can maintain their market position and pricing power over time.

Note: This research does not account for survivorship bias. Past performance is not indicative of future results.

Determining whether a company has an economic moat requires both a deep dive into financial metrics and a qualitative assessment of its competitive position. Our analysts conduct a rigorous evaluation that focuses on identifying structural advantages that enable a company to sustain profitability and defend its market share over the long term.

The process begins with an analysis of a company’s historical financial performance. We assess how consistently the company has generated returns above its cost of capital and whether those returns have been stable or improving. However, financial performance alone doesn’t reveal the full picture. To understand the sources of these advantages, we evaluate five key drivers of economic moats:

Network Effect: We analyze whether the value of a company’s product or service grows as its user base expands. Platforms like payment systems or marketplaces benefit from this self-reinforcing.

Switching Costs: We assess whether customers face significant costs or disruptions when switching to a competitor’s product or service. High switching costs create customer stickiness and provide pricing power.

Intangible Assets: Strong brands, patents, and regulatory licenses can protect a company’s market position by creating barriers for competitors or enabling premium pricing. For example, a well-recognized consumer brand may command higher customer loyalty and margins.

Efficient scale: Occurs when a market is optimally served by one or a few players, making it unprofitable for new entrants to compete. This typically happens in industries with high fixed costs or geographic constraints, such as utilities or pipelines.

Cost Advantage: Companies with structural cost advantages can produce goods or services at a lower cost than their competitors, enabling them to offer competitive pricing or maintain higher margins. These advantages often arise from economies of scale, superior supply chain management, or proprietary technology. Firms like Walmart leverage their massive scale to negotiate better terms with suppliers, allowing them to undercut competitors on price.

By examining these factors in combination with a company’s financial performance and market positioning, we classify each company into one of three categories:

This rigorous evaluation ensures that our moat ratings are both comprehensive and reliable, giving investors the tools they need to make well-informed, long-term decisions.

The AI Assistant may sometimes provide inaccurate information.

Make your own investment decisions or consult a licensed financial advisor.

Levi Strauss & Co
NYSE:LEVI

Peer Comparison

Market Distribution

Other Profitability Ratios

Levi Strauss & Co
Glance View

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Levi Strauss & Co NYSE:LEVI