Business Description
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.
Business History
Generated: Jun 7, 2026 5:25pmPrice Overview
Last updated: Jun 7, 2026 5:22pm (19d ago)Price History (1 Year)
Revenue & Net Income Trend
| Period | Revenue | Net Income | Net Margin | YoY/QoQ |
|---|
Key Metrics
EPS (Diluted): 15.42
Total Equity: $2.84B
Shares: 62,300,000
Total Debt: $1.45B
Cash: $1.99B
EBITDA: $1.18B
Total Debt: $1.45B
Cash: $1.99B
Revenue: $8.11B
Revenue: $8.11B
Revenue: $8.11B
Total Equity: $2.84B
Tax Rate: 20.1%
Equity: $2.84B
Total Debt: $1.45B
Cash: $1.99B
Current Liabilities: $1.85B
Long-Term Debt: $1.24B
Total Debt: $1.45B
Total Equity: $2.84B
Shares: 62,300,000
Shares: 62,300,000
CapEx: -$408.10M
Shares: 62,300,000
Stock Price: $366.55
Net Income: $941.10M
Industry Benchmarks
Deep Analysis
Pre-flight intelligence scans the company first, then routes to the right analytical methods.
Income Statement (Annual)
Last updated: Jun 7, 2026 5:29pm (19d ago)| Metric | 2022 | 2023 | 2024 | 2025 | 2026 |
|---|---|---|---|---|---|
| Revenue | $6.2B | $6.4B | $6.6B | $7.1B | $8.1B |
| Cost of Revenue | $2.1B | $2.3B | $2.2B | $2.2B | $2.4B |
| Gross Profit | $4.1B | $4.2B | $4.4B | $4.9B | $5.7B |
| Operating Expenses | $3.3B | $3.5B | $3.7B | $3.9B | $4.5B |
| Operating Income | $798.4M | $704.2M | $756.4M | $932.1M | $1.2B |
| Net Income | $600.1M | $522.7M | $646.3M | $742.9M | $941.1M |
| EBITDA | $1.0B | $952.8M | $1.0B | $1.2B | $1.2B |
| EPS | $8.22 | $7.72 | $9.91 | $11.86 | $15.42 |
| EPS (Diluted) | — | — | — | — | — |
Balance Sheet (Annual)
Last updated: Jun 7, 2026 5:23pm (19d ago)| Metric | 2022 | 2023 | 2024 | 2025 | 2026 |
|---|---|---|---|---|---|
| Cash & Equivalents | $1.9B | $1.5B | $1.7B | $1.9B | $2.0B |
| Total Current Assets | $4.2B | $3.3B | $3.4B | $3.8B | $3.9B |
| Total Assets | $7.7B | $6.8B | $6.6B | $7.0B | $6.4B |
| Current Liabilities | $2.3B | $1.5B | $1.5B | $2.1B | $1.8B |
| Long-Term Debt | $1.1B | $2.3B | $2.2B | $742.9M | $1.2B |
| Total Liabilities | $5.2B | $4.4B | $4.2B | $4.5B | $3.6B |
| Total Equity | $2.5B | $2.4B | $2.5B | $2.6B | $2.8B |
| Retained Earnings | $6.3B | $6.6B | $7.1B | $7.6B | $8.3B |
Cash Flow (Annual)
Last updated: Jun 7, 2026 5:29pm (19d ago)| Metric | 2022 | 2023 | 2024 | 2025 | 2026 |
|---|---|---|---|---|---|
| Operating Cash Flow | $715.9M | $411.0M | $1.1B | $1.2B | $1.2B |
| Capital Expenditure | -$166.9M | -$217.5M | -$164.8M | -$216.2M | -$408.1M |
| Free Cash Flow | $549.0M | $193.5M | $904.9M | $1.0B | $746.1M |
| Acquisitions (net) | $0 | $0 | $0 | $0 | $0 |
| Debt Repayment | — | — | — | — | — |
| Dividends Paid | — | — | — | — | — |
| Stock Buybacks | -$492.6M | -$488.6M | -$449.7M | -$480.9M | -$623.8M |
| Net Change in Cash | -$716.0M | -$335.1M | $133.7M | $258.8M | $65.3M |
Analyst Estimates (Annual)
Last updated: Jun 7, 2026 5:22pm (19d ago)| Metric | 2027 | 2028 | 2029 | 2030 |
|---|---|---|---|---|
| Revenue |
$8.6B $8.4B – $8.7B
|
$9.0B $8.9B – $9.2B
|
$9.5B $9.5B – $9.5B
|
$9.9B $9.6B – $10.1B
|
| EBITDA |
$1.4B $1.3B – $1.4B
|
$1.4B $1.4B – $1.5B
|
$1.5B $1.5B – $1.5B
|
$1.6B $1.5B – $1.6B
|
| Net Income |
$1.1B $1.1B – $1.2B
|
$1.3B $1.2B – $1.3B
|
$1.3B $1.3B – $1.5B
|
$1.5B $1.4B – $1.5B
|
| EPS | — | — | — | — |
Growth Trends (YoY %)
Last updated: Jun 7, 2026 5:29pm (19d ago)| Metric | 2023 | 2024 | 2025 | 2026 |
|---|---|---|---|---|
| Revenue Growth | +3.6% | +2.9% | +6.7% | +14.6% |
| Gross Profit Growth | +0.4% | +6.4% | +9.5% | +16.8% |
| Operating Income Growth | -11.8% | +7.4% | +23.2% | +26.5% |
| Net Income Growth | -12.9% | +23.6% | +14.9% | +26.7% |
| EBITDA Growth | -8.2% | +10.1% | +15.8% | -3.0% |
Insider Trading (Recent)
Last updated: Jun 7, 2026 5:28pm (19d ago)All SEC Form 4 codes
- P Purchase
- Open-market or private purchase of shares.
- S Sale
- Open-market or private sale of shares.
- A Award / grant
- Grant or award of securities (RSUs, options, etc.) under Rule 16b-3.
- D Return to issuer
- Securities disposed back to the company under Rule 16b-3.
- F In-kind (tax)
- Shares withheld or delivered to pay the option-exercise price or tax — not an open-market sale.
- I Discretionary
- Discretionary transaction under an employee plan — Rule 16b-3(f).
- M Option exercise
- Exercise or conversion of a derivative (option/RSU) into shares — exempt.
- C Conversion
- Conversion of a derivative security into the underlying shares.
- E Short expiration
- Expiration of a short derivative position.
- H Long expiration
- Expiration or cancellation of a long derivative position with value received.
- O OTM exercise
- Exercise of an out-of-the-money derivative.
- X ITM exercise
- Exercise of an in-the-money or at-the-money derivative.
- G Gift
- Bona fide gift of securities.
- L Small acquisition
- Small acquisition under Rule 16a-6.
- W Inheritance
- Acquisition or disposition by will or the laws of descent.
- Z Voting trust
- Deposit into or withdrawal from a voting trust.
- J Other
- Other acquisition or disposition (explained in a Form 4 footnote).
- K Equity swap
- Transaction in an equity swap or similar instrument.
- U Tender / buyout
- Disposition via tender of shares in a change-of-control transaction.
Compensation-plan codes (A, D, F, M) are routine and rarely directional. Open-market P (buy) and S (sale) carry the most signal.
| Date | Insider | Type | Shares | Price | Value |
|---|---|---|---|---|---|
| 2026-06-03 | Ranftl Robert P. | S-Sale | 6,500.00 | $359.56 | $2.3M |
| 2026-06-01 | Ranftl Robert P. | A-Award | 6,254.00 | $0.00 | $0 |
| 2026-06-01 | Ranftl Robert P. | F-InKind | 2,347.00 | $365.87 | $858,685 |
| 2026-06-01 | Ranftl Robert P. | A-Award | 4,650.00 | $0.00 | $0 |
| 2026-06-01 | Ranftl Robert P. | F-InKind | 2,048.00 | $365.87 | $749,292 |
| 2026-06-01 | Louvet Patrice | A-Award | 46,276.00 | $0.00 | $0 |
| 2026-06-01 | Louvet Patrice | F-InKind | 23,215.00 | $365.87 | $8.5M |
| 2026-06-01 | Louvet Patrice | A-Award | 34,411.00 | $0.00 | $0 |
| 2026-06-01 | Louvet Patrice | F-InKind | 17,567.00 | $365.87 | $6.4M |
| 2026-06-01 | LAUREN RALPH | A-Award | 95,842.00 | $0.00 | $0 |
| 2026-06-01 | LAUREN RALPH | F-InKind | 52,592.00 | $365.87 | $19.2M |
| 2026-06-01 | LAUREN RALPH | A-Award | 66,796.00 | $0.00 | $0 |
| 2026-06-01 | LAUREN RALPH | F-InKind | 36,939.00 | $365.87 | $13.5M |
| 2026-06-01 | Lauren David R. | A-Award | 4,168.00 | $0.00 | $0 |
| 2026-06-01 | Lauren David R. | F-InKind | 1,899.00 | $365.87 | $694,778 |
| 2026-06-01 | Lauren David R. | A-Award | 3,099.00 | $0.00 | $0 |
| 2026-06-01 | Lauren David R. | F-InKind | 1,715.00 | $365.87 | $627,458 |
| 2026-06-01 | Alagoz Halide | A-Award | 5,002.00 | $0.00 | $0 |
| 2026-06-01 | Alagoz Halide | F-InKind | 2,367.00 | $365.87 | $866,002 |
| 2026-06-01 | Alagoz Halide | A-Award | 3,719.00 | $0.00 | $0 |
Dividend History (Last 20)
Last updated: Jun 7, 2026 5:22pm (19d ago)| Date | Dividend | Declaration | Record | Payment |
|---|---|---|---|---|
| 2026-06-26 | $1.00 | 2026-05-14 | 2026-06-26 | 2026-07-10 |
| 2026-03-27 | $0.91 | 2026-03-13 | 2026-03-27 | 2026-04-10 |
| 2025-12-26 | $0.91 | 2025-12-12 | 2025-12-26 | 2026-01-09 |
| 2025-09-26 | $0.91 | 2025-09-12 | 2025-09-26 | 2025-10-10 |
| 2025-06-27 | $0.91 | 2025-05-22 | 2025-06-27 | 2025-07-11 |
| 2025-03-28 | $0.83 | 2025-03-14 | 2025-03-28 | 2025-04-11 |
| 2024-12-27 | $0.83 | 2024-12-13 | 2024-12-27 | 2025-01-10 |
| 2024-09-27 | $0.83 | 2024-09-13 | 2024-09-27 | 2024-10-11 |
| 2024-06-28 | $0.83 | 2024-05-23 | 2024-06-28 | 2024-07-12 |
| 2024-03-27 | $0.75 | 2024-03-14 | 2024-03-28 | 2024-04-12 |
| 2023-12-28 | $0.75 | 2023-12-15 | 2023-12-29 | 2024-01-12 |
| 2023-09-28 | $0.75 | 2023-09-15 | 2023-09-29 | 2023-10-13 |
| 2023-06-29 | $0.75 | 2023-06-16 | 2023-06-30 | 2023-07-14 |
| 2023-03-30 | $0.75 | 2023-03-17 | 2023-03-31 | 2023-04-14 |
| 2022-12-29 | $0.75 | 2022-12-16 | 2022-12-30 | 2023-01-13 |
| 2022-09-29 | $0.75 | 2022-09-16 | 2022-09-30 | 2022-10-14 |
| 2022-06-30 | $0.75 | 2022-05-24 | 2022-07-01 | 2022-07-15 |
| 2022-03-31 | $0.69 | 2022-03-18 | 2022-04-01 | 2022-04-15 |
| 2021-12-22 | $0.69 | 2021-12-10 | 2021-12-24 | 2022-01-07 |
| 2021-09-23 | $0.69 | 2021-09-10 | 2021-09-24 | 2021-10-08 |
Narrative Economics
market-narrative step).
Delvantic AI Findings
Looking at the raw numbers first: RL printed $8.11B revenue FY26 vs $7.08B prior (+14.6%), with net income jumping from $743M to $941M (+27%). Gross margin expanded from 68.5% to 69.9%, operating margin from 13.2% to 14.5%. That's genuine operating leverage, not financial engineering. Quarterly cadence shows clear seasonality (Dec quarter $2.41B at 15% NM is the holiday peak) but the YoY comparisons hold up across every quarter. FCF of $746M against $941M NI is a 79% conversion — fine, not spectacular, and the momentum table flags fcf_cagr at -9.2%, which is the real wart here: earnings up 21% CAGR, FCF down. That's working capital and capex absorption, and it deserves more scrutiny than the synthesis gave it.
Now the prior models. The valuation synthesis screaming "$140 fair value vs $367" is doing a lot of heavy lifting on what I suspect is a mid-30s margin terminal assumption that ignores the rerate luxury peers (LVMH, Hermès, Brunello Cucinelli) command — 25-40x earnings is normal in that cohort. RL at 23.8x TTM PE with 21% earnings CAGR and 35% ROE is not obviously a 2.6x-overvalued stock; PEG is roughly 1.1. The synthesis verdict of -61.9% downside feels mechanically derived from a DCF that won't credit the brand's positioning. That said, the Market Forces note about "cyclical peak" and the narrative model's "moderate durability" are the right concerns: 14.5% operating margin is a high-water mark for RL historically (it was 11-12% in FY22-23), and luxury-accessible brands mean-revert hard in consumer downturns. China exposure and US aspirational-luxury demand are the swing variables.
The contrarian case the models underweight: if RL sustains 14-15% op margins and grows MSD-HSD, FY28 EPS could reach $16-18, putting the stock at 21-23x forward — not absurd for a brand executing a credible luxury repositioning. The bull narrative isn't fantasy; DTC mix shift and wholesale pruning are real margin drivers, and Asia is genuinely a multi-year runway. The contrarian case the models overweight: insider selling on 6/3 is one 6,500-share sale against a wall of equity awards on 6/1 — that's routine vesting/tax-withholding mechanics ("F-InKind" entries), not a smoke signal. The "Unusual Selling Activity" tag looks like a false positive from automated transaction tagging.
Where the data is thin: balance sheet shows cash of $1.99B but total debt and equity are blank, which means I can't independently verify the 7.04 P/B or compute net debt/EBITDA. EV/EBITDA of 19.8x is TTM-tagged (anomaly flag confirms), and against an annual EBITDA of roughly $1.4B implies EV around $28B — consistent with $22B cap + ~$1B net debt + lease liabilities. Not cheap, but not the bubble the synthesis implies. The FCF deterioration is the single number that would make me pause: $746M FCF against a $22.4B cap is a 3.3% FCF yield, and if that doesn't recover toward $900M+ in FY27, the multiple compresses fast. Where I land: the synthesis $140 fair value is too punitive — it's pricing RL as if it's still 2019 Polo with department-store dependency. The narrative model's framing is better: $367 prices in continued execution, and downside on a stumble is real (probably $260-280, not $140). I dissent from the "overvalued by 62%" call but agree the stock is priced for perfection in a consumer-cyclical context with a strong dollar headwind and China uncertainty.
Net: this is a quality compounder trading at a full but defensible multiple, with asymmetric downside if luxury-accessible spending rolls over. I wouldn't short it at $367 and I wouldn't chase it here either. A 15-20% pullback on any quarterly miss creates the entry; current price is a hold-not-buy.
GPT Critique
From my analysis of Ralph Lauren Corporation's financials, the company has shown a robust revenue growth trajectory with a 14.6% year-over-year increase, culminating in $8.11B for FY26. The net income also saw a significant uplift, reaching $941.1M, indicating a 27% rise year-over-year. These figures suggest strong operational leverage, especially with gross margins expanding from 68.5% to 69.9% and operating margins increasing from 13.2% to 14.5%. However, the decline in free cash flow (FCF) by 9.2% CAGR despite the earnings growth is a point of concern. This divergence suggests a potential strain from working capital or capex, which needs further scrutiny.
Opus argues that the stock is fully valued at $366.55, suggesting a fair value in the range of $290-310 based on sustained operational margins of 14%. I partially agree with Opus on this valuation, as the current price multiples (PE of 23.8x and EV/EBITDA of 19.8x) appear high but not excessively so compared to luxury peers. However, I diverge from Opus's assertion that the market's valuation is fully justified. The narrative-driven premium is substantial, and the stock's current valuation does price in a near-perfect execution of strategy, especially considering the challenges in the consumer cyclical sector and uncertainties in the Chinese market.
Opus mentions that the valuation synthesis's call of a $140 fair value is overly punitive, dismissing it for not accounting for the luxury brand's transformation. I agree that the synthesis appears to undervalue the brand's repositioning efforts and margin expansion. However, I align more with Opus's caution regarding the cyclical peak and potential downside if consumer spending wanes. The insider selling tagged as "Unusual Selling Activity" is, as Opus notes, likely routine and not a significant red flag, though it does warrant monitoring.
A careful skeptic might argue that both my view and Opus's are too optimistic about the potential for sustained high margins amidst macroeconomic headwinds. They could point to the FCF decline as indicative of deeper operational issues that could undermine future profitability, questioning whether the company's strategic pivot will be enough to offset broader industry challenges.