Feb. 5, 2014, 9:01 AM
- Ralph Lauren (RL) says retail sales grew 6% to $1.1B in FQ3 while wholesales segment sale were up 14% to $840M.
- Gross profit rate fell 110 bps to 58.2% due in part to product mix factors and foreign currency swings.
- Guidance for FY14 is lifted to the top of its previously-announced range.
- The company authorized another $500M in buybacks to take its allowance to $730M.
- RL +8.3% premarket
Feb. 5, 2014, 8:04 AM| Comment!
Feb. 5, 2014, 12:05 AM
Feb. 4, 2014, 5:30 PM
Jan. 23, 2014, 1:10 PM
- Team USA unveiled the Ralph Lauren-designed uniforms it will wear at the opening ceremonies of the Sochi Winter Olympics.
- Though the designer prevented a repeat of the 2012 mistake of having the clothes manufactured outside the U.S., there is still some criticism on their look. "Tacky" and "overkill" seem to be the words of choice.
- The Ralph Lauren (RL -0.4%) company hopes to create a sales buzz off the design. The retailer has an extensive Team USA line of clothing available at stores and online.
Jan. 16, 2014, 2:18 PM
- A new survey on luxury spending by wealthy consumers in China indicates a soft demand trend may continue.
- Spending on gifts fell 25% last year, while overall spending by the wealthy fell 15%.
- A number of factors are in play with Chinese consumption taxes high and the government cracking down on corruption, but the underlying trend is that a surprising number of high net worth consumers are leaving China for new residences overseas.
- The good news for the sector is that some of the lost sales could be recaptured in different markets.
- Related stocks: Gucci (GUCG), Prada, Louis Vuitton (LVMUY), Coach (COH), Ralph Lauren (RL), Michael Kors (KORS), Swatch (SWGAY), Burberry (BURBY), Louis Vuitton (LVMHF), Tiffany (TIF), and Warnaco (WRC).
Jan. 16, 2014, 6:53 AM
Dec. 20, 2013, 9:06 AM
- Luxury star Prada fell short of the consensus estimate of analysts with its Q3 profit. The report from the Italian firm could be a sector warning with Prada's results in China showing some signs of deceleration.
- A stronger euro against the yen was also a bottom line drag for the company.
- Execs with Prada said 'softening consumption patterns" in some key regions could continue to weigh on results.
- On watch: Louis Vuitton (LVMUY), Coach (COH), Ralph Lauren (RL), Michael Kors (KORS), Gucci Group (GUCG), Swatch (SWGAY), Burberry (BURBY), Estee Lauder (EL), Hermes (HESAF), Richemont (CFRUY).
Dec. 11, 2013, 10:54 AM
- Though most signs have pointed to strong demand from luxury buyers this holiday season, there are a few concerns about the Henrys. The set of spenders known as "High Earners Not Rich Yet" could be peeling back a little bit.
- China-focused Tiffany (TIF -0.4%) and brand-strong Michael Kors (KORS -0.9%) are expected to skate through just fine - but Nordstrom (JWN -0.1%), Ralph Lauren (RL +0.6%), and Coach (COH -0.2%) could feel a Henry-pinch.
Dec. 5, 2013, 10:59 AM
- More retail analysts now see holiday season sales coming in weak after early projections from the NRF and ShopperTrak called for a 3% to 4% rise. A number of firms agree with Hedgeye that the level of promotional activity will be very damaging when Q4 reports start rolling in.
- Despite the broad carnage in the retail sector, there are some out-performers.
- Discounters: Dollar General's increase in traffic and average basket size - along with a decent quarter from Stein Mart - could be confirming indicators that consumers are stepping down a bit with their shopping habits. Watch FDO, DLTR, FIVE, FRED, ALCS, GMAN, SMRT.
- Luxury: Tiffany (TIF +0.5%), Coach (COH -1.2%), and Ralph Lauren (RL -0.4%) are cruising through the retail season with demand and pricing intact.
- Powerful brands: Early channel checks on Lululemon (LULU -0.4%), Nike (NKE +0.1%), and Gap (GPS -1.2%) have been positive as consumers gravitate to what they know and like.
- E-commerce stars: Visa (V -0.4%), MasterCard (MA +0.4%), eBay (EBAY +0.2%), Amazon (AMZN -0.8%), Dick's Sporting Goods (DKS +0.3%), and Under Armour (UA +1.2%) are some of the companies tapped to benefit as mobile/online is factored in to counterbalance reads on weak store traffic.
- Underdogs: J.C. Penney (JCP -7.6%) is a $20 stock, according to Hedgeye. The retailer has upside to improve its embarrassingly low sales-per-square-foot mark during the holiday season and continue online momentum.
Nov. 6, 2013, 8:25 AM
- Ralph Lauren (RL) reports retail sales increased 5% to $901M in FQ2 while the wholesales segment lagged at a 1% pace.
- The retailer saw its gross profit slump 220 bps during the quarter on an unfavorable product mix and foreign currency swings. A concerted effort to invest in global retail operations also played a factor.
- The company raises its outlook slightly for FY14 revenue to 5%-7% growth from a prior range of 4% to 7%. (PR)
- Share of RL are up 2.8% premarket, but execs will need a firm answer on why inventory growth is outpacing (5-to-1) sales during the firm's earnings call.
Nov. 6, 2013, 8:07 AM
Nov. 6, 2013, 12:05 AM| Comment!
Nov. 5, 2013, 5:30 PM| Comment!
Oct. 29, 2013, 1:48 PM
- Luxury goods sales will rise 6% this year in constant exchange rates to top last year's mark of 5%, estimates Bain.
- A maturing market in China has been offset in part by strong luxury trends in Malaysia and Indonesia.
- Global ultra high-end retailers: Prada, Louis Vuitton (LVMUY), Coach (COH), Ralph Lauren (RL), Michael Kors (KORS), Gucci Group (GUCG), Swatch (SWGAY), Burberry (BURBY), Estee Lauder (EL), Hermes (HESAF), Richemont (CFRUY).
Oct. 2, 2013, 9:28 AM
- Consumers in China are shifting their preferences to lifestyle brands, according to Credit Suisse.
- The trend is sparked by the younger generation which is eager to wear different styles than their parents.
- Luxury brands such as Louis Vuitton (LVMHF.PK) and Dunhill could suffer as the lifestyle brands gain relevance and the high-end premium trims.
- Tapped for success in China: Adidas (ADDYY.PK), Lululemon (LULU), Ralph Lauren (RL), Wolverine Worldwide (WWW), VF Corporation (VFC).
RL vs. ETF Alternatives
Other News & PR