Who is the largest apparel company?

Some of the largest apparel companies include Nike, as well as diversified businesses like LVMH Moët Hennessy Louis Vuitton (OTC:LVMHF).

What are the top companies in the apparel industry?

Top companies in the apparel industry include Nike, TJX Companies, and Lululemon.

Is the apparel industry good to invest in?

Investing in the apparel industry can be attractive due to its size, global reach, and potential for innovation. However, it is a cyclical space prone to shifts driven by changing consumer behavior. So, when economic conditions are weak, reduced spending can hit companies across all sectors.

Are online-only apparel brands good investment options?

Online-only apparel brands can be potentially sound investment opportunities because they have lower overheads than physical stores and high demand for niche areas like sustainable or personalized fashion. However, the success of those businesses depends heavily on a solid growth strategy, and an online-only model alone isn't enough to drive meaningful returns. For example, Stitch Fix is an online styling service, but its model has struggled to gain traction with consumers in recent years.

Should I focus on global or domestic apparel companies?

Diversification is key to maximizing your portfolio returns, so investing in apparel companies with both domestic and global presence can enhance your investment's growth potential.

Are apparel stocks cyclical?

Apparel stocks are cyclical, which means their performance is closely tied to the health of the economy. When people have more disposable income, they tend to upgrade their wardrobes, boosting sales for clothing retailers. Since most clothing purchases aren't essential, they are often the first things consumers cut back on to save money in difficult macroeconomic times. These stocks can still be good investments, but it's important to adopt a long-term buy-and-hold perspective and understand the potential volatility these businesses may face before you put cash to work.

7 Best Apparel Stocks for 2026 and How to Invest

By Rachel Warren – Updated Aug 2, 2026 at 1:57 PM EST | Fact-checked by Frank Bass

Key Points

Nike focuses on rekindling innovation and retail relationships to bolster brand power.
Lululemon expands globally, capitalizing on the athleisure and fitness industry boom.
Lands' End focuses on digital and uniform sectors after securing financial stability through a joint venture.

E-commerce and sport-inspired fashion are reshaping how consumers shop and what they buy. Apparel stocks are cyclical, but companies with strong brands, omnichannel execution, and clear value propositions can still perform well across economic cycles.

Here are the top apparel stocks we love.

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7 top apparel stocks for 2026

Apparel stocks include a wide range of businesses. Here are some companies that might warrant a place in your long-term portfolio.

Ticker Information Table
Name and ticker	Market capMarket cap calculated using publicly traded shares outstanding only. Does not include unlisted, private, or dual-class non-traded shares. Implied market cap may vary.	Dividend yield	Industry	Current price
Nike (NYSE:NKE)	$61.9 billion	3.91%	Textiles, Apparel and Luxury Goods	$41.70
Lululemon Athletica Inc. (NASDAQ:LULU)	$14.6 billion	0.00%	Textiles, Apparel and Luxury Goods	$128.58
Stitch Fix (NASDAQ:SFIX)	$560.4 million	0.00%	Specialty Retail	$4.20
TJX Companies (NYSE:TJX)	$178.3 billion	1.09%	Specialty Retail	$161.36
Target (NYSE:TGT)	$68.0 billion	3.05%	Food and Staples Retailing	$149.70
Lands' End (NASDAQ:LE)	$403.3 million	0.00%	Specialty Retail	$13.12
Urban Outfitters (NASDAQ:URBN)	$6.6 billion	0.00%	Specialty Retail	$76.92

Data as of Aug 9, 2026. Showing 7 of 7 total entries.

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1. Nike

Nike (NKE -0.71%) needs little introduction. The global footwear and apparel leader has been a major part of sports and pop culture for decades and remains a household name in fashion, athletic gear, and everyday street clothing. While Nike's growth has been resilient through the decades, the last few years have brought challenges for the business.

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NYSE: NKE

Nike

Today's Change

(-0.71%) $-0.30

Current Price

$41.70

Key Data Points

Market Cap

$62B

Day's Range

$41.61 - $42.37

52wk Range

$40.00 - $80.17

Volume

22M

Avg Vol

23.2M

Gross Margin

43.14%

Dividend Yield

3.91%

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Nike is facing struggles due to a combination of factors, including a slowdown in consumer demand, increased competition from other brands, and a shift in consumer preferences away from expensive sneakers and textiles toward experiences and basics.

The company's rapid shift toward a direct-to-consumer strategy, while initially promising, led to challenges in managing inventory and eroded long-standing relationships with key wholesaling partners. Management’s turnaround plan focuses on rekindling innovation, reconnecting with retailers, and refocusing on performance sports. Recovery will take time, but Nike’s brand power remains significant.

2. Lululemon Athletica

Lululemon Athletica (LULU +3.09%) began as a pioneer of sorts in women's yoga attire and significantly helped to popularize athletic-inspired apparel for everyday wear. Building on its early success, the company now has full lines of clothing for women, men, and children.

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NASDAQ: LULU

Lululemon Athletica Inc.

Today's Change

(3.09%) $3.85

Current Price

$128.58

Key Data Points

Market Cap

$15B

Day's Range

$124.00 - $128.86

52wk Range

$104.44 - $225.98

Volume

2.8M

Avg Vol

3.4M

Gross Margin

55.63%

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Lululemon continues to innovate its product offerings, expanding beyond yoga into categories like running and training and offering footwear. The company is aggressively expanding internationally, particularly in China and Europe, and is also targeting significant growth in men's and digital channels.

Lululemon could be an intriguing way for investors to capitalize on the worldwide athleisure boom and the growth of the fitness industry.

3. Stitch Fix

Stitch Fix (SFIX +4.22%) has made a name for itself in the online personal styling space. Founded in 2011, this company has quickly become a leader in online retail.

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NASDAQ: SFIX

Stitch Fix

Today's Change

(4.22%) $0.17

Current Price

$4.20

Key Data Points

Market Cap

$560M

Day's Range

$4.04 - $4.25

52wk Range

$2.95 - $5.94

Volume

1.2M

Avg Vol

Gross Margin

41.86%

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It uses machine learning to analyze customer data to help stylists curate personalized clothing and accessory options. The company has also introduced direct shopping via Stitch Fix Freestyle. Over the last few years, Stitch Fix has faced a tough environment.

Declining revenue, a slowdown in its active client base, and changes in consumer spending have led to a focus on cost-cutting. Currently, Stitch Fix is in turnaround mode. Revenue has declined, active clients have fallen, and profitability remains elusive. Success depends on stabilizing growth and improving cash flow.

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4. The TJX Companies

In the rapidly evolving digital era, TJX Companies (TJX -0.43%) -- parent company of T.J. Maxx, Marshalls, and HomeGoods -- would seem to be an unlikely winner. The retailer is highly reliant on sales from brick-and-mortar stores, which offer a treasure-hunt-style shopping experience, and its inventory is unpredictable because it sources excess goods from manufacturers and other retailers.

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NYSE: TJX

TJX Companies

Today's Change

(-0.43%) $-0.70

Current Price

$161.36

Key Data Points

Market Cap

$178B

Day's Range

$159.23 - $162.50

52wk Range

$130.88 - $170.00

Volume

4.7M

Avg Vol

Gross Margin

31.29%

Dividend Yield

1.09%

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TJX operates under a unique off-price retail model, focusing on selling brand-name and designer merchandise at deep discounts. It sources its merchandise from various channels, including department store cancellations, manufacturer overstocks, and end-of-season closeouts, and the constant rotation of inventory keeps customers engaged.

TJX stock is another long-term value play among apparel stocks, and it pays a decent dividend to boot.

5. Target

Yes, big-box store Target (TGT +1.78%) is an apparel company. In fact, it's a fast-growing clothier. The last few years have brought challenges for Target, including headwinds from declines in discretionary consumer spending and inventory shrinkage driven by increased retail theft.

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NYSE: TGT

Target

Today's Change

(1.78%) $2.62

Current Price

$149.70

Key Data Points

Market Cap

$68B

Day's Range

$145.50 - $149.80

52wk Range

$83.44 - $150.07

Volume

2.8M

Avg Vol

4.8M

Gross Margin

25.65%

Dividend Yield

3.05%

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Target stores are widely accessible, with most of the U.S. population living within a few miles of one. Shoppers can find everything they need in just a single trip (or click), and the company's shipping and delivery operations are a further differentiator.

When consumer spending trajectories recover, Target could be well-positioned to benefit. Despite its struggles the last few years, Target has maintained its commitment to its dividend throughout that time and clocked more than five decades of consecutive annual dividend increases, making it part of an elite group of companies known as Dividend Kings.

6. Lands' End

Lands’ End (LE +1.55%) focuses on high-quality, functional basics -- think durable outerwear and swimwear -- that people buy year after year. This timeless appeal creates a more predictable revenue stream than your average fast-fashion stock.

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NASDAQ: LE

Lands' End

Today's Change

(1.55%) $0.20

Current Price

$13.12

Key Data Points

Market Cap

$403M

Day's Range

$12.83 - $13.20

52wk Range

$9.56 - $20.04

Volume

154.6K

Avg Vol

267.3K

Gross Margin

45.78%

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Lands’ End recently made a move that could fundamentally reshape its future. It formed a 50/50 joint venture with brand management firm WHP Global in January 2026. This deal infused the company with $300 million in cash in exchange for a half-stake in its trademarks and intellectual property. By using these funds to immediately pay off roughly $234 million in debt, Lands’ End has cleared its biggest financial hurdle and secured a more stable path forward.

While Lands' End will now pay a royalty to use its own brand name, the agreement includes guaranteed minimum payments to the company starting at $50 million, as well as a separate $100 million offer to buy back shares at a significant premium. This asset-light approach allows Lands’ End to focus on its high-growth digital and uniform businesses while letting WHP Global’s massive network supercharge its global expansion.

7. Urban Outfitters

Urban Outfitters (URBN -0.97%) has evolved far beyond its namesake brand to become a diversified powerhouse in the lifestyle space. While the core Urban Outfitters stores are iconic, the company's real strength currently lies in its portfolio approach. The Anthropologie and Free People brands have been major growth engines, consistently outperforming the broader retail market by tapping into more affluent, bohemian-leaning demographics that are less sensitive to economic swings.

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NASDAQ: URBN

Urban Outfitters

Today's Change

(-0.97%) $-0.75

Current Price

$76.92

Key Data Points

Market Cap

$6.6B

Day's Range

$75.26 - $77.68

52wk Range

$59.53 - $84.35

Volume

931.3K

Avg Vol

1.2M

Gross Margin

35.98%

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This variety allows the company to capture customers at different life stages, from college students to established professionals, creating a built-in hedge that keeps the business stable even when one specific trend or brand cools off. Another exciting tailwind for Urban Outfitters right now is its aggressive move into the circular economy through its clothing rental service, Nuuly.

This subscription model has exploded in popularity, providing a predictable, recurring revenue stream that is rare in the hit-or-miss world of fashion. By blending traditional retail with a modern subscription service and high-demand specialized brands, Urban Outfitters is positioning itself as a resilient, tech-forward apparel pick.

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How to buy apparel stocks

If you want to invest in shares of any apparel stock, here are the steps you need to follow.

Open your brokerage app: Log in to your brokerage account where you handle your investments.
Search for the apparel stock: Enter the ticker or company name into the search bar to bring up the stock's trading page.
Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this stock.
Select order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.
Submit your order: Confirm the details and submit your buy order.
Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly

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Benefits and risks of investing in apparel stocks

Here are some benefits to consider if you want to put cash to work in this space:

Powerful brands command premium pricing.
Dedicated demographics create stable product demand.
Integrated online operations can accelerate a company's revenue expansion.
Successful brands can easily scale internationally into emerging consumer markets
Basic apparel categories provide stable revenue even during economic slowdowns.

There are also some risks to keep in mind:

Inflation and downturns quickly depress nonessential sales.
Revenue fluctuates significantly with shifts in consumer confidence.
Poor omnichannel shopping experiences erode growth.
Inability to adapt to industry changes hurts a company's efficiency and growth story.

Methodology: How these stocks were chosen

The apparel industry isn't entirely discretionary, but it's still highly sensitive to overall economic conditions, consumer confidence, and purchasing power. It's important to be comfortable with this level of cyclicality before you put your capital to work in apparel stocks.

In a highly competitive market, brands that resonate with specific demographics or niche markets can often command higher price points and enjoy more stable demand than general merchandisers, translating into durable gains for retail investors.

A seamless integration of online and in-store operations is essential for an apparel company to meet evolving consumer shopping habits, and a subpar shopping experience can quickly erode financial growth. The quality of the company's management team is another key factor to consider, particularly their ability to adapt to changing industry dynamics, invest in innovation, and maintain operational efficiency.

As with any stock investment, analyze a company's core financial metrics, such as gross margins, revenue, earnings, and debt levels, to assess its financial health and determine whether the business is a good fit for your personal portfolio. These are all factors we took into account when compiling this list of stocks.

The bottom line

Apparel isn’t the flashiest sector, but it continues to evolve through digital commerce, resale markets, and athleisure demand.

Consumers consistently buy clothing, even in slower economies. Companies with durable brands and smart execution can generate steady long-term returns.

For investors comfortable with some cyclicality, apparel stocks can be part of a diversified portfolio.

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Investing in apparel stocks FAQ

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About the Author

Rachel Warren is a contributing Motley Fool stock market analyst covering pharmaceuticals, biotechnology, medical devices, information technology, and consumer goods. Prior to The Motley Fool, Rachel was a paralegal and legal administrator. She holds a bachelor’s degree in paralegal studies from Liberty University School of Law.

TMFRachelW

Rachel Warren has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Lululemon Athletica Inc., Nike, TJX Companies, and Target. The Motley Fool recommends Stitch Fix. The Motley Fool has a disclosure policy.

7 Best Apparel Stocks for 2026 and How to Invest

Key Points

7 top apparel stocks for 2026

1. Nike

Key Data Points

2. Lululemon Athletica

Key Data Points

3. Stitch Fix

Key Data Points

4. The TJX Companies

Key Data Points

5. Target

Key Data Points

6. Lands' End

Key Data Points

7. Urban Outfitters

Key Data Points

How to buy apparel stocks

Benefits and risks of investing in apparel stocks

Methodology: How these stocks were chosen

The bottom line

Related investing topics

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Best Luxury Stocks to Buy in 2026 and How to Invest in Them

Investing in Restaurant Stocks

Best E-Commerce Stocks to Buy in 2026 and How to Invest in Them

Investing in apparel stocks FAQ

Who is the largest apparel company?

Who is the largest apparel company?

What are the top companies in the apparel industry?

What are the top companies in the apparel industry?

Is the apparel industry good to invest in?

Is the apparel industry good to invest in?

Are online-only apparel brands good investment options?

Are online-only apparel brands good investment options?

Should I focus on global or domestic apparel companies?

Should I focus on global or domestic apparel companies?

Are apparel stocks cyclical?

Are apparel stocks cyclical?

About the Author

Read Next

Stocks Mentioned

Motley Fool Stock Advisor’s Latest Pick

Premium Investing Services

1. Nike

2. Lululemon Athletica

Key Data Points

Key Data Points

4. The TJX Companies

Key Data Points

5. Target

Key Data Points

Key Data Points

How to buy apparel stocks

Benefits and risks of investing in apparel stocks

Methodology: How these stocks were chosen

The bottom line

7 Best Retail Stocks for 2026 and How to Invest

Best Luxury Stocks to Buy in 2026 and How to Invest in Them

Investing in Restaurant Stocks

Best E-Commerce Stocks to Buy in 2026 and How to Invest in Them

Investing in apparel stocks FAQ

Who is the largest apparel company?

Who is the largest apparel company?

What are the top companies in the apparel industry?

What are the top companies in the apparel industry?

Is the apparel industry good to invest in?

Is the apparel industry good to invest in?

Are online-only apparel brands good investment options?

Are online-only apparel brands good investment options?

Should I focus on global or domestic apparel companies?

Should I focus on global or domestic apparel companies?

Are apparel stocks cyclical?

Are apparel stocks cyclical?

Key Data Points

Key Data Points

3. Stitch Fix

6. Lands' End

7. Urban Outfitters