Investment firm Jefferies thinks that clothing brand Ralph Lauren (RL) is likely to benefit from the media attention around Taylor Swift and Travis Kelce’s recent engagement. Indeed, the couple’s engagement photos, which quickly went viral on social media, featured both of them wearing Ralph Lauren outfits. As a result, analyst Ashley Helgans noted that for a company that claims to sell not just clothing but dreams, this is a clear win for the brand, which may help keep its strong momentum going.
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Helgans also pointed out that the timing works in Ralph Lauren’s favor. This is because Swift’s new album is set to launch in early October, and Kelce’s football season is about to begin. It’s also worth noting that online interest has already spiked, with Google (GOOGL) Trends showing a rise in searches for “Ralph Lauren dresses” and “Taylor Swift Ralph Lauren.” This suggests that the brand is gaining more consumer attention, which may lead to higher sales.
Interestingly, this isn’t the first time Taylor Swift has helped boost interest in Ralph Lauren. In fact, she has even been mentioned in the company’s earnings calls before as a driver of consumer interest for the firm’s products. Separately, Jefferies also noted that Ralph Lauren has had a strong summer, with high-profile marketing efforts, including the Oak Bluffs campaign and the Polo Bear short film, as well as sponsorships at Wimbledon and the U.S. Open. Therefore, the firm maintains its Buy rating on the stock.
Is Ralph Lauren Stock a Good Buy?
Turning to Wall Street, analysts have a Strong Buy consensus rating on Ralph Lauren stock based on 12 Buys, two Holds, and zero Sells assigned in the past three months, as indicated by the graphic below. Furthermore, the average Ralph Lauren price target of $343.92 per share implies 16.4% upside potential.
