UPDATE: Goldman Sachs Upgrades Ralph Lauren to CL-Buy

Goldman Sachs has published a research report on Ralph Lauren

and has upgraded the company to Americas Conviction List Buy (CL-Buy) believing that the company's outlook near-term is positive. In the report, Goldman Sachs writes, "We are upgrading RL to CL-Buy as we see multiple ways to win. Along our broadlines wedge, RL is a secular share gainer with: (1) near-term catalyst – F3Q12 is likely last tough quarter and represents an inflection point for margin and EPS growth, and (2) long-term runway of double-digit revenues levered across 20% EBIT margins to power 20% EPS growth over the next five years. These opportunities boost our FY12/13/14 EPS estimates to $7.11/$8.75/$10.15 from prior $7.10/$8.25/$9.15. As the market digests the many ways to win at RL, we expect shares to revert back to their one-year average multiple of 20X, which drives our price target for 35% upside." Goldman Sachs has raised the price target from $154 to $190 on Ralph Lauren, which is currently trading up $5.43 from Friday's $140.70 closing price.