Bank of America raises Ralph Lauren price target to $450, citing strong luxury brand growth and margin potential.

Bank of America increased its price target for Ralph Lauren Corp to $450 from $400, maintaining a 'Buy' rating due to the company's improved luxury brand positioning and margin-accretive growth prospects. The firm now values Ralph Lauren on a higher earnings multiple, reflecting structural business improvements and consistent earnings growth. Key growth drivers include underpenetrated high-value categories like women's apparel and handbags, along with strong international expansion, especially in Asia. The analysts believe the stock's premium valuation is justified by stronger margins, brand elevation, and a shift towards luxury market standards, supporting further multiple expansion and sustained margin growth over time.