Jim Cramer: Six Fashion Stocks to Buy Beyond the AI Trade

According to CNBC, Jim Cramer highlighted Ralph Lauren, Tapestry, Levi Strauss, VF Corp, Kontoor Brands and Reformation as fashion stocks investors could consider beyond the struggling AI trade. The SPDR S&P Retail ETF gained 10% this quarter, while the Technology Select Sector SPDR Fund fell 11%. Cramer said falling interest rates could give apparel companies a boost heading into the holiday shopping season. Ralph Lauren is Cramer’s favorite apparel stock, and he is optimistic ahead of its Thursday morning earnings report. Tapestry, which owns Coach and Kate Spade, also reports Thursday; its shares have fallen 20% since its August earnings report. Levi Strauss shares have rebounded more than 20% from their post-earnings low and trade at roughly 14 times earnings, with a 2.8% dividend yield. VF Corp shares have risen roughly 14% since Cramer recommended the stock about two weeks ago. Kontoor Brands plans to sell Lee for up to $1 billion and trades at roughly 14 times earnings, with a dividend yield near 3%. Reformation shares surged more than 31% in October.