Ralph Lauren Corporation (RL) Stock

Ralph Lauren Corporation (RL) is a Consumer Discretionary stock trading at $362.81 (as of 2026-08-25), with a market capitalization of $22.60B and a trailing P/E of 24.0. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

Ralph Lauren Corporation designs, markets, and distributes lifestyle products in North America, Europe, Asia, and internationally. The company offers apparel, including a range of men's, women's, and children's clothing; footwear and accessories, which comprise casual shoes, dress shoes, boots, sneakers, sandals, eyewear, watches, fashion and fine jewelry, scarves, hats, gloves, and umbrellas, as well as leather goods, such as handbags, luggage, small leather goods, and belts; home products consisting of bed and bath lines, furniture, fabric and wallcoverings, lighting, tabletop, kitchen linens, floor coverings, and giftware; and fragrances. It sells apparel and accessories under the Ralph Lauren Collection, Ralph Lauren Purple Label, Polo Ralph Lauren, Double RL, Lauren Ralph Lauren, Polo Golf Ralph Lauren, Ralph Lauren Golf, RLX Ralph Lauren, Polo Ralph Lauren Children, and Chaps brands; women's fragrances under the Ralph Lauren Collection, Woman by Ralph Lauren, Romance Collection, and Ralph Collection brand names; and men's fragrances under the Polo Blue, Ralph's Club, Safari, Purple Label, Polo Red, Polo Green, Polo Black, Polo Sport, and Big Pony Men's brand names. The company's restaurant collection includes The Polo Bar in New York City; RL Restaurant in Chicago; Ralph's in Paris; The Bar at Ralph Lauren located in Milan; and Ralph's Coffee concept. It sells its products to department stores, specialty stores, and golf and pro shops, as well as directly to consumers through its retail stores, concession-based shop-within-shops, and its digital commerce sites. The company directly operates 504 retail stores and 684 concession-based shop-within-shops; and operates 175 Ralph Lauren stores, 329 factory stores, and 148 stores and shops through licensing partners. Ralph Lauren Corporation was founded in 1967 and is headquartered in New York, New York.

Understand Ralph Lauren Corporation: how it makes money

Ralph Lauren designs and sells a full lifestyle brand (apparel, footwear, accessories, home furnishings) through its own stores and wholesale partners. Revenue splits roughly evenly across North America, Europe, and Asia, with the direct-to-consumer channel giving it pricing control over wholesale buyers.

Seventy percent gross margin on a lifestyle brand, but heavy marketing and omnichannel costs compress earnings to roughly ten percent operating margin; the DTC mix shift is the slow lever that widens that gap.

Revenue by segment (latest quarter)
North America$0.8B
Europe$0.6B
Asia$0.6B
Other$0.1B

Business quality (Solid): Solid brand with 70% gross margin and 33% ROE, but the 10% operating margin says the cost base is heavy. Growth is real (17% YoY) yet the stock trades at a 57% premium to the apparel peer group, so much of the future is priced in.

Valuation: At 24× earnings, RL trades 57% above the Apparel average (15×).

Bull case

  • China growth is durable: Management flagged China as delivering sustained high growth and a significant long-term opportunity, which matters because Asia is already 28% of revenue ($560M this quarter) and the largest single growth vector.
  • DTC flywheel keeps compounding: The brand added 1.4 million new direct-to-consumer customers in the quarter alone, deepening a relationship that lets it set prices (AUR up double digits) rather than negotiate through wholesale.
  • Pricing power baked into the brand: A 70% gross margin on coffee-table-adjacent lifestyle goods is rare in apparel and signals a brand customers pay a premium for, not a price-taker in commodity fashion.

Bear case

  • Tariffs bite in the back half: Management expects tariff headwinds to intensify in the second half of fiscal 2027, a direct squeeze on the 70% gross margin that underpins the entire model.
  • Europe is a multi-front drag: Europe (31% of revenue, $620M) faces energy costs, weaker tourism, Middle East instability, and soft consumer sentiment all at once, making it hard to offset Asia's growth.
  • Premium multiple, thin operating edge: At 24.0x earnings versus the 15.3x apparel industry average (57% above), the stock already prices in sustained growth, while operating margin sits near 10% and management says marketing spend will grow faster than revenue, capping near-term leverage.
Valuation — source: SEC EDGAR (first-party)
Price$362.81
Market Cap$22.60B
P/E Ratio24.0
EV / EBITDA15.5
Price / Book7.95
Price / Sales2.79
FCF Yield2.9%
DCF Value (model)$213.32
DCF Upside vs Price-41.2%
Profitability & Growth — source: SEC EDGAR
Revenue (TTM)$8.11B
Net Margin11.6%
Revenue Growth (YoY)14.6%
EPS Growth (YoY)30.0%
Financial Health — source: SEC EDGAR
Altman Z-Score6.14 (safe)
Piotroski F-Score9/9 (strong)
Valuation vs Sector & Industry
Stock P/E24.0
Sector P/E (Consumer Discretionary)20.8
Industry P/E (Apparel)15.3
vs Sector15.4%
vs Industry57.4%
Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional HolderVANGUARD GROUP INC ($1.67B)
Institutional Holders Tracked10
Congressional Trades (recent)1
Company
SectorConsumer Discretionary
IndustryApparel
CEOPatrice Jean Louis Louvet
Employees14,800
CountryUS
IPO Date1997-06-12

Related Companies (Apparel; 8 comparable apparel companies)

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  • Kontoor Brands, Inc. (KTB)
  • Cintas Corporation (CTAS)
  • Oxford Industries, Inc. (OXM)
  • Levi Strauss & Co. (LEVI)
  • Under Armour, Inc. (UAA)
  • Columbia Sportswear Company (COLM)
RL earnings history · RL institutional & insider holders · RL KPIs & operating metrics · RL financials · RL investor presentations & press releases · RL SEC filings · RL peers · Congress trades · Insider trades · Short interest · Stock screener

Data as of 2026-08-25.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.