12 Most Undervalued Stocks to Invest in for Under $20

9) Levi Strauss & Co. (NYSE:LEVI)

Forward P/E as of January 17: 11.2x

Share Price as of January 17: $17.37

Number of Hedge Fund Holders: 27

Levi Strauss & Co. (NYSE:LEVI) is engaged in designing, marketing, and selling apparel and related accessories for men, women, and children worldwide. Barclays initiated coverage on the company’s shares, assigning an “Overweight” rating and setting a price target of $24.00. The firm’s analyst highlighted numerous factors that could fuel Levi Strauss & Co. (NYSE:LEVI)’s growth in 2025. These drivers include elevated wholesale demand and the current shift in denim styles.

Levi Strauss & Co. (NYSE:LEVI) is expected to benefit from organic sales acceleration because of broader market dynamics. Furthermore, the analyst also highlighted the long-term productivity gains from Project Fuel, which is an initiative focused on streamlining operations and emphasizing the core Levi’s brand. Despite acknowledging headwinds including unfavorable margin conditions, tariff impacts, and a strong U.S. dollar, Barclays expects that Levi Strauss & Co. (NYSE:LEVI)’s sales growth will be the most critical factor moving forward.

As per the analyst, opportunities are available for the company to meet the market share losses in men’s bottoms, improve operational capabilities, optimize its assortment, and make investments in direct-to-consumer channels. Middle Coast Investing, an investment advisor firm, released its Q4 2024 investor letter. Here is what the fund said:

“I’ve owned Levi-Strauss (LEVI) briefly before, and am trying again after a year where its stock nearly doubled from where I bought it, before dropping 30%. This is a small position based on the company’s improving cash flow and balance sheet and the ubiquity of the brand. But it’s also to some degree just a better alternative to cash for one account.”