Ralph Stock Valuation

RL
 Stock
  

USD 98.84  0.28  0.28%   

What is the enterprise value of Ralph Lauren? Calculating the true value of any business is not as easy as it may seem. While the market cap of a public entity, such as Ralph Lauren, is its stock price multiplied by the total number of shares outstanding, calculating Ralph Lauren's enterprise value requires a different approach. It uses Ralph Lauren's balance sheet items such as long-term debt, the book value of the preferred stock, minority interest, and other important financials.
Enterprise Value is expected to hike to about 15.1 B this year, although the value of Free Cash Flow will most likely fall to nearly 480.3 M.
Ralph Lauren Corp holds a recent Real Value of $108.81 per share. The prevailing price of the company is $98.84. At this time, the company appears to be undervalued. Our model determines the value of Ralph Lauren Corp from analyzing the company fundamentals such as Shares Outstanding of 48.74 M, operating margin of 16.98 %, and Return On Equity of 23.35 % as well as examining its technical indicators and Probability Of Bankruptcy. In general, we support acquiring undervalued entities and dropping overvalued entities since, at some point, asset prices and their ongoing real values will merge together.
  
Ralph Lauren Valuation Module provides a unique way to ballpark how much the company is worth today. It is done using both, our quantitative analysis of the company fundamentals as well as its intrinsic market price estimation to project the real value. We also take into consideration other essential factors such as Ralph Lauren's management style, its c-level domain expertise and tenure, its overall leadership history as well as current capital structure, and future earnings potential.

Ralph Most Recent Valuation Data

Price Book
2.66
Price Sales
1.02
Forward Annual Dividend Yield
0.031
EBITDA
989.4 M
Dividend Share
2.06
Ex Dividend Date
2022-06-30
Beta
1.38
Undervalued
Today 98.84
Please note that Ralph Lauren's price fluctuation is very steady at this time. Calculation of the real value of Ralph Lauren Corp is based on 3 months time horizon. Increasing Ralph Lauren's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Ralph Lauren Corp is useful when determining the fair value of the Ralph stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Ralph Lauren. Since Ralph Lauren is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Ralph Stock. However, Ralph Lauren's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
108.81
Real Value
111.61
Upside
Estimating the potential upside or downside of Ralph Lauren Corp helps investors to forecast how Ralph stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Ralph Lauren more accurately as focusing exclusively on Ralph Lauren's fundamentals will not take into account other important factors:
Earnings
Estimates (8)
LowProjected EPSHigh
7.267.347.44
Details
Hype
Prediction
LowEstimated ValueHigh
96.0298.82101.62
Details
Potential
Annual Dividend
LowIncome Per ShareHigh
0.910.940.96
Details
11 Analysts
Consensus
LowTarget PriceHigh
109.00135.77170.00
Details
Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Ralph Lauren's intrinsic value based on its ongoing forecasts of Ralph Lauren's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Ralph Lauren's closest peers. When choosing an evaluation method for Ralph Lauren Corp, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.

Ralph Lauren Investments

505.05 Million

Ralph Valuation Drivers Correlation

Many accounts on the financial statements of Ralph Lauren Corp are highly interrelated and sometimes correlated. Consequently, when conducting Ralph's valuation analysis, one should examine all of the accounts reported to obtain a complete picture of its financial situation. We provide a unique feature to present a conventional correlation table purposely composed against different valuation-related drivers of Ralph
Click cells to compare fundamentals

Ralph Valuation Trend

Knowing Ralph Lauren's actual value is paramount for traders to make sound investment determinations. Ralph Lauren's real value is not only important for the investor to make better decisions but also for a more accurate overall view of Ralph Lauren's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Ralph Lauren's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.

Ralph Market Cap

Ralph Lauren Corp is currently regarded as top stock in market capitalization category among related companies. Market capitalization of Apparel Manufacturing industry is at this time estimated at about 3.04 Trillion. Ralph Lauren adds roughly 7.12 Billion in market capitalization claiming only tiny portion of stocks in Apparel Manufacturing industry.
Capitalization  Valuation  Revenue  Workforce  Total debt

Ralph Lauren Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining Ralph Lauren's current stock value. Our valuation model uses many indicators to compare Ralph Lauren value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Ralph Lauren competition to find correlations between indicators driving Ralph Lauren's intrinsic value. More Info.
Ralph Lauren Corp is currently regarded as top stock in beta category among related companies. It is currently regarded as top stock in price to earning category among related companies reporting about  12.88  of Price to Earning per Beta. The value of Price to Earnings Ratio is estimated to pull down to 19.04. The value of Earnings Before Interest Taxes and Depreciation Amortization EBITDA is expected to pull down to about 959.5 M. Comparative valuation analysis is a catch-all model that can be used if you cannot value Ralph Lauren by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Ralph Lauren's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Ralph Lauren's earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Ralph Lauren's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Ralph Lauren and how it compares across the competition.

About Ralph Lauren Valuation

The equity valuation mechanism determines the current worth of Ralph Lauren Corp on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Ralph Lauren Corp. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Ralph Lauren Corp based exclusively on its fundamental and basic technical indicators. By analyzing Ralph Lauren's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Ralph Lauren's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Ralph Lauren. We calculate exposure to Ralph Lauren's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Ralph Lauren's related companies.
Fiscal Year End
March
Industry
Apparel Manufacturing
Concentration
Apparel, Accessories & Luxury Goods
Full Time Employees
13.5 K
Service Category
Textiles, Apparel & Luxury Goods
Employer Id Number
13-2622036
Last ReportedProjected for 2022
Gross Profit3.6 B3.1 B
Profit Margin 9.65  6.46 
Ralph Lauren Corporation designs, markets, and distributes lifestyle products in North America, Europe, Asia, and internationally. Ralph Lauren Corporation was founded in 1967 and is headquartered in New York, New York. Ralph Lauren operates under Apparel Manufacturing classification in the United States and is traded on New York Stock Exchange. It employs 13500 people.
Ralph Lauren's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Ralph Lauren's value is low or high relative to the company's performance and growth projections. Determining the market value of Ralph Lauren can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Ralph Lauren represents a small ownership stake in the entity. As a stockholder of Ralph, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

Ralph Lauren Dividends Analysis For Valuation

Dividend Yield is expected to hike to 0.005316 this year, although the value of Payment of Dividends and Other Cash Distributions will most likely fall to (91.8 M). . The value of Accumulated Retained Earnings Deficit is expected to pull down to about 3.1 B. The value of Earning Before Interest and Taxes EBIT is expected to pull down to about 773.9 M
Last ReportedProjected for 2022
Payment of Dividends and Other Cash Distributions-85.1 M-91.8 M
Dividend Yield 0.0045  0.005316 
Dividends per Basic Common Share 0.72  0.71 
There are various types of dividends Ralph Lauren can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Ralph shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Ralph Lauren Corp directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Ralph pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Ralph Lauren by the value of the dividends paid out.

Ralph Lauren Valuation Growth Rates

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Ralph Lauren does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Quick Ratio1.39
Revenue Growth18.30%
Payout Ratio34.08%
Enterprise Value To Ebitda7.30
Enterprise Value To Revenue1.24

Ralph Lauren Current Valuation Indicators

Valuation refers to the process of determining the present value of Ralph Lauren Corp and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Ralph we look at many different elements of the entity such as Ralph's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Ralph Lauren's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Ralph Lauren's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Ralph Lauren, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Ralph Lauren's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Ralph Lauren's worth.
Additionally, take a look at Your Equity Center. Note that the Ralph Lauren Corp information on this page should be used as a complementary analysis to other Ralph Lauren's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Portfolio Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.

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When running Ralph Lauren Corp price analysis, check to measure Ralph Lauren's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Ralph Lauren is operating at the current time. Most of Ralph Lauren's value examination focuses on studying past and present price action to predict the probability of Ralph Lauren's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Ralph Lauren's price. Additionally, you may evaluate how the addition of Ralph Lauren to your portfolios can decrease your overall portfolio volatility.
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Is Ralph Lauren's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Ralph Lauren. If investors know Ralph will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Ralph Lauren listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
-0.19
Market Capitalization
6.5 B
Quarterly Revenue Growth YOY
0.083
Return On Assets
0.0639
Return On Equity
0.22
The market value of Ralph Lauren Corp is measured differently than its book value, which is the value of Ralph that is recorded on the company's balance sheet. Investors also form their own opinion of Ralph Lauren's value that differs from its market value or its book value, called intrinsic value, which is Ralph Lauren's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Ralph Lauren's market value can be influenced by many factors that don't directly affect Ralph Lauren's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Ralph Lauren's value and its price as these two are different measures arrived at by different means. Investors typically determine Ralph Lauren value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Ralph Lauren's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.