Analyst Christopher Nardone of Bank of America Securities maintained a Buy rating on Ralph Lauren, retaining the price target of $360.00.
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Christopher Nardone has given his Buy rating due to a combination of factors that highlight Ralph Lauren’s strategic positioning and growth potential. The company is expected to present updated three-year targets at an upcoming investor day, focusing on brand premiumization, margin expansion, and strong capital returns. Ralph Lauren’s consistent execution and market share gains have demonstrated the effectiveness of its current strategy, making it the only major global brand under coverage to achieve all its medium-term targets.
Additionally, Ralph Lauren is on track for continued double-digit EPS growth, with anticipated sales growth driven by the Asian market and further operating margin expansion. The management’s conservative approach suggests that initial targets may not significantly exceed current expectations, but historical performance and brand momentum indicate potential for surpassing these targets. The focus on premiumization, women’s business growth, and strategic marketing investments, alongside initiatives like the Next Generation Transformation project and AI integration, further support the positive outlook for Ralph Lauren’s stock.
In another report released on September 8, Wells Fargo also maintained a Buy rating on the stock with a $345.00 price target.