Back-to-School Buzz Spotlights One Stock That’s Ready to Surge

By TradeSmith Editorial Staff

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Back-to-school spending just set a record $41.5 billion — an average of $890.07 spent per school-aged child.

This is more than just spending; if you dig down, there are “signals” that spotlight the winners — and the best places to make money.

Especially in clothes.

The clothing and accessories category ranked second in back-to-school shopping, according to a Prosper Insights and Analytics survey:


But if you can’t keep up with what the kids are wearing these days, don’t worry: You have a secret weapon in your corner.


Our friends at Derby City Insights know which trends, brands, and companies are winning with consumers on Main Street.

And that gives you a “first-mover advantage” — before Wall Street catches on.

Here’s how…

As soon as someone shares a schoolyard or campus fashion mention on social media, their database captures that message in real time and identifies the brands and companies being mentioned.

It helps identify emerging opportunities.

And the folks at Derby City Insights have zeroed in on more than a few winners in the clothing category:

  • In July 2020, next-gen fashion retailer Revolve Group Inc. (RVLV) was all the rage as students headed back to class, which led their MegaTrends subscribers to a 90% return in less than two years.
  • In July 2021, they pegged Crocs Inc. (CROX) as an early back-to-school winner at $117; they saw Purchase Intent mentions maintaining high levels of demand… and by November, the stock had rocketed 54% to $180.
  • And last year, sustainable shoemaker On Holding (ONON) was the dominating fall fashion force — making their MegaTrends subscribers 60%+ gains and counting, as of this writing.
For this back-to-school season, they’ve just spotted a new potential winner.

One that could deliver gains of more than 40% in the next 12 months.

The Winner Is…

Andy Swan, Senior Analyst at Derby City Insights, says the coveted look across schoolyards this year is “preppy,” thanks to the polos and the “I’m about to go on a yacht” looks from the hit Barbie movie — one of the top 20 highest-grossing movies of all time.

And there’s one brand that’s synonymous with the “preppy look” — Ralph Lauren Corp. (RL).

Andy’s data IDs Ralph Lauren as a favorite among trendsetting high school and college students.



Outside of Barbie, the influence of social media influencers and A-listers is also playing a significant role in purchasing decisions: Half of Gen-Zers rely on influencers to identify luxury trends.

They see Beyoncé in Ralph Lauren… and that’s the brand they want to buy.


Even with credit card debt traversing the $1 trillion threshold, retail spending continues at a robust clip. And Derby City Insight’s data from LikeFolio shows that Purchase Intent mentions (how many folks have bought or are planning to buy a Ralph Lauren product) have jumped 78% year-over-year.


Another “brand-awareness catalyst” will be this month when Ralph Lauren returns to New York Fashion Week.



Now, Ralph Lauren shares are down about 10% over the past month — suffering, in kind, with the general August rout in stocks.

But Andy believes Ralph Lauren — boosted by back-to-school results — can post strong results next quarter.

Some of the more bullish analysts are also seeing what Andy’s seeing, with a price target of $169 over the next 12 months — a potential 43% gain as of this writing.

Bottom line: With Ralph Lauren’s capturing of fans from the Barbie movie, as well as having A-list celebrities dressed in its offerings, people are still opening their wallets to purchase from the New-York Based fashion designer. When Andy releases new reports each week with fresh investing opportunities like this, you can make sure you’re first on the list to get them by clicking here.