At a lavish dinner gathering in Cape Fear, North Carolina, the exuberant Sailor Ripley (Nicolas Cage), a 23-year-old Elvis Presley fanatic, finds himself in a scuffle when Bob Ray Lemon (Gregg Dandridge) accuses him of making unwanted advances towards Marietta Fortune (Diane Ladd), who happens to be the mother of his girlfriend, Lula (Laura Dern). During this confrontation, Lemon reveals that Marietta has supposedly hired him to kill Sailor and draws a switchblade. In a swift response, Sailor defends himself, delivering a brutal beating before the stunned onlookers.
Consequently, Sailor is convicted of manslaughter and spends 22 months in the Pee Dee Correctional Facility. Once paroled, despite her mother’s firm instructions to stay away from Sailor, Lula decides to leave everything behind and reunite with him. Overjoyed, Sailor receives a cherished snakeskin jacket from Lula, symbolizing his belief in personal freedom and individuality.
The couple indulges in wild passions, spending their nights dancing and enjoying each other's company, with Sailor even singing tunes reminiscent of Elvis, although he avoids “Love Me Tender,” explaining he would reserve that for his wife. Meanwhile, Marietta, filled with rage and resentment, seeks the help of private investigator Johnnie Farragut (Harry Dean Stanton) to locate Lula and bring her home. As events unfold, Marietta’s desperation leads her to involve Marcelles Santos (J.E. Freeman) to eliminate Sailor, with the added motive of taking out Farragut who is privy to their shady dealings.
Despite her initial intentions, Marietta soon grapples with guilt over her decisions and attempts to protect Farragut. Meanwhile, Sailor, sensing danger, decides to flee North Carolina with Lula, heading toward California. Their journey leads them to New Orleans, where they revel in more escapades and intimacy. However, Marietta tracks them down and lies to Farragut about Santos’s involvement. Ultimately, Farragut becomes a victim of Santos’s henchmen, murdered in a gruesome fashion.
On the road, Sailor reveals his troubled past to Lula, confessing he worked for Santos on the night of the fire that claimed her father’s life. This veering into dark memories is interrupted by a fatal car accident they witness, reinforcing Lula’s belief that they're cursed. Running short on funds, the couple arrives in Big Tuna, Texas, where they encounter an array of eccentric characters, including Bobby Peru (Willem Dafoe), who senses Lula’s pregnancy and exploits Sailor’s worries about their future.
Despite Lula's desire to leave the town, Sailor persuades her to wait, concealing his plan with Bobby Peru for a robbery. The plan goes awry, leading to chaos and betrayal. Bobby double-crosses Sailor, leaving him to deal with the fallout. Sailor ends up back in prison, while Marietta drags Lula back to North Carolina.
Five years down the road, Sailor is freed once again, unburdened by parole. Determined to reunite with Lula, who has moved to Los Angeles, he navigates the challenges posed by Marietta's disapproval. Lula, defying her mother, brings their son, Pace (Glenn Walker Harris, Jr.), to meet Sailor at the train station. Their reunion is awkward, prompting Sailor to suggest Lula and Pace might be better off without him.
In a twist of fate, after an altercation with a gang leaves him unconscious, Sailor experiences a vision of Glinda the Good Witch (Sheryl Lee), who encourages him not to turn away from love. Awakening to the reality of his deep feelings for Lula, he races back to her, and despite the tumultuous traffic, they find joy in their reunion, culminating in Sailor serenading Lula with "Love Me Tender," leaving audiences with a heartwarming conclusion as the credits roll.
