(RL) Ralph Lauren - Ratings and Ratios
Apparel, Accessories, Footwear, Home, Fragrances
RL EPS (Earnings per Share)
RL Revenue
Description: RL Ralph Lauren October 16, 2025
Ralph Lauren Corp. (NYSE: RL) designs, markets, and distributes a broad portfolio of lifestyle products-including apparel, accessories, home goods, fragrances, and a limited-service restaurant concept-across North America, Europe, Asia and other international markets. The company sells under multiple brand tiers (e.g., Ralph Lauren Collection, Polo Ralph Lauren, Double RL) through department stores, specialty retailers, golf shops, its own brick-and-mortar stores, shop-within-shop concessions, and digital commerce channels.
Key performance indicators from FY 2023 show total revenue of $7.2 billion, a modest 2.5% year-over-year increase driven primarily by a 9% rise in digital sales, which now represent roughly 23% of total net sales. Comparable-store sales in the U.S. were flat, while international markets delivered a 4% growth, reflecting the brand’s ongoing focus on expanding its presence in Asia-Pacific. Operating margin stood at 12.1%, down from 13.4% a year earlier, pressured by higher freight costs and inflation-adjusted labor expenses.
The luxury apparel sector remains sensitive to discretionary consumer spending, which is closely tied to macro-economic variables such as U.S. consumer confidence, employment trends, and real-interest-rate movements. Additionally, RL’s earnings are exposed to foreign-currency fluctuations, especially the euro and yuan, given its sizable overseas sales mix. Supply-chain resilience-particularly the ability to source premium fabrics and manage inventory turnover-continues to be a critical driver of profitability.
For a deeper, data-driven valuation of RL, explore the RL analytics page on ValueRay to see how these fundamentals translate into forward-looking price targets.
RL Stock Overview
| Market Cap in USD | 19,575m |
| Sub-Industry | Apparel, Accessories & Luxury Goods |
| IPO / Inception | 1997-06-11 |
RL Stock Ratings
| Growth Rating | 91.7% |
| Fundamental | 77.3% |
| Dividend Rating | 71.3% |
| Return 12m vs S&P 500 | 34.9% |
| Analyst Rating | 4.16 of 5 |
RL Dividends
| Dividend Yield 12m | 1.09% |
| Yield on Cost 5y | 5.69% |
| Annual Growth 5y | 47.14% |
| Payout Consistency | 95.5% |
| Payout Ratio | 25.9% |
RL Growth Ratios
| Growth Correlation 3m | 87.7% |
| Growth Correlation 12m | 84.7% |
| Growth Correlation 5y | 82.6% |
| CAGR 5y | 53.36% |
| CAGR/Max DD 3y (Calmar Ratio) | 1.48 |
| CAGR/Mean DD 3y (Pain Ratio) | 7.99 |
| Sharpe Ratio 12m | 1.15 |
| Alpha | 31.46 |
| Beta | 1.626 |
| Volatility | 30.21% |
| Current Volume | 680k |
| Average Volume 20d | 436.7k |
| Stop Loss | 309.7 (-3.1%) |
| Signal | -0.42 |
Piotroski VR‑10 (Strict, 0-10) 7.5
| Net Income (794.7m TTM) > 0 and > 6% of Revenue (6% = 437.2m TTM) |
| FCFTA 0.10 (>2.0%) and ΔFCFTA -3.97pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 26.25% (prev 28.20%; Δ -1.95pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.15 (>3.0%) and CFO 1.13b > Net Income 794.7m (YES >=105%, WARN >=100%) |
| Net Debt (1.15b) to EBITDA (1.28b) ratio: 0.90 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.84 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (62.5m) change vs 12m ago -3.25% (target <= -2.0% for YES) |
| Gross Margin 69.03% (prev 67.18%; Δ 1.85pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 101.2% (prev 100.1%; Δ 1.15pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 23.64 (EBITDA TTM 1.28b / Interest Expense TTM 44.7m) >= 6 (WARN >= 3) |
Altman Z'' 7.38
| (A) 0.25 = (Total Current Assets 4.20b - Total Current Liabilities 2.29b) / Total Assets 7.75b |
| (B) 1.00 = Retained Earnings (Balance) 7.76b / Total Assets 7.75b |
| warn (B) unusual magnitude: 1.00 — check mapping/units |
| (C) 0.15 = EBIT TTM 1.06b / Avg Total Assets 7.20b |
| (D) 1.44 = Book Value of Equity 7.52b / Total Liabilities 5.24b |
| Total Rating: 7.38 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 77.33
| 1. Piotroski 7.50pt = 2.50 |
| 2. FCF Yield 3.72% = 1.86 |
| 3. FCF Margin 10.48% = 2.62 |
| 4. Debt/Equity 1.29 = 1.73 |
| 5. Debt/Ebitda 0.90 = 1.90 |
| 6. ROIC - WACC (= 11.78)% = 12.50 |
| 7. RoE 31.52% = 2.50 |
| 8. Rev. Trend 32.87% = 2.47 |
| 9. EPS Trend -14.83% = -0.74 |
What is the price of RL shares?
Over the past week, the price has changed by -4.77%, over one month by +1.95%, over three months by +7.32% and over the past year by +63.71%.
Is Ralph Lauren a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of RL is around 416.12 USD . This means that RL is currently undervalued and has a potential upside of +30.18% (Margin of Safety).
Is RL a buy, sell or hold?
- Strong Buy: 10
- Buy: 5
- Hold: 2
- Sell: 1
- Strong Sell: 1
What are the forecasts/targets for the RL price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 351.9 | 10.1% |
| Analysts Target Price | 351.9 | 10.1% |
| ValueRay Target Price | 471.6 | 47.5% |
RL Fundamental Data Overview October 18, 2025
P/E Trailing = 25.8321
P/E Forward = 22.0264
P/S = 2.6867
P/B = 7.7637
P/EG = 2.3164
Beta = 1.626
Revenue TTM = 7.29b USD
EBIT TTM = 1.06b USD
EBITDA TTM = 1.28b USD
Long Term Debt = 1.24b USD (from longTermDebt, last quarter)
Short Term Debt = 661.8m USD (from shortTermDebt, last quarter)
Debt = 3.24b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 1.15b USD (from netDebt column, last quarter)
Enterprise Value = 20.54b USD (19.58b + Debt 3.24b - CCE 2.28b)
Interest Coverage Ratio = 23.64 (Ebit TTM 1.06b / Interest Expense TTM 44.7m)
FCF Yield = 3.72% (FCF TTM 763.8m / Enterprise Value 20.54b)
FCF Margin = 10.48% (FCF TTM 763.8m / Revenue TTM 7.29b)
Net Margin = 10.91% (Net Income TTM 794.7m / Revenue TTM 7.29b)
Gross Margin = 69.03% ((Revenue TTM 7.29b - Cost of Revenue TTM 2.26b) / Revenue TTM)
Gross Margin QoQ = 72.26% (prev 68.66%)
Tobins Q-Ratio = 2.65 (Enterprise Value 20.54b / Total Assets 7.75b)
Interest Expense / Debt = 0.36% (Interest Expense 11.5m / Debt 3.24b)
Taxrate = 20.72% (57.6m / 278.0m)
NOPAT = 837.8m (EBIT 1.06b * (1 - 20.72%))
Current Ratio = 1.84 (Total Current Assets 4.20b / Total Current Liabilities 2.29b)
Debt / Equity = 1.29 (Debt 3.24b / totalStockholderEquity, last quarter 2.52b)
Debt / EBITDA = 0.90 (Net Debt 1.15b / EBITDA 1.28b)
Debt / FCF = 1.50 (Net Debt 1.15b / FCF TTM 763.8m)
Total Stockholder Equity = 2.52b (last 4 quarters mean from totalStockholderEquity)
RoA = 10.25% (Net Income 794.7m / Total Assets 7.75b)
RoE = 31.52% (Net Income TTM 794.7m / Total Stockholder Equity 2.52b)
RoCE = 28.12% (EBIT 1.06b / Capital Employed (Equity 2.52b + L.T.Debt 1.24b))
RoIC = 22.12% (NOPAT 837.8m / Invested Capital 3.79b)
WACC = 10.34% (E(19.58b)/V(22.81b) * Re(12.01%) + D(3.24b)/V(22.81b) * Rd(0.36%) * (1-Tc(0.21)))
Discount Rate = 12.01% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -100.0 | Cagr: -2.69%
[DCF Debug] Terminal Value 69.63% ; FCFE base≈825.4m ; Y1≈1.02b ; Y5≈1.74b
Fair Price DCF = 418.1 (DCF Value 16.18b / Shares Outstanding 38.7m; 5y FCF grow 25.0% → 3.0% )
EPS Correlation: -14.83 | EPS CAGR: -62.40% | SUE: -4.0 | # QB: 0
Revenue Correlation: 32.87 | Revenue CAGR: 3.12% | SUE: 1.58 | # QB: 4
Additional Sources for RL Stock
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Fund Manager Positions: Dataroma | Stockcircle