Ralph Lauren Corp Class A (RL) fair value: what the stock is really worth
We calculate from audited financials what Ralph Lauren Corp Class A is really worth. The fair value tells you whether the price is too high or too low, the quality score (0 to 100) how solid the business behind it is. 26 models, 37 quality factors, updated daily, free.
Compare price with fair valuebelow fair value = cheap, above = expensive
Check the quality50 and up solid, 75 and up strong
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Consumer Cyclical · US · Market cap $22.3B · ISIN US7512121010
At a glance
RLRalph Lauren Corp Class ARL · US
Price$347.23
Fair Value$220.38
Upside−36.5%
Quality82/100
A strong business, but trading 58% above our fair value of $220.38.
As of Aug 13, 2026, the fair value of Ralph Lauren Corp Class A is $220.38 per share against a price of $347.23, so the fair value sits 37% below the price. A model estimate from reported figures, not an analyst target.
✓Healthy Growth (revenue 5y +13.0 %/yr)
✓Solidly profitable · 11.6% net margin
✓Low debt · generates free cash flow
·1.05% dividend yield
!Mixed vs. peers (6/15)
✓Wide moat 69/100
!Weak on dividend: 21 out of 100
Evidence: HighRange $150.03 to $323.95
Fair value as of: Aug 13, 2026
From 23 valuation models · updated 26 days ago
Fair value updated Aug 13, 2026, revised from $224.21 to $220.38 (−1.7%) since Jul 16, 2026. Share price −12.2% over the past month.
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What matters now
A high-quality business (quality 82/100), yet the market already pays well above fair value. Quality at a full price, with little margin of safety.
The price sits above even our optimistic bull case ($323.95). The favourable scenario is already priced in.
A fairly wide model range ($150.03 to $323.95) leaves room in how you read the outcome.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.
How to read this chart
60‑month range $77.94 – $413.24 · fair‑value band $150.03 – $323.95 · the $347.23 price screens above the $220.38 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 13, 2026.
Ralph Lauren Corp Class A (RL) currently trades at $347.23, while our model-based Fair Value estimate is $220.38, implying the stock looks roughly 57.6% overvalued today. The Quality Score stands at 82/100 (high quality), in the Consumer Cyclical sector. Bull case: the Growth Earnings group reads highest at a median of $272.12 per share, and 1 of the 23 models we run sit above the $347.23 price. Bear case: the Asset-Based group reads lowest at $30.55, and 22 of the 23 models stay below the price. Evidence for this calculation is high.
Over the trailing twelve months, Ralph Lauren Corp Class A generated revenue of $8.1B at a net margin of 11.6%. Revenue grew 16.6% year over year. It earns a return on equity of 34.7%. Net debt stands at $1.0B. Fundamentals as of Aug 13, 2026
Scenario range: $150.03 (bear) to $323.95 (bull), the price of $347.23 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target. The share trades about 12% below its 52-week high and 36% above its 52-week low, currently above its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at −17% fair-value upside, at −37%, RL screens richer than that median.
Fair Value models
Based on fiscal year 2026 figures (about 5 months old). Earnings retained since then ($5.09 per share) are deliberately not added.
Each model values the company its own way; the fair value above is the evidence-weighted blend. Evidence (0 to 100) shows how complete a model's inputs are. How we calculate →
ModelBear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target.Evidence
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Key figures & financial health
P/E ratio24.4as of Jul 16, 2026
P/S ratio2.83P/E × margin
EPS (TTM)$15.34price ÷ EPS = P/E 24.4
Dividend yield1.1%payout 23.8%
Net margin11.6%FY2026
Return on equity34.7%TTM
More key figures
Profitability
Return on assets (EBIT)12.7%avg 5y
Operating margin13.4%TTM
Growth
Revenue (TTM)$8.1BTTM
Revenue growth (YoY)+16.6%3y avg +8.0%
EPS growth (YoY)+20.0%
Balance sheet & cash flow
Free cash flow$746MFY2026
Net debt$1.0BFY2026 · ≈ 1.3 yrs of FCF
Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.
Quality Score breakdown
Overall quality82/100
Of which business quality 79
· Market factors (momentum, volatility) 47
Profitability87
Margins and returns on capital today
Quality Growth74
Are margins and returns improving?
Cashflow50
Earnings quality: real cash, not paper profit
Fin. Strength87
Balance sheet, leverage, solvency risk
Investment86
Disciplined investing over empire-building
Low Volatility46
Calm price path (market factor)
Momentum47
Price trend over the last 3–12 months (market factor)
52W Momentum49
Distance to the 52-week high (market factor)
Net Issuance100
Buybacks instead of dilution
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.
About the company
Ralph Lauren Corporation designs, markets, and distributes lifestyle products in North America, Europe, Asia, and internationally.
Full company 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 comprising handbags, luggage, small leather goods, and belts; home products, such as bed and bath lines, furniture, fabric and wall coverings, lighting, dining, floor coverings, decorative accessories, and giftware; and fragrances. The company sells apparel and accessories under the Ralph Lauren Collection, Ralph Lauren Purple Label, Polo Ralph Lauren, Double RL, Lauren Ralph Lauren, 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 Ralph's Club, Purple Label, Polo Blue, Polo Red, Polo Green, Polo Black, Polo 67, Safari, Polo Sport, and Big Pony Men's brand names. Its 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; Ralph's Bar located in Chengdu, China; and Ralph's Coffee concept. The company 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. It operates retail stores and concession-based shop-within-shops; and operates Ralph Lauren stores and shops through licensing partners. Ralph Lauren Corporation was founded in 1967 and is based in New York, New York.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2022 – FY2026 · reported fiscal years
Ralph Lauren Corp Class A reported revenue of $8.1B in FY2026 versus $6.2B in FY2022, a compound +6.9%/yr. Reported net income was $941M in FY2026, compounding +11.9%/yr from FY2022.
Growth Quality 98/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2026)
$8.1B
Latest YoY
+14.6%
Avg. revenue growth/yr (3Y) ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+8.0%
Avg. revenue growth/yr (5Y) ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+13.0%
Avg. revenue growth/yr (29Y) ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+6.9%
Value creation/yr (5Y) ⓘEarnings growth per share (CAGR 5 years, adjusted) plus dividend yield: value created per share and year.
+18.5%
Earnings growth per share plus dividend yield: the value created per share and year.
Earnings growth per share+17.4%
Dividend yield1.1%
Trend ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.5Y 18.3% vs 10Y 9.2%, picking up
Operating margin (EBIT) ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.−1.0% (2021) → 14.5% (2026) · rising
Worst earnings drop112% (2021) (loss year, drop beyond 100%) · in USD
Revenue+6.9%/yr
FY22$6.2B
FY23$6.4B
FY24$6.6B
FY25$7.1B
FY26$8.1B
Net income+11.9%/yr
FY22$600M
FY23$523M
FY24$646M
FY25$743M
FY26$941M
Character of growth · EPS growth decomposed (2015-2026)+7.1 % p.a.
Revenue per share+3.0 %
of which total revenue −0.3 % · buybacks/dilution +3.3 %
EBIT margin+2.1 %
Tax rate+1.2 %
Residual (interest, one-offs)+0.7 %
Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation
Quality Score82 · Top 25%
Fair Value upside−37% · Below median
Profitability
Return on equity (TTM)35% · Top 25%
Return on assets11% · Top 25%
Net margin (TTM)12% · Top 25%
Operating margin (TTM)13% · Top 25%
Growth and dividend
Revenue growth17% · Top 25%
Dividend yield (TTM)1.1% · Bottom 25%
Balance sheet
Debt / equity0.44× · Highest 25%
Valuation Multiples vs Apparel Manufacturing median · lower = cheaper
P/E (TTM)24.4× · Pricier than median
P/B7.84× · Priciest 25%
P/S (TTM)2.74× · Priciest 25%
P/FCF29.8× · Priciest 25%
EV/EBITDA14.2× · Pricier than median
PEG2.16× · Pricier than median
What the price implies (reverse DCF)
The inverse question: what free-cash-flow growth must Ralph Lauren Corp Class A deliver for ten years so that today's price is fair in our DCF model? Same formula, same discount rate as the fair value.
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
This stockSector peers
VALUE0· sector 30
FUTURE83· sector 5
PAST100· sector 19
HEALTH78· sector 98
DIVIDEND21· sector 54
VALUE 0: the price sits above our fair-value range.
Insider activity: 40/100
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
None of the checked exposures detected
Similar stocks
10 more Apparel Manufacturing stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).
Is Ralph Lauren Corp Class A (RL) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of $220.38 versus a price of $347.23, about −37% upside (overvalued).
What is the fair value of RL?
Our model-based fair value for Ralph Lauren Corp Class A is $220.38 (as of Aug 13, 2026), built from audited fundamentals. The current price: $347.23.
What is the quality score of RL?
Ralph Lauren Corp Class A has a Quality Score of 82/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Ralph Lauren Corp Class A (RL)?
Our model-based price target is the fair value of $220.38 (as of Aug 13, 2026) from 23 valuation models. Cautious scenario $150.03, optimistic scenario $323.95. It is a calculation from audited fundamentals, not an analyst target.
What is the Ralph Lauren Corp Class A stock forecast for 2026?
Our models put fair value at $220.38, about −37% upside versus a price of $347.23 (overvalued). Cautious scenario $150.03, optimistic scenario $323.95. The calculation is refreshed regularly with new filings.
What is the revenue of Ralph Lauren Corp Class A (RL)?
Ralph Lauren Corp Class A reported trailing-twelve-month revenue of about $8.1B (latest available figure, as of Aug 13, 2026).
What is the net profit margin of RL?
The net profit margin of Ralph Lauren Corp Class A is about 11.6%, meaning it keeps roughly 11.6% of revenue as net income. Based on the latest reported figures.
Does Ralph Lauren Corp Class A pay a dividend?
Ralph Lauren Corp Class A currently shows a dividend yield of about 1.05% relative to its recent price (as of Aug 13, 2026).
What growth is priced into Ralph Lauren Corp Class A (RL)?
For today's price to be fair in a discounted-cash-flow model, Ralph Lauren Corp Class A would have to grow free cash flow by +13.1 % per year for ten years (discount rate 10.0 %, then 2 % perpetual growth). Over the last 5 years revenue grew +13.0 % per year. As of Aug 13, 2026.
What discount rate (WACC) does the fair value of RL use?
Our models discount Ralph Lauren Corp Class A at 10.0 %: a base by market capitalisation (large), damped by beta 1.35, country premium for USA. The same rate applies in all 26 models.
What is the intrinsic value of Ralph Lauren Corp Class A (RL)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Ralph Lauren Corp Class A it is $220.38 per share (as of Aug 13, 2026), against a price of $347.23. It is the blended result of 23 valuation models (cash flow, earnings, asset, dividend).
Is Ralph Lauren Corp Class A stock overvalued or undervalued in 2026?
As of Aug 13, 2026, RL trades above its calculated fair value: price $347.23, fair value $220.38, a gap of about −37% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of RL?
No. The price is what the market pays today ($347.23); the fair value is what the company's own numbers justify ($220.38). For Ralph Lauren Corp Class A the two are $126.85 per share apart. That gap is exactly why we show both numbers side by side.
How much is Ralph Lauren Corp Class A worth?
The market values Ralph Lauren Corp Class A at about $22.3B (market capitalisation, as of Aug 13, 2026). Per share that is $347.23; our models calculate a fair value of $220.38 per share.
What do the bullish and bearish scenarios say about RL?
Our models span a range for Ralph Lauren Corp Class A: cautious scenario $150.03, base $220.38, optimistic $323.95 per share (as of Aug 13, 2026, price $347.23). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of RL?
Ralph Lauren Corp Class A trades at a price-to-earnings ratio of 24.4 (as of Aug 13, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of $220.38 is built from several models across several years. Other multiples: PEG 2.2, P/B 7.8, P/S 2.7, EV/EBITDA 14.2.
What is the PEG ratio of RL?
The PEG ratio of Ralph Lauren Corp Class A is 2.16 (P/E divided by earnings growth, as of Aug 13, 2026). That is above 1, so the growth is already paid for in the price.
How solid is the balance sheet of Ralph Lauren Corp Class A (RL)?
Balance-sheet figures for Ralph Lauren Corp Class A (as of Aug 13, 2026): return on equity 34.7%, debt of 0.44 per unit of equity. They feed the Quality Score of 82/100, which measures business quality independently of the share price.
How far is RL from its 52-week high?
Ralph Lauren Corp Class A trades at $347.23, about 12% below its 52-week high of $393.41 and 36% above the low of $255.15 (as of Aug 13, 2026). Distance from the high says nothing about value: that is what the fair value of $220.38 is for.
Which stocks are comparable to Ralph Lauren Corp Class A?
From the same area (Consumer Cyclical) we also value H & M Hennes & Mauritz AB, Moncler S.p.A, Gildan Activewear Inc, LPP SA, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Ralph Lauren Corp Class A stock attractive at the current price?
The data as of Aug 13, 2026: price $347.23, calculated fair value $220.38 (−37%), Quality Score 82/100, from 23 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of RL calculated?
We run Ralph Lauren Corp Class A through 23 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of $220.38, with the spread shown as a cautious and an optimistic scenario.
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