Ralph Lauren's Brand Strategy Proves Successful
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 24 2026
0mins
Should l Buy RL?
Source: seekingalpha
- Brand Elevation Success: Citi Research analyst Paul Lejuez upgraded Ralph Lauren's stock from Neutral to Buy, citing the company's successful implementation of its brand elevation strategy amidst current macroeconomic volatility, achieving significant unit retail growth over the past few years, which validates its turnaround plan.
- Sustained Customer Growth: Ralph Lauren has added 1.5M to 2M new customers each quarter over the past two years, with a recent holiday quarter showing an increase to 2.1M new customers compared to 1.9M in the same period of 2024, notably attracting a significant portion of Gen Z and Millennials, demonstrating the brand's appeal to younger consumers.
- Earnings Estimates Raised: Lejuez raised his EPS estimates for FY26/27/28 to $16.54, $19.47, and $22.84, respectively, exceeding prior estimates and consensus, with expectations that the company will easily surpass conservative FY27 guidance.
- Buying Opportunity Identified: Despite a 7% decline in shares over the past month, Lejuez views this as a buying opportunity given the company's historical performance (+204% over the past three years) and has raised his price target by 11% to $400, indicating an 18% upside from Monday's close.
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Analyst Views on RL
Wall Street analysts forecast RL stock price to rise
14 Analyst Rating
12 Buy
2 Hold
0 Sell
Strong Buy
Current: 386.880
Low
305.00
Averages
401.85
High
473.00
Current: 386.880
Low
305.00
Averages
401.85
High
473.00
About RL
Ralph Lauren Corporation is engaged in the design, marketing, and distribution of luxury lifestyle products, including apparel, footwear and accessories, home, fragrances and hospitality. Its segments include North America, Europe, and Asia. Its brands include Ralph Lauren, Ralph Lauren Collection, Ralph Lauren Purple Label, Polo Ralph Lauren, Lauren Ralph Lauren, Polo Ralph Lauren Children, and Chaps, among others. Its products include apparel and footwear and accessories for men, women, and children, as well as fragrance and home collections, together with its hospitality portfolio. Its range of footwear and accessories include casual shoes, dress shoes, boots, sneakers, sandals, eyewear, watches, scarves, hats and others. Its range of home products includes bed and bath lines, lighting, dining, floor coverings, giftware and more. Its hospitality collection is comprised of its restaurants, including The Polo Bar in New York City, RL Restaurant located in Chicago, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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