Stocks to watch as Trump's new tariffs spell more uncertainty | ReutersSkip to main content[Exclusive news, data and analytics for financial market professionalsLearn more aboutRefinitiv]A trader works on the floor, as a screen displays U.S. President Donald Trump during a press briefing at the White House following the Supreme Court's ruling on tariffs, at the New York Stock... [Purchase Licensing Rights, opens new tab] Read more- Companies[Alcoa Corp]Follow[Alibaba Group Holding Ltd]Follow[Best Buy Co Inc ...

Core Viewpoint - The article highlights a selection of five stocks that represent a diverse range of sectors including consumer, AI, infrastructure, health care, and space companies [1] Group 1: Sector Diversity - The five stocks collectively form a diverse portfolio, covering multiple industries which may appeal to a broad range of investors [1]

Market Reactions - Wall Street showed mixed trading after the Supreme Court struck down President Trump's tariffs, with the S&P 500 up by 0.1% in midday trading [1] - The Dow Jones Industrial Average decreased by 125 points, or 0.3%, while the Nasdaq composite increased by 0.3% [2] - Investors exhibited cautious trading, anticipating that tariffs may not be entirely eliminated, as the White House might shift to targeting specific countries or industries [6] Economic Indicators - Reports indicated slowing U.S. economic growth and rising inflation, but investors had a muted response to these developments [7] - Traders are still betting on at least two interest rate cuts by the Federal Reserve by the end of the year, with some adjusting the timing of these cuts to later in the summer [8] Company Performance - Ralph Lauren's stock initially rose by 3.3% following the Supreme Court's ruling but later fell back to a 0.1% decrease, reflecting past concerns over tariffs impacting profits [4] - Akamai Technologies experienced an 11% drop in stock price despite reporting stronger-than-expected results for the end of 2025, as its profit forecast for the upcoming year fell short of estimates [10] - Comfort Systems' stock rose by 2.4% after reporting stronger profits than analysts expected, with the CEO noting "unprecedented demand" [11] Global Market Trends - In international markets, European stock indexes gained, while the Hang Seng index in Hong Kong fell by 1.1% after reopening, and South Korea's Kospi rose by 2.3% [12]

Core Insights - Ralph Lauren Corporation's margin expansion reflects successful brand elevation and disciplined execution, resulting in financial gains despite macroeconomic challenges [1][4] - The company achieved strong performance in Q3 of fiscal 2026, surpassing revenue and profitability expectations [1][4] Financial Performance - Adjusted gross margin increased by 140 basis points to 69.8%, while adjusted operating margin rose by 200 basis points to 20.7% on a constant-currency basis [2][9] - The margin expansion was driven by strong full-price selling, reduced discounting, and a favorable channel and product mix, which offset higher U.S. tariffs and labor costs [2][9] - Average unit retail (AUR) increased by 18% year over year, significantly contributing to gross margin improvement [2][9] Sales Strategy - Full-price demand was consistent across regions, with Asia showing particularly strong consumer appetite in China and Japan [3] - In North America and Europe, the company reduced discounts without sacrificing comparable-store sales growth, enhancing the quality of sales [3] - Management emphasized that margin expansion is driven by structural brand strength rather than short-term cost benefits [3] Future Outlook - The sustainability of margin expansion depends on maintaining full-price momentum amid ongoing tariff pressures and a volatile consumer environment [4] - Management remains optimistic, citing strong brand appeal, new customer acquisition, and data-driven pricing strategies [4] - Margins may face near-term pressure in Q4 due to tariffs and marketing timing, but the Q3 performance indicates that full-price demand is a core driver of long-term profitability [4] Valuation and Estimates - Ralph Lauren's shares have increased by 7.1% over the past three months, compared to the industry's 9.1% growth [7] - The company trades at a forward price-to-earnings ratio of 20.80X, higher than the industry average of 16.38X [8] - The Zacks Consensus Estimate for fiscal 2026 and fiscal 2027 EPS indicates year-over-year growth of 30.5% and 9.9%, respectively, with recent upward revisions in estimates [10][11]

Core Insights - The stock market in 2026 is experiencing significant volatility, particularly during the Q4 earnings season, which is leading to substantial post-earnings reactions [1] Group 1: Market Trends - The primary theme for investors is the ongoing volatility in the stock market, exacerbated by the Q4 earnings season [1] Group 2: Analyst Background - Gary Alexander has extensive experience in covering technology companies on Wall Street and has worked in Silicon Valley, providing insights into current industry themes [1] - He has been a contributor on Seeking Alpha since 2017 and has been featured in various web publications, with his articles reaching popular trading apps like Robinhood [1]

Core Theme - The stock market in 2026 is experiencing significant volatility, particularly during the Q4 earnings season, which is leading to substantial post-earnings reactions [1] Industry Insights - The technology sector is heavily influenced by various themes, as highlighted by the experience of analysts who have worked in both Wall Street and Silicon Valley [1]

Core Insights - Ralph Lauren Corporation reported strong financial results for Q3 fiscal 2026, with an EPS of $6.22, surpassing the estimated $5.80, and revenue of approximately $2.41 billion, exceeding the estimated $1.82 billion [2][6] - The company raised its full-year outlook, reflecting confidence in continued performance, and received a new price target of $420 from Evercore ISI, indicating a potential stock increase of about 24.4% from its trading price of approximately $337.61 [3][6] Financial Performance - The earnings per share (EPS) for Ralph Lauren was reported at $6.22, exceeding expectations [6] - Revenue for the company reached approximately $2.41 billion, surpassing estimates of $1.82 billion [2][6] Stock Performance - Ralph Lauren's stock is currently priced at $344.55, reflecting a daily increase of $5.89 or 1.74% [4] - The stock has shown volatility, with a trading range between a low of $337.09 and a high of $347.23 during the trading day, and a yearly high of $380 and a low of $176.61 [4] Market Position - The market capitalization of Ralph Lauren Corporation is approximately $20.89 billion, with a trading volume of 518,299 shares [5]

Core Viewpoint - Ralph Lauren reported strong third-quarter earnings and revenue, exceeding Wall Street expectations, but shares fell due to margin pressure warnings from tariffs [1][3] Group 1: Earnings and Revenue Performance - The company posted earnings per share of $5.82, slightly above analyst estimates of $5.78 [1] - Revenue rose 12% year over year to $2.41 billion, surpassing expectations of $2.30 billion [1] - On an adjusted basis, earnings per share reached $6.22, up 29% from a year earlier, while reported EPS increased 25% from $4.66 [2] - Revenue grew 10% in constant currency terms, with foreign exchange contributing approximately 220 basis points to growth [2] Group 2: Consumer Demand and Product Performance - Sales were driven by demand for products such as Polo shirts and leather handbags, with affluent consumers continuing to spend on luxury goods despite economic pressures on lower- and middle-income households [2] Group 3: Future Outlook - The company expects fourth-quarter operating margin to contract by approximately 80 to 120 basis points due to higher U.S. tariffs [3] - For fiscal 2026, the company raised its outlook for constant-currency revenue growth to the high-single-digit to low-double-digit range, up from the previous forecast of 5% to 7% [4] - Operating margin expansion is projected at 100 to 140 basis points, compared to an earlier estimate of 60 to 80 basis points [4] - Fourth-quarter revenue is expected to grow at a mid-single-digit rate in constant currency [4]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended December 27, 2025 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number: 001-13057 Ralph Lauren Corporation (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) 650 Madis ...

Core Insights - Ralph Lauren Corporation (RL) reported strong third-quarter fiscal 2026 results, with both revenue and earnings exceeding expectations, driven by robust holiday demand across various regions and channels [2][3][8] Financial Performance - Adjusted earnings per share reached $6.22, surpassing the consensus estimate of $5.80, and increased by 29% from $4.82 in the same quarter last year [3] - Net revenues grew 12% year over year to $2,406 million, exceeding the Zacks Consensus Estimate of $2,318 million, with a 10% increase on a constant-currency basis [3] - Global direct-to-consumer comparable store sales rose in high-single digits, supported by balanced growth in physical and digital channels, while global wholesale sales experienced robust double-digit growth [4] Regional Performance - North America: Revenues increased by 8% year over year to $1.1 billion, with retail channel comps rising 7% [7] - Europe: Revenues rose 12% year over year to $676 million, with a 4% increase on a currency-neutral basis [9] - Asia: Revenues increased by 22% year over year to $620 million, with comps up 20% [10] Margin and Cost Analysis - Adjusted gross profit margin expanded by 150 basis points year over year to 69.9%, driven by strong average unit retail growth and a favorable product mix [11] - Adjusted operating income was $503 million, with an adjusted operating margin increasing by 220 basis points to 20.9% [12] Financial Position - As of the end of the third quarter, the company had cash and short-term investments of $2.3 billion, total debt of $1.3 million, and total shareholders' equity of $2.9 billion [13] - Inventory increased by 15% year over year to $1.1 billion [13] - The company repurchased nearly $37 million of Class A Common Stock and returned about $500 million to shareholders through dividends and stock repurchases [14] Future Outlook - Following strong Q3 results, Ralph Lauren raised its full-year fiscal 2026 guidance, expecting revenue growth in the high-single to low-double digits on a constant currency basis [16][17] - For the fiscal fourth quarter, revenues are expected to grow in mid-single digits on a constant currency basis, with foreign currency expected to aid revenues by 200-300 basis points [20]