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RL

S&P 500
Favorable · 65/100

Ralph Lauren Corporation

Consumer Discretionary
Apparel, Accessories & Luxury Goods

$410.92

0.5%

Updated Today 7:15 PM ET

Price — Past Year

▲ Up 54.2% over the last 12 months

Price 50-day average 200-day averageSource: Yahoo Finance · refreshed daily
Key Metrics

Market Cap

$24.59B

P/E

26.13x

Forward P/E (est.)

20.08x

ROE

34.8%

Revenue Growth

14.6%

EPS Growth

30.1%

Profit Margin

11.6%

FCF Yield

2.8%

Debt / Equity

0.52x

ROIC

30.0%

Interest Coverage

21.76x

Current Ratio

2.13x

Dividend Yield

1.0%

Implied Growth (rev. DCF)

Rating Score

65/100

Technical Analysis (Educational)
Research

Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what RL's chart says today, with each tool explained.

Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. RL trades near $410.92, above its 50-day average ($368.07) and 200-day average ($349.27). Price above both averages, with the shorter one above the longer, is the textbook definition of an uptrend — momentum favours buyers.

Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 65 it is in neutral territory — neither stretched nor washed out.

MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently positive — short-term momentum is improving.

Volatility — ATR. Average True Range is the typical daily move. RL's is $12.51 (~3.0% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.

Support & resistance. Over the last month RL found buyers near $317.23 (support) and sellers near $421.60 (resistance); its 52-week range is $259.30–$421.60. A decisive break beyond either edge often marks the next move.

Volume. The latest session traded 1.1× the 20-day average — about normal. Rising volume on up-days suggests real buying; on down-days, real selling.

Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.

Business Overview
Research

Ralph Lauren Corporation (RL) is a large-cap company in the Apparel, Accessories & Luxury Goods industry, part of the Consumer Discretionary sector of the S&P 500, with a market value around $24.59B.

In its latest reported year it generated about $8.11B in revenue and $941.10M in net profit.

Our model rates RL Favorable (65/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.

Revenue Growth
Research

4Y CAGR

6.9%

Revenue moved from $6.22B in 2022 to $8.11B in 2026, a 6.9% compound annual growth rate. The most recent year grew a steady 14.6% year over year. Consistent top-line growth is one sign of healthy demand.

Profitability
Research

Gross Margin

69.9%

Operating Margin

14.5%

Net Margin

11.6%

ROE

34.8%

Ralph Lauren Corporation keeps about 11.6% of each sales dollar as net profit, with a 69.9% gross margin and 14.5% operating margin. Return on equity is 34.8% and return on invested capital about 30.0%. Margins are moderate — typical of a competitive but profitable business.

Debt Analysis
Research

Total Debt

$300.00M

Net Debt

-$1.69B

Net cash position

Net Debt / EBITDA

-1.43x

Debt / Equity

0.52x

Leverage: debt-to-equity is 0.5x, and operating profit covers interest about 21.8x, with a current ratio of 2.1x. That is a moderate, manageable debt load for most businesses. It carries roughly $300.00M of total debt against $1.99B of cash.

Cash Flow Analysis
Research

Operating CF

$1.15B

Free Cash Flow

$1.15B

FCF Margin

14.2%

In the latest year Ralph Lauren Corporation produced about $1.15B of operating cash flow and $1.15B of free cash flow after capital spending. That is a free-cash-flow yield of about 2.8% on today's price. Cash flow is what ultimately pays shareholders, so it is worth tracking over time.

Valuation Analysis
Research

P/E

26.13x

P/S

2.98x

P/B

7.07x

EV / EBITDA

15.95x

RL trades at 26.1x trailing earnings (about 20.1x on estimated forward earnings), 3.0x sales, and 7.1x book value. That is a premium multiple that needs growth to justify it.

Metrics vs. Typical Range

Where this stock sits versus what most companies trade at.

TTM P/E
26.1xExpensive
Forward P/E
20.1xFair
P/S ratio
3.0xExpensive
Revenue growth
14.6%Strong
EPS growth
30.1%Strong
Gross margin
69.9%Strong
Net margin
11.6%Strong
ROE
34.8%Strong

Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.

Sector Peer Comparison

How RL stacks up against its Consumer Discretionary peers — valuation, profitability, and growth versus the sector median.

In the Consumer Discretionary sector (48 S&P 500 companies), RL ranks #9 of 48 by our overall rating. It trades at roughly in line versus the sector on earnings (26.1x P/E vs. 23.7x median) with a lower return on equity (34.8% vs. 39.2%) and faster revenue growth (14.6% vs. 6.2%).

P/E vs sector

26.1x

median 23.7x

ROE vs sector

34.8%

median 39.2%

Growth vs sector

14.6%

median 6.2%

Sector rank

#9

of 48 by rating

CompanyP/ERev Gr.Rating
RLThis stock26.1x14.6%Favorable· 65
TPR43.7x14.1%Weak· 38
LULU9.3x4.2%Favorable· 60
NKE30x-2.7%Weak· 39
DRI22.3x8.5%Neutral· 55
PHM11.8x-5.9%Neutral· 50
WSM24.5x1.3%Favorable· 66
LEN12.4x-7.2%Neutral· 42
Consumer Discretionary median23.7x6.2%54/100

Valuation vs. quality map

sector medianTPRLULUNKEDRIPHMWSMLENRLP/E — cheaper ←→ pricierROE — more profitable ↑

The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.

Compare side by side

Peers are the closest Consumer Discretionary companies by sub-industry and size. Sector median is across all 48 S&P 500 names in the sector. Educational, not a recommendation.

Bull Case

The case for RL:

  • Revenue is growing 14.6% a year, a sign of real demand.
  • Strong return on equity (34.8%) shows capital is put to work well.
  • Our model's overall read is Favorable (65/100).
Bear Case

The case against RL:

  • Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Key Risks
Research

Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.

Investment Thesis
Research

On balance, the fundamentals screen favourably: Ralph Lauren Corporation is a large-cap consumer discretionary business still growing nicely, with modest profitability, and a sound balance sheet. It trades at 26.1x earnings, which our model scores Favorable (65/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.

Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.

Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.