Levi Strauss upgraded to Buy at BofA with shares down 38% from highs

As previously reported, BofA upgraded Levi Strauss (LEVI) to Buy from Neutral with a price target of $20, up from $17. Noting that shares are down 38% from last year’s highs, the firm thinks the positives outweigh the incremental risks at the current valuation. Encouraging “boxes checked” by Levi included sales momentum, a conservative revenue outlook, minimal China risk for sourcing and sales, an improving wholesale trajectory, a diversified supply chain, and a strong balance sheet, the analyst tells investors.