Ralph Lauren Stock Price Picks Bullish Spur As Earnings Nears?

• RL Stock gained 7.14% in a month, 23.00% YTD, and 37.55% in a year. 
• Ralph Lauren will announce quarterly earnings on August 10, 2023. 

Ralph Lauren Corporation (NYSE: RL) will release Q2 earnings on August 10, 2023, before the opening bell; RL Stock gained 23% YTD. The luxury fashion company also disclosed its quarterly dividend on July 14, 2023. Investors on record since June 30, 2023, were given a $0.75 dividend. They were representing a $3.00 dividend on an annualized basis with a 2.28% yield. 

Ralph Lauren Corp. (NYSE: RL): Earnings Announcement and Financial Analysis

Ralph Lauren Corp. reported its last earnings on May 25, 2023, where the reported revenue of $1.541 Billion surpassed the estimated value of $1.473 Billion by 4.57%. Compared to the previous quarter, revenue swelled by 1.91%. The textile maker reported earnings of $0.90 per share, surpassing the estimated $0.603 per share by 49.53%. 

Compared to the previous quarter, earnings per share (EPS) jumped 83.67%. Despite such positive earnings, RL’s stock price fell around 12%. The subsequent earnings will be announced on August 10, 2023, where the revenue is expected to be around $1.484 Billion, while earnings should be $2.138 per share. Analysts expect Ralph Lauren Corp. to post an EPS of $11 in 2024.

On August 3, 2023, Ralph Lauren Corporation decided to expand in gaming and the metaverse by announcing the opening of its island in Fortnite. The limited edition island would be called “Race to Greatness by Polo Ralph Lauren.” 

Ralph Lauren Corp. (RL Stock) – Technical Analysis

RL stock, at press time, is trading at $132.21, gaining 0.56%; previous close and open were at $131.48 & $131.10, respectively. The 52-week range is from $82.23 to $132.77, indicating the current price is brushing the top. With an average volume of 853,698 shares, the market cap is $8.629 Billion. 

Ralph Lauren has a net margin of 8.11% and reports a return on equity of 24.19%. The trailing twelve-month (TTM) price-to-earnings (P/E) ratio is 17.44, indicative of an undervalued stock price. Also, the (TTM) EPS is $7.58, showcasing strength. Analysts placed a 2.54 rating for moderate buy and estimated the price target at $131.15 with a 0.8% downside. 

Analysts Chart; NYSE: RL; MarketBeat

Operating expenses fell by 18.70% to $748.80 Million, while operating margin (TTM) gained 11.58%. The (TTM) revenue is $6.44 Billion, and the year-over-year (YoY) quarterly revenue growth is 1.20%. The net income jumped by 32.38% to $32.30 Million, the net profit margin swelled by 31.25% to 2.10, and the profit margin was 8.11%. 

Total cash in hand at the end of the most recent quarter (MRQ) is $1.57 Billion, while total debt is $2.88 Billion. RL Stock price gained 7.14% in a month, 18.14% in three months, 23.00% YTD, and 37.55% YTD. 

Ralph Lauren Corporation (RL) Stock: Candle Exploration

Ralph Lauren’s stock price has been in a bullish momentum since June 2023, with the current price brushing the 52-week high. If the price sustains above R1 at $132.95, it could touch R2 at $140.00. Further bullish momentum would be visible after the price maintains a rate above R2. 

If the price falls, it could reverse from 50EMA at $123.71 or bounce off S1 at $121.10.The possibility of traveling to R2 at $105.07 are slim. The ascending 50EMA and 200EMA hint toward gain. While a positive RSI crossover at $65.23 hints at momentum. 

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