Ralph Lauren Corporation (RL) Financial Ratios
29 years of historical data (1997–2025) · Consumer Cyclical · Apparel - Manufacturers
EV/EBITDA
↓
44.40
↑+133% vs avg
5yr avg: 19.04
30Y Low5.7·High49.1
P/FCF
↓
49.45
↑+111% vs avg
5yr avg: 23.40
30Y Low7.6·High121.7
P/B Ratio
↑
9.20
↑+125% vs avg
5yr avg: 4.09
30Y Low1.6·High5.3
ROE
↑
29.5%
↓+54% vs avg
5yr avg: 19.2%
30Y Low-5%·High45%
Debt/EBITDA
↓
2.32
↓-60% vs avg
5yr avg: 5.84
30Y Low0.0·High17.7
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
RL Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
Ralph Lauren Corporation trades at 32.1x earnings, 91% above its 5-year average of 16.8x, sitting at the 92nd percentile of its historical range. Compared to the Consumer Cyclical sector median P/E of 19.6x, the stock trades at a premium of 64%. On a free-cash-flow basis, the stock trades at 49.5x P/FCF, 111% above the 5-year average of 23.4x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $50.4B | $13.8B | $12.5B | $8.1B | $8.3B | $9.0B | $5.2B | $10.6B | $9.2B | $6.7B | $8.4B |
| Enterprise Value | $51.1B | $14.5B | $13.5B | $9.4B | $9.8B | $10.0B | $6.9B | $10.9B | $8.8B | $6.9B | $8.9B |
| P/E Ratio → | 32.05 | 18.58 | 19.32 | 15.39 | 13.86 | — | 13.65 | 24.61 | 56.75 | — | 21.05 |
| P/S Ratio | 7.12 | 1.95 | 1.88 | 1.25 | 1.34 | 2.04 | 0.85 | 1.68 | 1.49 | 1.01 | 1.13 |
| P/B Ratio | 9.20 | 5.33 | 5.10 | 3.31 | 3.28 | 3.45 | 1.95 | 3.22 | 2.67 | 2.05 | 2.23 |
| P/FCF | 49.45 | 13.55 | 13.80 | 41.60 | 15.16 | 32.88 | 10.84 | 18.08 | 11.34 | 10.10 | 14.18 |
| P/OCF | 40.80 | 11.18 | 11.67 | 19.59 | 11.62 | 23.57 | 6.96 | 13.52 | 9.46 | 7.09 | 8.30 |
P/E links to full P/E history page with 30-year chart
RL EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
Ralph Lauren Corporation's enterprise value stands at 44.4x EBITDA, 133% above its 5-year average of 19.0x. The Consumer Cyclical sector median is 11.4x, placing the stock at a 291% premium on an enterprise-value basis.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.06 | 2.04 | 1.46 | 1.58 | 2.28 | 1.11 | 1.73 | 1.42 | 1.04 | 1.20 |
| EV / EBITDA | 44.40 | 12.63 | 13.70 | 10.17 | 9.58 | 49.12 | 11.69 | 12.97 | 11.05 | 32.26 | 9.97 |
| EV / EBIT | 54.86 | 14.63 | 16.47 | 12.84 | 12.18 | — | 19.93 | 18.13 | 17.29 | — | 15.53 |
| EV / FCF | — | 14.28 | 14.92 | 48.59 | 17.94 | 36.69 | 14.16 | 18.66 | 10.78 | 10.39 | 15.11 |
RL Profitability
Margins and return-on-capital ratios measuring operating efficiency
Ralph Lauren Corporation earns an operating margin of 13.2%, above the Consumer Cyclical sector average of 2.9%. Operating margins have expanded from 10.9% to 13.2% over the past 3 years, signaling improving operational efficiency. ROE of 29.5% indicates solid capital efficiency, compared to the sector median of 5.6%. ROIC of 20.6% represents excellent returns on invested capital versus a sector median of 5.8%.
Margins
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 68.6% | 68.6% | 66.8% | 64.7% | 66.7% | 65.0% | 59.3% | 61.6% | 60.7% | 54.9% | 56.5% |
| Operating Margin | 13.2% | 13.2% | 11.4% | 10.9% | 12.8% | -1.0% | 5.1% | 8.9% | 8.1% | -1.4% | 7.9% |
| Net Profit Margin | 10.5% | 10.5% | 9.7% | 8.1% | 9.7% | -2.8% | 6.2% | 6.8% | 2.6% | -1.5% | 5.3% |
Return on Capital
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 29.5% | 29.5% | 26.5% | 21.0% | 23.3% | -4.6% | 12.9% | 12.8% | 4.8% | -2.8% | 10.4% |
| ROA | 10.9% | 10.9% | 9.7% | 7.2% | 7.7% | -1.6% | 5.8% | 7.1% | 2.8% | -1.7% | 6.4% |
| ROIC | 20.6% | 20.6% | 15.7% | 13.5% | 15.5% | -0.8% | 6.0% | 12.7% | 11.5% | -1.8% | 10.3% |
| ROCE | 18.6% | 18.6% | 14.5% | 13.1% | 13.6% | -0.8% | 6.4% | 12.1% | 11.0% | -1.9% | 11.7% |
RL Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
Ralph Lauren Corporation carries a Debt/EBITDA ratio of 2.3x, which is manageable (47% below the sector average of 4.4x). Net debt stands at $746M ($2.7B total debt minus $1.9B cash). Interest coverage of 21.1x signals virtually no risk of debt distress — earnings comfortably cover interest obligations.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.03 | 1.03 | 1.09 | 1.19 | 1.34 | 1.39 | 1.20 | 0.28 | 0.25 | 0.26 | 0.27 |
| Debt / EBITDA | 2.32 | 2.32 | 2.71 | 3.12 | 3.30 | 17.75 | 5.50 | 1.10 | 1.07 | 4.00 | 1.12 |
| Net Debt / Equity | — | 0.29 | 0.41 | 0.56 | 0.60 | 0.40 | 0.60 | 0.10 | -0.13 | 0.06 | 0.15 |
| Net Debt / EBITDA | 0.65 | 0.65 | 1.03 | 1.46 | 1.49 | 5.11 | 2.74 | 0.40 | -0.57 | 0.90 | 0.61 |
| Debt / FCF | — | 0.73 | 1.12 | 6.99 | 2.78 | 3.81 | 3.32 | 0.58 | -0.56 | 0.29 | 0.92 |
| Interest Coverage | 21.14 | 21.14 | 17.92 | 17.43 | 14.79 | -0.90 | 18.01 | 27.14 | 27.37 | -7.44 | 27.75 |
RL Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
A current ratio of 1.78x means Ralph Lauren Corporation can comfortably meet its short-term obligations, though there is limited excess liquidity. The quick ratio of 1.33x is notably lower than the current ratio, indicating a significant portion of current assets is tied up in inventory. The current ratio has declined from 2.23x to 1.78x over the past 3 years.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.78 | 1.78 | 2.29 | 2.23 | 1.87 | 2.66 | 1.61 | 3.00 | 2.24 | 2.55 | 2.55 |
| Quick Ratio | 1.33 | 1.33 | 1.68 | 1.51 | 1.44 | 2.18 | 1.26 | 2.31 | 1.76 | 1.86 | 1.61 |
| Cash Ratio | 0.98 | 0.98 | 1.22 | 1.05 | 1.15 | 1.75 | 1.01 | 1.66 | 1.26 | 1.17 | 0.91 |
| Asset Turnover | — | 1.00 | 1.00 | 0.95 | 0.81 | 0.56 | 0.85 | 1.06 | 1.01 | 1.18 | 1.19 |
| Inventory Turnover | 2.34 | 2.34 | 2.44 | 2.13 | 2.12 | 2.03 | 3.40 | 2.97 | 3.19 | 3.79 | 2.86 |
| Days Sales Outstanding | — | 31.57 | 30.88 | 32.84 | 31.86 | 47.43 | 24.61 | 35.10 | 38.48 | 36.97 | 34.43 |
RL Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Ralph Lauren Corporation returns 1.8% to shareholders annually — split between a 0.8% dividend yield and 1.0% buyback yield. The payout ratio of 27.1% is conservative, leaving significant room for dividend growth or reinvestment. The earnings yield of 3.1% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Dividends
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 0.8% | 1.5% | 1.6% | 2.5% | 1.8% | 0.6% | 3.9% | 1.8% | 1.8% | 2.4% | 2.0% |
| Payout Ratio | 27.1% | 27.1% | 30.1% | 37.9% | 25.0% | — | 53.1% | 44.3% | 99.8% | — | 42.9% |
Total Shareholder Return Metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 3.1% | 5.4% | 5.2% | 6.5% | 7.2% | — | 7.3% | 4.1% | 1.8% | — | 4.8% |
| FCF Yield | 2.0% | 7.4% | 7.2% | 2.4% | 6.6% | 3.0% | 9.2% | 5.5% | 8.8% | 9.9% | 7.0% |
| Buyback Yield | 1.0% | 3.5% | 3.6% | 6.1% | 5.9% | 0.4% | 13.2% | 4.7% | 0.2% | 3.2% | 6.0% |
| Total Shareholder Yield | 1.8% | 4.9% | 5.2% | 8.5% | 7.7% | 1.0% | 17.1% | 6.5% | 1.9% | 5.6% | 8.0% |
| Shares Outstanding | — | $64M | $67M | $69M | $74M | $74M | $77M | $82M | $83M | $83M | $86M |
Peer Comparison
Compare RL with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 RLYou | $50B | 32.1 | 44.4 | 49.5 | 68.6% | 13.2% | 29.5% | 20.6% | 2.3 |
 PVH | $4B | 8.7 | 6.8 | 7.2 | 59.4% | 8.5% | 11.7% | 7.0% | 3.3 |
 HBI | $2B | -7.1 | 16.6 | 10.1 | 38.8% | 5.3% | -141.4% | 4.5% | 9.2 |
 VFC | $8B | -39.6 | 22.3 | 22.4 | 53.5% | 3.2% | -8.6% | 2.7% | 9.5 |
 TPR | $30B | 181.5 | 51.5 | 27.6 | 75.4% | 5.9% | 9.8% | 6.8% | 6.1 |
 CPRI | $2B | -1.9 | — | 15.0 | 63.6% | -16.9% | -119.9% | -13.6% | — |
 UAA | $1B | -13.8 | — | — | 47.9% | -3.6% | -10.0% | -5.1% | — |
 NKE | $52B | 20.3 | 12.4 | 16.0 | 42.7% | 8.0% | 23.3% | 16.7% | 2.4 |
 LEVI | $9B | 15.9 | 11.9 | 27.7 | 61.7% | 10.8% | 27.2% | 13.9% | 2.6 |
 OXM | $678M | 7.8 | 6.0 | 11.3 | 62.9% | 7.8% | 15.7% | 9.1% | 2.4 |
 GOOS | $554M | 16.8 | 5.6 | 2.7 | 69.9% | 12.2% | 19.3% | 12.5% | 3.6 |
| Consumer Cyclical Median | — | 19.6 | 11.4 | 15.0 | 36.9% | 2.9% | 5.6% | 5.8% | 4.4 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
Download Financial Ratios Data
Includes 30+ ratios · 29 years · Updated daily
Full RL Stock Analysis
Analyst consensus, bull case, AI-generated risk factors, and peer comparison — all in one place.
See RL's True Return
Price is only half the story. See total return with reinvested dividends.
Launch CalculatorIs RL Undervalued?
DCF intrinsic value, peer multiples, and analyst estimates — see what the stock is really worth.
View ValuationCompare RL vs PVH
Side-by-side business, growth, and profitability comparison vs PVH Corp..
Start ComparisonRL — Frequently Asked Questions
Quick answers to the most common questions about buying RL stock.
What is Ralph Lauren Corporation's P/E ratio?
Ralph Lauren Corporation's current P/E ratio is 32.1x. The historical average is 21.3x. This places it at the 92th percentile of its historical range.
What is Ralph Lauren Corporation's EV/EBITDA?
Ralph Lauren Corporation's current EV/EBITDA is 44.4x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 13.0x.
What is Ralph Lauren Corporation's ROE?
Ralph Lauren Corporation's return on equity (ROE) is 29.5%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 17.1%.
Is RL stock overvalued?
Based on historical data, Ralph Lauren Corporation is trading at a P/E of 32.1x. This is at the 92th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
What is Ralph Lauren Corporation's dividend yield?
Ralph Lauren Corporation's current dividend yield is 0.84% with a payout ratio of 27.1%.
What are Ralph Lauren Corporation's profit margins?
Ralph Lauren Corporation has 68.6% gross margin and 13.2% operating margin. Operating margin between 10-20% is typical for established companies.
How much debt does Ralph Lauren Corporation have?
Ralph Lauren Corporation's Debt/EBITDA ratio is 2.3x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.