Trade-Ideas LLC identified
) as a post-market laggard candidate. In addition to specific proprietary factors, Trade-Ideas identified Ralph Lauren as such a stock due to the following factors:
- RL has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $92.5 million.
- RL is down 2.7% today from today's close.
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More details on RL:
Ralph Lauren Corporation designs, markets, and distributes lifestyle products worldwide. The company operates in three segments: Wholesale, Retail, and Licensing. The stock currently has a dividend yield of 1.9%. RL has a PE ratio of 16. Currently there are 2 analysts that rate Ralph Lauren a buy, no analysts rate it a sell, and 10 rate it a hold.
The average volume for Ralph Lauren has been 946,400 shares per day over the past 30 days. Ralph Lauren has a market cap of $6.5 billion and is part of the consumer goods sector and consumer non-durables industry. The stock has a beta of 1.02 and a short float of 6.4% with 4.15 days to cover. Shares are down 43.4% year-to-date as of the close of trading on Monday.
rates Ralph Lauren as a
. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, deteriorating net income and disappointing return on equity.
Highlights from the ratings report include:
- RL's debt-to-equity ratio is very low at 0.18 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.40, which illustrates the ability to avoid short-term cash problems.
- The gross profit margin for RALPH LAUREN CORP is rather high; currently it is at 59.70%. Regardless of RL's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, the net profit margin of 3.95% trails the industry average.
- RALPH LAUREN CORP has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. Earnings per share have declined over the last two years. We anticipate that this should continue in the coming year. During the past fiscal year, RALPH LAUREN CORP reported lower earnings of $7.87 versus $8.42 in the prior year. For the next year, the market is expecting a contraction of 12.3% in earnings ($6.90 versus $7.87).
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Textiles, Apparel & Luxury Goods industry. The net income has significantly decreased by 60.5% when compared to the same quarter one year ago, falling from $162.00 million to $64.00 million.
- You can view the full Ralph Lauren Ratings Report.