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Ralph Lauren (RL) Stock Moves -0.25%: What You Should Know

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In the latest trading session, Ralph Lauren (RL - Free Report) closed at $256.81, marking a -0.25% move from the previous day. This change was narrower than the S&P 500's daily loss of 0.47%. Meanwhile, the Dow lost 0.31%, and the Nasdaq, a tech-heavy index, lost 0.51%.

The upscale clothing company's stock has climbed by 11.46% in the past month, exceeding the Consumer Discretionary sector's gain of 2.51% and the S&P 500's gain of 1.67%.

Investors will be eagerly watching for the performance of Ralph Lauren in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on February 6, 2025. The company is expected to report EPS of $4.46, up 6.95% from the prior-year quarter. At the same time, our most recent consensus estimate is projecting a revenue of $2.01 billion, reflecting a 3.91% rise from the equivalent quarter last year.

RL's full-year Zacks Consensus Estimates are calling for earnings of $11.71 per share and revenue of $6.85 billion. These results would represent year-over-year changes of +13.58% and +3.23%, respectively.

Investors should also pay attention to any latest changes in analyst estimates for Ralph Lauren. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.26% lower. Ralph Lauren is holding a Zacks Rank of #3 (Hold) right now.

With respect to valuation, Ralph Lauren is currently being traded at a Forward P/E ratio of 22. This represents a premium compared to its industry's average Forward P/E of 16.

It is also worth noting that RL currently has a PEG ratio of 1.91. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. RL's industry had an average PEG ratio of 1.91 as of yesterday's close.

The Textile - Apparel industry is part of the Consumer Discretionary sector. This industry, currently bearing a Zacks Industry Rank of 73, finds itself in the top 30% echelons of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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