The meaning and relevance of this film's Raggedy Man (1981) title is that a "raggedy man" can be defined as a "a scuzzy rag-picker", a description that in the film applies to the character Bailey played by Sam Shepard.
The trivia items below may give away important plot points.
This movie's final fifteen minutes include violence and a foray into arguably horror genre movie territory. This invariably drew comparisons with and evoked Sissy Spacek's earlier movie, Carrie (1976).
The Raggedy Man character, who throughout most of the film had appeared to be a dark mysterious character, at the end of the movie becomes the saving grace and guardian angel of the central female character.