Let’s Take a Fresh Look at Ralph Lauren Corporation (RL)

On Thursday, shares of Ralph Lauren Corporation (NYSE:RL) marked $100.58 per share versus a previous $100.36 closing price. With having a 0.22% gain, an insight into the fundamental values of Ralph Lauren Corporation, investors would also find a great ally in the technical patterns of the stock movements showed in stock charts. RL showed a fall of -2.78% within its YTD performance, with highs and lows between $82.69 – $139.56 during the period of 52 weeks, compared to the simple moving average of -10.73% in the period of the last 200 days.

BofA/Merrill equity researchers changed the status of Ralph Lauren Corporation (NYSE: RL) shares to a “Underperform” rating in the report published on August 27th, 2019. Other analysts, including BofA/Merrill, also published their reports on RL shares. BofA/Merrill repeated the rating from the previous report, marking RL under “Underperform” rating, in the report published on August 26th, 2019. Additionally, RL shares got another “Outperform” rating from Telsey Advisory Group, setting a target price of $130 on the company’s shares, according to the report published in July 31st, 2019. On the other hand, Goldman Downgrade the “Sell” rating for RL shares, as published in the report on July 17th, 2019. Telsey Advisory Group seems to be going bullish on the price of RL shares, based on the price prediction for RL, indicating that the shares will jump to $155, giving the shares “Outperform” rating based on their report from May 15th, 2019. Another “Outperform” rating came from RBC Capital Mkts, providing a prediction for $155 price target according to the report published in May 9th, 2019.

Ralph Lauren Corporation (RL) Analysis

The present dividend yield for RL owners is set at 0.03, marking the return investors will get regardless of the company’s performance in the upcoming period. However, in order for the company to be able to pay its dividends, just like it is the case with Ralph Lauren Corporation, the company needs to provide a healthy cash flow, currently at the value of 22.31. In addition, the growth of sales from quarter to quarter is recording 2.70%, hinting the company’s progress in the upcoming progress.

In order to gain a clear insight on the performance of Ralph Lauren Corporation (RL) as it may occur in the future, there are more than several well-rounded types of analysis and research techniques, while equity is most certainly one of the more important indicators into the company’s growth and performance. In this case, you want to make sure that the return on the present equity of 13.40% is enough for you to make a profit out of your investment. You may also count in the quick ratio of the company, currently set at 1.70 so you would make sure that the company is able to cover the debts it may have, which can be easily seen in annual reports of the company.

Set to affect the volatility of a given stock, the average volume can also be a valuable indicator, while RL is currently recording an average of 1.22M in volumes. The volatility of the stock on monthly basis is set at 3.25%, while the weekly volatility levels are marked at 3.68%with 6.70% of gain in the last seven days. Additionally, long-term investors are predicting the target price of $123.75, indicating growth from the present price of $100.58, which can represent yet another valuable research and analysis points that can help you decide whether to invest in RL or pass.

What to Look for When Analyzing Ralph Lauren Corporation Shares?

Ralph Lauren Corporation (RL) is based in the USA and it represents one of the well-known company operating with Consumer Goods sector. If you wish to compare RL shares with other companies under Electronic Equipment and Consumer Goods, a factor to note is the P/E value of 17.48 for Ralph Lauren Corporation, while the value 11.82 can represent an indicator in the future growth of the company in terms of investor’s expectations. The later value should have a steady growth rate, increasing and growing gradually, which serves the purpose of reliably showcasing the progress of the company. The value 5.75 is supported by the yearly ESP growth of 20.50%.

Besides from looking into the fundamentals, you should also note the number of people inside the company owning the shares, as the values should be in line with the expectations of investors. In that spirit, the present ownership of stocks inside the company is set at 2.00%, which can provide you with an insight of how involved executives are in owning shares of the company. In oppose to the executives’ share, the institutional ownership counts of shares, carrying an equal significance as an indicator of value, as the presence of large investors may signal a strong company.

Are Institutional Investors Increasing Stakes in RL Shares?

It appears that more than several institutional investors and hedge funds decided to increase stakes in RL in the recent period. That is how Renaissance Technologies LLC now has an increase position in RL by 4.36% in the first quarter, owning 4.11 million shares of RL stocks, with the value of $362.79 million after the purchase of an additional 171,700 shares during the last quarter. In the meanwhile, BlackRock Fund Advisors also increased their stake in RL shares changed 0.93% in the first quarter, which means that the company now owns 2.9 million shares of company, all valued at $255.93 million after the acquisition of additional 26,734 shares during the last quarter.

SSgA Funds Management, Inc. acquired a new position in Ralph Lauren Corporation during the first quarter, with the value of $240.21 million, and JPMorgan Investment Management, I increased their stake in the company’s shares by 16.21% in the first quarter, now owning 219,091 shares valued at $138.78 million after the acquisition of the additional 1.57 million shares during the last quarter. In the end, T. Rowe Price Associates, Inc. increased their position by 105.73% during the first quarter, now owning 1.51 million RL shares, now holding the value of $133.47 million in RL with the purchase of the additional 108,474 shares during the period of the last quarter.