Lands' End Inc. Common Stock (LE)

FairStock Score: 22/100 — RISKY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I am cautious when a bargain rests on one unusual quarter. Lands' End sells apparel, swimwear, uniforms and licensing. In fiscal Q1 2026, the quarter ended 2026-05-01, it reported revenue of $238.9M and net income of $330.7M, or diluted EPS of $10.56. That single result makes FairStock's trailing P/E of 0.88 almost meaningless for judging normal earning power. The more ordinary quarters are tiny: in fiscal Q2 2026, the quarter ended 2026-07-31, revenue was $302.0M, net income $3.5M, and diluted EPS $0.11, a 1.14% margin. In fiscal Q3 2025, the quarter ended 2025-10-31, revenue was $317.5M and net income $5.2M. Full-year fiscal 2025, ended 2026-01-30, had $1.3B revenue and $5.5M net income; fiscal 2024, ended 2025-01-31, had $1.4B revenue and $6.2M net income. Fiscal 2023, ended 2024-02-02, lost $130.7M, so the Lynch turnaround label fits, but the recovery is not yet robust. The balance sheet has low D/E of 0.16, yet FairStock's Altman Z is 1.17 and trailing free cash flow is negative $73.4M, a -24.6% FCF yield. FairStock's ROCE is only 3.27%, Piotroski is 5/9, and its FairStock Score is 22/100. At the 2026-10-13 close of $10.12, FairStock's P/B is 0.62, Graham Number is $65.27, and margin of safety is 84.5%; EV/EBITDA is 0.70. Those are deep asset-value signals. But apparel retail is competitive, and annual revenue fell from $1.5B in FY2023 to $1.3B in FY2025. A true Graham bargain needs sustainable cash earnings, not just a cheap book value.

In plain English: Lands' End sells clothing, swimwear, uniforms and home products, mostly online but also through business uniform programs and some stores. The business has low debt and recently returned to profit after a big loss, but sales are barely growing, most quarters earn only thin profits, and cash flow is negative. The stock looks very cheap compared with its accounting value and a huge one-quarter profit, but that profit stands out sharply from the company's normal results.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-07-31) · fiscal Q1 2026 10-Q (period ended 2026-05-01) · fiscal Q3 2025 10-Q (period ended 2025-10-31) · fiscal Q2 2025 10-Q (period ended 2025-08-01) · FY2025 10-K (period ended 2026-01-30) · FY2024 10-K (period ended 2025-01-31) · FY2023 10-K (period ended 2024-02-02)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer