(RL) Ralph Lauren - Ratings and Ratios
Apparel, Accessories, Footwear, Home, Fragrances
Dividends
| Dividend Yield | 0.97% |
| Yield on Cost 5y | 4.02% |
| Yield CAGR 5y | 47.14% |
| Payout Consistency | 95.5% |
| Payout Ratio | 23.7% |
| Risk via 10d forecast | |
|---|---|
| Volatility | 31.6% |
| Value at Risk 5%th | 47.6% |
| Relative Tail Risk | -8.52% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 1.21 |
| Alpha | 37.42 |
| CAGR/Max DD | 1.43 |
| Character TTM | |
|---|---|
| Hurst Exponent | 0.499 |
| Beta | 1.430 |
| Beta Downside | 1.391 |
| Drawdowns 3y | |
|---|---|
| Max DD | 36.18% |
| Mean DD | 6.65% |
| Median DD | 4.62% |
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.
Piotroski VR‑10 (Strict, 0-10) 8.0
| Net Income (854.3m TTM) > 0 and > 6% of Revenue (6% = 454.2m TTM) |
| FCFTA 0.09 (>2.0%) and ΔFCFTA -4.78pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 25.27% (prev 22.44%; Δ 2.83pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.15 (>3.0%) and CFO 1.09b > Net Income 854.3m (YES >=105%, WARN >=100%) |
| Net Debt (1.41b) to EBITDA (1.32b) ratio: 1.06 <= 3.0 (WARN <= 3.5) |
| Current Ratio 2.04 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (62.4m) change vs 12m ago -2.35% (target <= -2.0% for YES) |
| Gross Margin 69.22% (prev 67.52%; Δ 1.69pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 107.0% (prev 99.12%; Δ 7.90pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 31.83 (EBITDA TTM 1.32b / Interest Expense TTM 34.6m) >= 6 (WARN >= 3) |
Altman Z'' 7.90
| (A) 0.26 = (Total Current Assets 3.75b - Total Current Liabilities 1.84b) / Total Assets 7.35b |
| (B) 1.08 = Retained Earnings (Balance) 7.91b / Total Assets 7.35b |
| warn (B) unusual magnitude: 1.08 — check mapping/units |
| (C) 0.16 = EBIT TTM 1.10b / Avg Total Assets 7.07b |
| (D) 1.56 = Book Value of Equity 7.43b / Total Liabilities 4.77b |
| Total Rating: 7.90 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 81.10
| 1. Piotroski 8.0pt |
| 2. FCF Yield 2.85% |
| 3. FCF Margin 8.82% |
| 4. Debt/Equity 1.10 |
| 5. Debt/Ebitda 1.06 |
| 6. ROIC - WACC (= 14.47)% |
| 7. RoE 33.42% |
| 8. Rev. Trend 43.94% |
| 9. EPS Trend 51.50% |
What is the price of RL shares?
Over the past week, the price has changed by -3.52%, over one month by +13.72%, over three months by +14.64% and over the past year by +56.61%.
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 | 366.8 | 2.4% |
| Analysts Target Price | 366.8 | 2.4% |
| ValueRay Target Price | 520.2 | 45.3% |
RL Fundamental Data Overview December 02, 2025
P/E Trailing = 27.0222
P/E Forward = 24.6914
P/S = 2.9307
P/B = 8.6264
P/EG = 2.2652
Beta = 1.548
Revenue TTM = 7.57b USD
EBIT TTM = 1.10b USD
EBITDA TTM = 1.32b USD
Long Term Debt = 1.24b USD (from longTermDebt, last quarter)
Short Term Debt = 237.7m USD (from shortTermDebt, last quarter)
Debt = 2.85b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 1.41b USD (from netDebt column, last quarter)
Enterprise Value = 23.39b USD (22.19b + Debt 2.85b - CCE 1.65b)
Interest Coverage Ratio = 31.83 (Ebit TTM 1.10b / Interest Expense TTM 34.6m)
FCF Yield = 2.85% (FCF TTM 667.7m / Enterprise Value 23.39b)
FCF Margin = 8.82% (FCF TTM 667.7m / Revenue TTM 7.57b)
Net Margin = 11.28% (Net Income TTM 854.3m / Revenue TTM 7.57b)
Gross Margin = 69.22% ((Revenue TTM 7.57b - Cost of Revenue TTM 2.33b) / Revenue TTM)
Gross Margin QoQ = 67.96% (prev 72.26%)
Tobins Q-Ratio = 3.18 (Enterprise Value 23.39b / Total Assets 7.35b)
Interest Expense / Debt = 0.05% (Interest Expense 1.30m / Debt 2.85b)
Taxrate = 14.54% (35.3m / 242.8m)
NOPAT = 941.3m (EBIT 1.10b * (1 - 14.54%))
Current Ratio = 2.04 (Total Current Assets 3.75b / Total Current Liabilities 1.84b)
Debt / Equity = 1.10 (Debt 2.85b / totalStockholderEquity, last quarter 2.58b)
Debt / EBITDA = 1.06 (Net Debt 1.41b / EBITDA 1.32b)
Debt / FCF = 2.11 (Net Debt 1.41b / FCF TTM 667.7m)
Total Stockholder Equity = 2.56b (last 4 quarters mean from totalStockholderEquity)
RoA = 11.63% (Net Income 854.3m / Total Assets 7.35b)
RoE = 33.42% (Net Income TTM 854.3m / Total Stockholder Equity 2.56b)
RoCE = 29.03% (EBIT 1.10b / Capital Employed (Equity 2.56b + L.T.Debt 1.24b))
RoIC = 24.47% (NOPAT 941.3m / Invested Capital 3.85b)
WACC = 10.00% (E(22.19b)/V(25.04b) * Re(11.28%) + D(2.85b)/V(25.04b) * Rd(0.05%) * (1-Tc(0.15)))
Discount Rate = 11.28% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -100.0 | Cagr: -2.77%
[DCF Debug] Terminal Value 71.64% ; FCFE base≈777.9m ; Y1≈959.6m ; Y5≈1.64b
Fair Price DCF = 429.8 (DCF Value 16.66b / Shares Outstanding 38.8m; 5y FCF grow 25.0% → 3.0% )
EPS Correlation: 51.50 | EPS CAGR: 7.01% | SUE: 2.08 | # QB: 4
Revenue Correlation: 43.94 | Revenue CAGR: 2.76% | SUE: 3.29 | # QB: 5
EPS current Year (2026-03-31): EPS=15.40 | Chg30d=+0.544 | Revisions Net=+16 | Growth EPS=+24.9% | Growth Revenue=+9.7%
EPS next Year (2027-03-31): EPS=16.67 | Chg30d=+0.497 | Revisions Net=+16 | Growth EPS=+8.3% | Growth Revenue=+4.7%
Additional Sources for RL Stock
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle