Raymond James upgrades Ralph Lauren to outperform, sets $410 target

According to CNBC, Raymond James upgraded Ralph Lauren to outperform from market perform and set a $410 price target, implying nearly 7% upside from Monday's close. Analyst Rick Patel said the stock's appeal reflects durable average unit retail, stronger sales momentum in China, room for growth in Europe, EBIT margin expansion and management execution. Raymond James expects Ralph Lauren to post 8% revenue growth in its fiscal first quarter, the high end of the company's mid- to high-single-digit guidance, and said the apparel maker is scheduled to report results Aug. 6. Patel also said the company has upside from AUR, Europe, North America DTC and tariffs, and that channel checks were very positive, with website traffic, mobile app data and Google Trends improving quarter over quarter.