
- Ralph Lauren‘s 3Q Adjusted EPS: Exceeded expectations with $4.82 compared to the estimated $4.48.
- Net Revenue: Achieved $2.14 billion, surpassing the forecast of $2.01 billion.
- Regional Revenue Growth:
- North America: $997.7 million, beating the estimate of $947.4 million
- Europe: $604.4 million, exceeding the estimate of $549.5 million
- Asia: $506.7 million, surpassing the estimate of $480.2 million
- Other Segments Revenue: Non-reportable segments reported $34.7 million, against an estimated $32.9 million.
- Wholesale Revenue: Reached $527 million, above the expected $483.3 million.
- Adjusted Financial Metrics:
- Gross Profit: Attained $1.47 billion, forecast was $1.36 billion
- Gross Margin: 68.4%, versus the estimate of 67.6%
- Operating Margin: 18.7%, compared to the forecast of 17.7%
- Store Statistics: The company operates 579 directly operated stores, while estimates were 578.6.
- Concessions and Licensed Stores:
- Concessions: 679, slightly below the estimate of 692.75
- Licensed Stores: 115, surpassing the estimates of 106
- Comparable Sales in Constant Currency:
- Total: +12%, estimate was +5.39%
- North America: +8%, forecast was +3.48%
- Europe: +17%, estimate was +8.04%
- Asia: +14%, no specific estimate provided
- Inventory: Decreased by 5%, against an estimated increase of 0.08%.
- Fiscal 2025 Outlook: Expect revenue growth of approximately 6% to 7% in constant currency.
- 4Q Forecast: Anticipates revenue growth of approximately 6% to 7% in constant currency and operating margin expansion of 120-140 basis points.
- Analyst Recommendations: 12 buy ratings, 5 hold ratings, and 3 sell ratings on the stock.
Ralph Lauren on Smartkarma
Analyst coverage of Ralph Lauren on Smartkarma has been positive, with research reports from Baptista Research shedding light on vital factors driving the growth of Ralph Lauren Corporation. In their report titled “Ralph Lauren: Product Innovation & Portfolio Diversity As A Vital Factor Driving Growth! – Major Drivers,” the analysts highlighted the company’s ability to outperform in a challenging global environment. Their research emphasized Ralph Lauren‘s diversified growth strategy and strong engagement with consumers, supported by investments in brand-building initiatives.
Furthermore, Baptista Research‘s report “Ralph Lauren Corporation: Focus on Lifestyle Portfolio & Elevated Market Strategy & Other Major Drivers” discussed Ralph Lauren‘s robust performance in the first quarter of fiscal 2025. The analysts pointed out the brand’s strength and desirability worldwide, attributing the success to a strategic focus on international markets and effective consumer engagement strategies. Key financial highlights included revenue growth and retail comp increases, showcasing balanced growth across physical and digital channels.
A look at Ralph Lauren Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Looking at the Smartkarma Smart Scores for Ralph Lauren, the company seems to have a promising long-term outlook. With a strong Momentum score of 5, Ralph Lauren appears to be experiencing positive trends in price performance. This could indicate that the company is gaining market momentum and investor interest, potentially leading to further growth.
Moreover, Ralph Lauren‘s Growth score of 4 suggests that the company may have solid prospects for expanding its business and increasing its revenue over the long term. Combined with a Resilience score of 3, indicating a moderate ability to withstand economic shocks, Ralph Lauren could be well-positioned to navigate challenges in the market while pursuing growth opportunities.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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