Ralph Lauren Raises Revenue Outlook

Ralph Lauren Corp ($RL@US) raised its full-year revenue forecast on Tuesday on strong demand for luxury goods as the economy continues to rebound. As the holiday season takes hold of the retail industry, brands like Ralph Lauren are seeing positive results in the face of rising shipping costs, smaller profit margins and supply chain bottlenecks. The firm noted that its sales in North America rose 30% in the 2nd quarter. Plus, the fashion giant expects its fiscal revenue to rise 34 to 36%, a massive jump from previous estimates of 25 to 30%. Lauren also expects its profit per share to settle in at $2.62 per share. Competitors like LVMH ($LVMUY@France), Brunello Cuccinelli, and Hermes ($HESAY@France) are reporting stronger sales figures even though there is a slowdown in Asia and tourist shopping. With these markets representing key segments of the industry, it appears that the fashion industry is coming back as the world population continues to get vaccinated against the novel coronavirus. Lauren stock rose 2% as the news broke.