Land's End Posted Adjusted Growth Fueled By Expensive Marketing. The Stock Is Overvalued

The Good Brigade/DigitalVision via Getty Images Land's End (NASDAQ:LE) 2Q24 results were positive, with revenues improving on an adjusted basis on its most important, US e-commerce channel. The company's gross margins also improved thanks to lower discounting. Unfortunately, most of the gross profit and revenue growth was absorbed by SG&A, mostly going to finance customer acquisition via digital marketing, leaving profits unchanged on an adjusted basis (and down on an adjusted basis for 1H24). The company's ...