Ralph Lauren Corporation

LSE:0KTS Stock Report

Market Cap: US$14.7b

Ralph Lauren Valuation

Is 0KTS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 0KTS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
US$338.31
Fair Value
29.2% undervalued intrinsic discount
18
Number of Analysts

Below Fair Value: 0KTS ($239.62) is trading below our estimate of fair value ($338.31)

Significantly Below Fair Value: 0KTS is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0KTS?

Key metric: As 0KTS is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 0KTS. This is calculated by dividing 0KTS's market cap by their current earnings.
What is 0KTS's PE Ratio?
PE Ratio21.6x
EarningsUS$683.80m
Market CapUS$14.74b

Price to Earnings Ratio vs Peers

How does 0KTS's PE Ratio compare to its peers?

The above table shows the PE ratio for 0KTS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average45x
BRBY Burberry Group
90.6x43.0%UK£3.4b
BTRW Barratt Redrow
50.4x36.3%UK£5.8b
GAW Games Workshop Group
29.3x6.1%UK£4.4b
BKG Berkeley Group Holdings
9.5x-5.6%UK£3.6b
0KTS Ralph Lauren
21.6x7.2%US$14.7b

Price-To-Earnings vs Peers: 0KTS is good value based on its Price-To-Earnings Ratio (21.6x) compared to the peer average (45x).

Price to Earnings Ratio vs Industry

How does 0KTS's PE Ratio compare vs other companies in the European Luxury Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
0KTS 21.6xIndustry Avg. 15.7xNo. of Companies6PE01020304050+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 0KTS is expensive based on its Price-To-Earnings Ratio (21.6x) compared to the European Luxury industry average (15.7x).

Price to Earnings Ratio vs Fair Ratio

What is 0KTS's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

0KTS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio21.6x
Fair PE Ratio19.9x

Price-To-Earnings vs Fair Ratio: 0KTS is expensive based on its Price-To-Earnings Ratio (21.6x) compared to the estimated Fair Price-To-Earnings Ratio (19.9x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 0KTS forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$239.62
US$234.97
-1.9%
17.6%US$300.00US$150.00n/a18
Jan ’26US$231.28
US$234.97
+1.6%
17.6%US$300.00US$150.00n/a18
Dec ’25US$230.86
US$232.03
+0.5%
17.6%US$300.00US$148.00n/a18
Nov ’25US$196.76
US$199.90
+1.6%
17.8%US$287.00US$113.00n/a18
Oct ’25US$192.34
US$190.59
-0.9%
15.2%US$250.00US$113.00n/a19
Sep ’25US$169.90
US$190.52
+12.1%
14.3%US$250.00US$113.00n/a19
Aug ’25US$169.92
US$190.52
+12.1%
14.2%US$250.00US$113.00n/a19
Jul ’25US$171.31
US$190.83
+11.4%
14.2%US$250.00US$113.00n/a19
Jun ’25US$186.86
US$190.83
+2.1%
14.2%US$250.00US$113.00n/a19
May ’25US$162.12
US$189.35
+16.8%
14.1%US$244.00US$113.00n/a20
Apr ’25US$188.15
US$188.57
+0.2%
14.9%US$244.00US$113.00n/a19
Mar ’25US$185.77
US$187.26
+0.8%
15.3%US$244.00US$113.00n/a19
Feb ’25US$145.47
US$151.44
+4.1%
14.9%US$189.00US$100.00n/a19
Jan ’25US$144.12
US$141.93
-1.5%
12.4%US$170.00US$100.00US$231.2819
Dec ’24US$132.58
US$138.09
+4.2%
13.3%US$170.00US$100.00US$230.8619
Nov ’24US$110.66
US$136.09
+23.0%
12.8%US$166.00US$100.00US$196.7618
Oct ’24US$116.24
US$137.45
+18.2%
13.1%US$166.00US$100.00US$192.3418
Sep ’24US$117.15
US$136.26
+16.3%
13.5%US$169.00US$100.00US$169.9016
Aug ’24US$131.32
US$134.82
+2.7%
14.3%US$169.00US$100.00US$169.9216
Jul ’24US$123.16
US$132.32
+7.4%
13.3%US$168.00US$100.00US$171.3116
Jun ’24US$106.69
US$131.27
+23.0%
13.5%US$168.00US$100.00US$186.8615
May ’24US$114.71
US$129.40
+12.8%
13.0%US$154.00US$100.00US$162.1216
Apr ’24US$116.38
US$129.40
+11.2%
13.0%US$154.00US$100.00US$188.1516
Mar ’24US$117.33
US$131.02
+11.7%
12.8%US$157.00US$100.00US$185.7718
Feb ’24US$124.39
US$122.52
-1.5%
16.3%US$157.00US$90.00US$145.4718
Jan ’24n/a
US$116.36
0%
16.3%US$148.00US$90.00US$144.1218
Analyst Price Target
Consensus Narrative from 18 Analysts
US$237.23
Fair Value
1.0% overvalued intrinsic discount
18
Number of Analysts

Analyst Forecast: Target price is lower than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/01/11 08:51
End of Day Share Price 2025/01/10 00:00
Earnings2024/09/28
Annual Earnings2024/03/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Ralph Lauren Corporation is covered by 43 analysts. 17 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
null nullArgus Research Company
Ishan MajumdarBaptista Research
Robert DrbulBarclays