Ralph Lauren CorporationRL
NYSE•Consumer Cyclical•Apparel Manufacturing
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.
Ralph Lauren Corporation (RL) reported trailing twelve months revenue of $7.83B as of December 2025, a 12.7% increase year-over-year. Quarterly revenue reached $2.41B, reflecting continued top-line momentum.
Ralph Lauren Corporation generated $918.50M in TTM net income, with quarterly EBITDA of $536.80M. The operating margin expanded from 18.2% to 20.9%, suggesting improving cost efficiency and pricing discipline.
The spread between operating margin (20.9%) and net margin (15.0%) indicates moderate non-operating costs. Net margin has improved from 13.9% a year ago, signaling stronger bottom-line efficiency.
RL trades at a P/E of 24.4x (in line with broad market averages) and a P/S of 2.9x. The price-to-book ratio of 7.7x indicates a significant premium over book value.
The company generated $704.00M in free cash flow over the trailing twelve months, a 4.0% increase year-over-year, indicating strong cash generation ability. The balance sheet shows $7.81B in total assets with $1.24B in long-term debt against $2.89B in stockholders equity for a debt-to-equity ratio of 0.4, a conservative capital structure. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are expanding at ~13.4%, suggesting durable pricing power and cost discipline.
Consistently high ROE averaging 29.5% suggests a durable competitive advantage and efficient capital allocation.
6 of the last 8 quarters generated positive FCF. The company generally funds itself but has occasional cash consumption quarters.
TTM revenue has grown consistently (7 of 7 quarters up), with ~18.1% growth over the period. Strong demand durability.
Data-driven red flags and warnings across 21 quarters
Margins are stable or improving at ~14.5% — no sign of cost or pricing stress.
FCF/Net Income has dropped below 0.7x in 4 quarters — monitor for earnings quality deterioration.
Debt-to-equity has risen 46.6% recently — increasing financial risk even if the current ratio is manageable.
Revenue is stable or growing over recent quarters — demand appears durable.
FCF turned negative in 2 of the last 8 quarters — occasional cash consumption.
Shares decreased 4.7% — net buybacks are reducing shares outstanding and boosting per-share value.
Quarterly standardized metrics.
Stock price and market valuation
Revenue and earnings growth across quarters
Assets, cash, debt, and leverage
Price multiples and return ratios
Operating efficiency and return metrics
Free cash flow, earnings quality, and capital allocation