Retail vs Ralph Lauren Which Is More Reliable?

Retail stocks refer to companies that operate in the consumer goods sector, selling products directly to customers. On the other hand, Ralph Lauren stocks specifically pertain to the publicly traded shares of the luxury fashion brand founded by the American designer of the same name. While retail stocks are influenced by overall market trends and consumer sentiment, Ralph Lauren stocks are also impacted by the fashion industry and the brand's reputation for high-end clothing and accessories. Both types of stocks offer investors opportunities for growth and profit, but they come with their own unique risks and potential rewards.

Retail or Ralph Lauren?

When comparing Retail and Ralph Lauren, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Retail and Ralph Lauren.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Retail has a dividend yield of -%, while Ralph Lauren has a dividend yield of 1.38%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Retail reports a 5-year dividend growth of 0.00% year and a payout ratio of 3.95%. On the other hand, Ralph Lauren reports a 5-year dividend growth of 4.78% year and a payout ratio of 28.56%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Retail P/E ratio at 8.84 and Ralph Lauren's P/E ratio at 20.82. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Retail P/B ratio is 0.47 while Ralph Lauren's P/B ratio is 5.83.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Retail has seen a 5-year revenue growth of 0.00%, while Ralph Lauren's is 0.26%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Retail's ROE at 2.42% and Ralph Lauren's ROE at 27.82%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $0.07 for Retail and $226.03 for Ralph Lauren. Over the past year, Retail's prices ranged from $0.02 to $0.13, with a yearly change of 527.00%. Ralph Lauren's prices fluctuated between $134.27 and $237.16, with a yearly change of 76.63%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.