What is Ralph Lauren Corporation (RL) DCF Fair Value and Intrinsic Value in 2026?

Ralph Lauren Corporation (RL) intrinsic value is calculated using conservative multi-stage Discounted Cash Flow (DCF) models, 5-year free cash flow trajectories, Graham Numbers, and owner earnings multiples. LocalAlpha tracks real-time margin of safety against live market prices.

What is Ralph Lauren Corporation's historical Return on Invested Capital (ROIC) and Moat Rating?

Ralph Lauren Corporation operates in the Consumer Cyclical sector (Apparel Luxury) with an economic moat rating of NARROW. LocalAlpha tracks 5-year audited quarterly ROIC, operating margin stability, and balance sheet solvency ratios.

What is Ralph Lauren Corporation's financial health rating and Piotroski F-Score?

Ralph Lauren Corporation's balance sheet quality is evaluated using the 9-point Piotroski F-Score, Altman Z-Score solvency model, debt-to-equity ratio, and quick/current liquidity coverage to guard against financial distress.

How does LocalAlpha monitor Ralph Lauren Corporation (RL) for quarterly SEC filing thesis breaks?

LocalAlpha audits Ralph Lauren Corporation's 10-K, 10-Q, and 8-K regulatory filings on SEC EDGAR within 15 minutes of release. If reported metrics breach an investor's custom ROIC floor, operating margin boundary, or qualitative risk criteria, an autonomous breach audit is dispatched immediately.

StocksRL

RL

Ralph Lauren CorporationConsumer Cyclical / Apparel ManufacturingINTACT

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.

Share Price

$339.09

52W: $299.98 - $421.6

DCF Fair Value

$494.02

+31.4% MoS

Thesis Hub

P/E (TTM)

21.4x

ROIC

13.8%

Operating Margin

18.4%

FCF Yield

4.4%

Debt / Equity

1.1x

Piotroski Score

9/9

Altman Z-Score

3.72

Market Cap

$20.2B

Price vs. Intrinsic Value Corridor

Margin of Safety Buy Zone (<25% Discount)

Historical market price overlaid against conservative DCF Fair Value & Benjamin Graham Margin of Safety bands.

Period Return (1Y)

—()

Period Range

$— - $—

DCF Fair Value

$494.02

MOS Buy Target (-25%)

$370.52

Valuation Overlays: DCF Fair Value ($494.02) 25% MOS Buy Target ($370.52) Revised Graham ($324.20) Graham Number ($127.65)

2-Stage Discounted Cash Flow (DCF) Workbench

Conservative intrinsic value model based on owner cash generation over a 10-year investment horizon. Opens with LocalAlpha's baseline assumptions (matching the fair value shown above) — adjust any input to stress-test.

Current Market Price

$339.09

DCF Fair Value

$489.13

+30.7% MoS

Starting Free Cash Flow ($M)$880M

$100M$880M (Reported)$50,000M

Stage 1 Growth (Years 1-5)9.2%

-5%10% (Target)35%

Stage 2 Growth (Years 6-10)4.5%

0%5%20%

Discount Rate (WACC / Hurdle)9.0%

6%9% (Standard)15% (High Risk)

Terminal Perpetual Growth2.5%

1% (GDP Floor)2.5% (Inflation)4.0%

Net Debt ($M)$1,100M

-$100B CashBalance Sheet+$150B Debt

10-Yr PV of Cash Flows

$8.3B

PV of Terminal Value

$11.3B

Implied Enterprise Value

$19.7B

Implied Equity Value

$18.6B

Year	Yr 1	Yr 2	Yr 3	Yr 4	Yr 5	Yr 6	Yr 7	Yr 8	Yr 9	Yr 10
Projected FCF ($M)	$961	$1,049	$1,146	$1,251	$1,366	$1,428	$1,492	$1,559	$1,630	$1,703
Present Value (PV)	$882	$883	$885	$886	$888	$851	$816	$783	$750	$719

Benjamin Graham & Buffett Value Models

Classical deep value metrics based on asset backing, normalized earnings power, and owner cash yield.

Graham Number-165.6% Premium

$127.65

Calculated as √(22.5 × EPS × BVPS). The maximum theoretical price a defensive investor should pay based purely on asset book value and current earnings.

EPS: $15.86BVPS: $45.66

Revised Graham Formula-4.6% Premium

$324.20

Formula: V = (EPS × (8.5 + 2g) × 4.4) / Y where g is the conservative 7-10 yr growth rate and Y is AAA Bond Yield.

Growth Rate (g%)

Bond Yield (Y%)

Buffett Owner Earnings6.5% Yield

$22.00 / share

True distributable cash flow: Net Income + D&A - Maintenance CapEx. Reflects the cash Buffett would extract without hurting unit volume.

Total: $0.8BYield: 6.5%

Reverse DCF: Market Growth Expectation

EXTREMELY LOW BARRIER

1.5% CAGR (Next 10 Yrs)

At the current price of $339.09, the market is assuming the business will compound Free Cash Flow at 1.5% per year for the next decade with a 9% hurdle rate.

Value Investor Verdict

✓ Low market hurdle: Easy for a wide-moat compounder to beat.

Autonomous Thesis Underwriting

Surveil RL with Mathematical Margin of Safety Rules

Set non-negotiable floor rules for Ralph Lauren Corporation. If a newly filed quarterly 10-Q breaks your ROIC floor, operating margin boundary, or balance sheet leverage rules, receive an autonomous breach audit within 15 minutes.

Buffett Quality

ROIC > 15% • Margin > 15% • D/E < 0.5x

Margin Floor Guard

Current Margin 18.4% • Floor > 10%

Solvency Guard

Altman-Z > 2.6 • Current Ratio > 1.5x

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Frequently Asked Questions: Ralph Lauren Corporation (RL) Intrinsic Valuation

Audited fundamentals, DCF intrinsic value sensitivity, and thesis break detection parameters for Ralph Lauren Corporation.

Based on institutional multi-stage Discounted Cash Flow (DCF) modeling on audited SEC cash flows, Ralph Lauren Corporation has an estimated DCF intrinsic fair value of $494.02 per share compared to its current market price of $339.09. This represents an estimated 31.4% margin of safety (trading below fair value). Additionally, its classic Benjamin Graham Number stands at $127.65.