Is Ralph Lauren Stock Outperforming the Nasdaq?

New York-based Ralph Lauren Corporation (RL) designs, markets, and distributes lifestyle products in North America and internationally. With a market cap of $20.6 billion, it offers men's, women's, and children's clothing, footwear and accessories, as well as leather goods, bed and bath lines, furniture, fabric, and more.

Companies valued at $10 billion or more are generally labeled as “large-cap” stocks, and Ralph Lauren fits this criterion perfectly. RL fits right into that category, with its market cap exceeding this threshold, reflecting its substantial size and influence in the apparel manufacturing industry.

RL stock reached its 52-week high of $389.15 on Feb. 20, and is currently down 14.3% from that peak. The stock has declined nearly 8% over the past three months, underperforming the Nasdaq Composite ($NASX), which slipped 6.4% during the same time frame.

RL stock has fallen 5.6% on a YTD basis, a less pronounced decline than NASX's 6.2% dip. Over the longer term, the stock is up 48.2% over the past 52 weeks, outpacing the 23.3% return of NASX over the same period.

RL stock has been trading above its 200-day moving average since late April last year, showcasing a bullish momentum.

On Feb. 5, Ralph Lauren announced better-than-expected Q3 2026 results. The company’s revenue for the quarter rose 12% year-over-year to $2.4 billion and surpassed Street’s estimates. Moreover, the company’s adjusted EPS for the quarter was $6.22, also above Wall Street estimates. However, despite posting impressive results while also raising its outlook, the company’s shares dropped 4.5%. Management cited a projected 80 to 120 bpp drop in its operating margin for the ongoing quarter, due to rising tariff rates, which dampened investor confidence.

In comparison, rival Levi Strauss & Co. (LEVI) has lagged behind RL stock. LEVI stock has fallen 13.7% on a YTD basis and gained 13.3% over the past 52 weeks.

Additionally, sentiment on RL remains highly optimistic. Among the 19 analysts covering the stock, the consensus rating is a “Strong Buy.” Its mean price target of $413.69 suggests 21.6% upside potential from current price levels.