Ralph Lauren: Analysts’ Recommendations and Target Price

Wall Street’s take on Ralph Lauren

Ralph Lauren (RL) is covered by 18 Wall Street analysts. The analysts rate the stock a 2.9 on a scale of 1 (strong buy) to 5 (strong sell).

For Ralph Lauren, 61% of the analysts recommend a “hold,” 22% recommend a “buy,” and 17% recommend a “sell.”

Ralph Lauren: Analysts’ Recommendations and Target Price

How have Ralph Lauren’s ratings changed?

Ralph Lauren’s rating has improved since its 3Q18 results in February. The company was rated a 3.1 at the time of the results. However, an upgrade by Cowen and Company from “market perform” to “outperform” and the initiation by Credit Suisse with an “outperform” rating in March had a positive impact on Ralph Lauren’s overall ranking.

Cowen and Company analyst John Kernan said that a turn around story seems nearby as initiatives fuel growth and elevate the brand. Kernan said, “Checks with our contacts suggest that Ralph Lauren’s brand is stabilizing.”

Despite improved ratings, Ralph Lauren continues to have a weaker ranking than its apparel peers. PVH (PVH), VF (VFC), and Hanesbrands (HBI) are rated 1.8, 2.3, and 2.4, respectively.

Target price

On average, Wall Street has set a target price of $112.57 for Ralph Lauren, which reflects an upside of 3%. Most of Ralph Lauren’s peers have better upsides. PVH, VFC, and Hanesbrands have stock upsides of 12%, 7%, and 34%, respectively.

ETF investors looking to add exposure to Ralph Lauren could consider the PowerShares Russell Midcap Pure Value Portfolio (PXMV). PXMV invests 1.4% of its holdings in Ralph Lauren.