Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Ralph LaurenRL -1.47%89 Debt-to-EBITDA is 2.81 as of Mar. 2026, which is 1% above its 10-year median of 2.79. GuruFocus rates RL with a GF Score™ of 89/100 and a GF Value™ of $264.96 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 806 Manufacturing - Apparel & Accessories companies, Ralph Lauren ranks better than 58.31% on this metric.
Debt-to-EBITDA measures a company's ability to pay off its debt.
A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt. According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.
The historical rank and industry rank for Ralph Lauren's Debt-to-EBITDA or its related term are showing as below:
RL'
s Debt-to-EBITDA Range Over the Past 10 Years
Min: 1.05 Med: 2.79 Max: 16.36
Current: 2.05
During the past 13 years, the highest Debt-to-EBITDA Ratio of Ralph Lauren was 16.36. The lowest was 1.05. And the median was 2.79.
A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt.
According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.
Ralph Lauren Debt-to-EBITDA Related Terms
Ralph Lauren Debt-to-EBITDA Historical Data
* Premium members only.
The historical data trend for Ralph Lauren's Debt-to-EBITDA can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Apparel Manufacturing subindustry, Ralph Lauren's Debt-to-EBITDA, along with its competitors' market caps and Debt-to-EBITDA data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Ralph Lauren Debt-to-EBITDA vs Manufacturing - Apparel & Accessories Industry
For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Ralph Lauren's Debt-to-EBITDA distribution charts can be found below:
* The bar in red indicates where Ralph Lauren's Debt-to-EBITDA falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual Debt-to-EBITDA, the EBITDA of the last fiscal year is used. In calculating the annualized quarterly data,
the EBITDA data used here is four times the quarterly (Mar. 2026) EBITDA data.
Ralph Lauren (RL) has a Debt-to-EBITDA of 2.81 as of Mar. 2026. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Ralph Lauren. This is near median its historical median of 2.79. Over the past decade, Ralph Lauren's Debt-to-EBITDA has ranged from 1.05 to 16.36. According to the industry distribution chart, Ralph Lauren ranks #336 out of 806 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 41.7%.
Is Ralph Lauren's Debt-to-EBITDA too high?
Ralph Lauren's current Debt-to-EBITDA of 2.81 is near median its 10-year median of 2.79. Over the past 10 years, this metric has ranged from a low of 1.05 to a high of 16.36. The Manufacturing - Apparel & Accessories industry median Debt-to-EBITDA is 2.72. Ralph Lauren's value of 2.81 is 3.5% above this industry median. Based on the distribution chart, Ralph Lauren ranks #336 out of 806 companies in the Manufacturing - Apparel & Accessories industry, which is above the industry midpoint. Overall, Ralph Lauren has a GF Score™ of 89/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Ralph Lauren's Debt-to-EBITDA compare to LEVI and VFC?
According to the Manufacturing - Apparel & Accessories industry distribution chart, Ralph Lauren ranks #336 out of 806 companies for Debt-to-EBITDA. This puts Ralph Lauren in the upper half of its industry. The industry median Debt-to-EBITDA is 2.72. Ralph Lauren's value of 2.81 is 3.5% above this benchmark. Historically, Ralph Lauren's own Debt-to-EBITDA has ranged from 1.05 to 16.36 over the past decade. While the company's 10-year median is 2.79 vs. the industry median of 2.72, Ralph Lauren has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Debt-to-EBITDA for a Manufacturing - Apparel & Accessories company?
The median Debt-to-EBITDA among Manufacturing - Apparel & Accessories companies is 2.72, based on 806 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Ralph Lauren's current Debt-to-EBITDA of 2.81 is 3.5% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Debt-to-EBITDA mean?
A high Debt-to-EBITDA can signal that a stock is expensive relative to its fundamentals. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Ralph Lauren. For the Manufacturing - Apparel & Accessories industry, the median Debt-to-EBITDA is 2.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ralph Lauren's current Debt-to-EBITDA is 2.81, which is near median its own 10-year median of 2.79. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ralph Lauren stock overvalued right now?
Based on GuruFocus' analysis, Ralph Lauren (RL) is currently considered Significantly Overvalued. The stock's GF Value™ is $264.96, compared to a current price of $368.97 — trading 39.3% above its estimated fair value. The current Debt-to-EBITDA is 2.81, which is near median its 10-year median of 2.79 and 3.5% above the Manufacturing - Apparel & Accessories industry median of 2.72. Ralph Lauren's overall GF Score™ is 89/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-EBITDA calculated?
Debt-to-EBITDA is calculated from a company's financial statements. For Ralph Lauren (RL), the current Debt-to-EBITDA is 2.81 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Ralph Lauren (RL) Overvalued in 2026?
Based on GuruFocus' analysis, Ralph Lauren stock appears to be overvalued.
The current stock price of $368.97 is trading 39.3% above its estimated GF Value™ of $264.96.
GuruFocus considers Ralph Lauren to be Significantly Overvalued.
Key valuation signals for RL:
Debt-to-EBITDA: 2.81 (near median its 10-year median of 2.79)
GF Value™: $264.96 vs. price of $368.97 (39.3% above fair value)
Industry Position: 3.5% above the Manufacturing - Apparel & Accessories median (#336 of 806)
No single metric tells the full story. See the RL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded by designer Ralph Lauren (current executive chairman and chief creative officer) in 1967 in New York City, Ralph Lauren Corp. designs, markets, and distributes lifestyle merchandise in North America (41% of fiscal 2026 sales), Europe (31%), and Asia (26%). Best known for its iconic polo shirts, its products also include other types of apparel, footwear, eyewear, jewelry, handbags, home goods, and fragrances. The company's brands include Ralph Lauren Collection, Polo Ralph Lauren, and Lauren Ralph Lauren. Distribution channels for Ralph Lauren include wholesale (department stores and specialty stores), retail (company-owned retail stores and e-commerce), and licensing.
89GF Score
Get the complete analysis for RL
Debt-to-EBITDA is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
RL has been successfully added to your 
