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RL

9/9 Score

Ralph Lauren Corporation

Analysis Date: February 21, 2026

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.

Buffettology Criteria

All 9 of 9 criteria passed

  • High ROE

    Return on Equity > 12%

    Value: 34.7%

  • High ROIC

    Return on Invested Capital > 9%

    Value: 15.5%

  • Cash Machine

    FCF / Assets > 5%

    Value: 14.5%

  • Fair Valuation

    Earnings Yield > 3.5%

    Value: 3.9%

  • Share Buybacks

    Share Count is Dropping

    Value: -4.0%

  • Defensible Moat

    Gross Profit Margin > 40%

    Value: 69.6%

  • Simple Business

    Not in a speculative sector (e.g., Biotech)

    Value: Consumer Cyclical

  • Conservative Debt

    Debt to Equity < 1.5

    Value: 1.39x

  • Consistent Growth

    5-Year Growth is Positive

    Value: 134.1%

Analysis Summary

RL presents a compelling picture, showing a robust return on equity and a healthy moat that suggests a durable competitive advantage. The company demonstrates consistent growth and a reasonable debt-to-equity ratio, indicating financial discipline. While the current valuation might not be a screaming bargain, the overall quality of the business is certainly worthy of a closer look.

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