Caption Management LLC Purchases 7,000 Shares of Ralph Lauren Corporation $RL

Key Points

• Caption Management LLC increased its shareholding in Ralph Lauren Corporation by 70% during the first quarter, purchasing an additional 7,000 shares, bringing its total to 17,000 shares valued at approximately $3.75 million.
• Wall Street analysts are generally optimistic about Ralph Lauren, with a consensus rating of "Moderate Buy" and a price target of $306.41, supported by recent upgrades from firms like Citigroup and Zacks Research.
• The company initiated a $1.50 billion stock buyback plan, indicating management's belief that the stock is undervalued, and they intend to repurchase up to 8.8% of its shares.

Caption Management LLC increased its holdings in Ralph Lauren Corporation (NYSE:RL - Free Report) by 70.0% during the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 17,000 shares of the textile maker's stock after buying an additional 7,000 shares during the quarter. Caption Management LLC's holdings in Ralph Lauren were worth $3,753,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors have also bought and sold shares of RL. MassMutual Private Wealth & Trust FSB raised its stake in Ralph Lauren by 93.7% during the 1st quarter. MassMutual Private Wealth & Trust FSB now owns 122 shares of the textile maker's stock valued at $27,000 after purchasing an additional 59 shares during the period. Sentry Investment Management LLC increased its position in shares of Ralph Lauren by 178.0% during the 1st quarter. Sentry Investment Management LLC now owns 139 shares of the textile maker's stock valued at $31,000 after purchasing an additional 89 shares during the last quarter. Brooklyn Investment Group lifted its holdings in shares of Ralph Lauren by 180.3% in the 1st quarter. Brooklyn Investment Group now owns 171 shares of the textile maker's stock worth $38,000 after acquiring an additional 110 shares during the last quarter. Migdal Insurance & Financial Holdings Ltd. bought a new position in shares of Ralph Lauren during the first quarter valued at approximately $39,000. Finally, Gordian Capital Singapore Pte Ltd purchased a new stake in Ralph Lauren in the first quarter worth $43,000. Hedge funds and other institutional investors own 67.91% of the company's stock.

Ralph Lauren Price Performance

Shares of RL traded up $2.05 during trading hours on Wednesday, reaching $313.07. 514,014 shares of the company traded hands, compared to its average volume of 698,299. The company has a quick ratio of 1.30, a current ratio of 1.84 and a debt-to-equity ratio of 0.58. The stock has a market capitalization of $18.96 billion, a PE ratio of 25.01, a price-to-earnings-growth ratio of 1.50 and a beta of 1.60. The stock has a fifty day simple moving average of $290.91 and a 200 day simple moving average of $260.62. Ralph Lauren Corporation has a fifty-two week low of $169.93 and a fifty-two week high of $317.34.

Ralph Lauren (NYSE:RL - Get Free Report) last posted its quarterly earnings results on Thursday, August 7th. The textile maker reported $3.77 EPS for the quarter, beating the consensus estimate of $3.50 by $0.27. Ralph Lauren had a net margin of 10.91% and a return on equity of 33.72%. The firm had revenue of $1.72 billion for the quarter, compared to analyst estimates of $1.65 billion. During the same quarter last year, the firm posted $2.70 earnings per share. Ralph Lauren's revenue for the quarter was up 13.7% compared to the same quarter last year. As a group, research analysts predict that Ralph Lauren Corporation will post 12.01 EPS for the current fiscal year.

Ralph Lauren announced that its board has initiated a share buyback plan on Thursday, May 22nd that permits the company to buyback $1.50 billion in outstanding shares. This buyback authorization permits the textile maker to reacquire up to 8.8% of its stock through open market purchases. Stock buyback plans are usually a sign that the company's board of directors believes its shares are undervalued.

Wall Street Analyst Weigh In

Several research firms have issued reports on RL. Citigroup lifted their target price on Ralph Lauren from $250.00 to $295.00 and gave the company a "neutral" rating in a research note on Friday, May 23rd. Bank of America increased their price target on Ralph Lauren from $318.00 to $328.00 and gave the stock a "buy" rating in a research report on Friday, May 23rd. Jefferies Financial Group reaffirmed a "buy" rating on shares of Ralph Lauren in a report on Wednesday, August 27th. Cowen reissued a "buy" rating on shares of Ralph Lauren in a research note on Thursday, May 22nd. Finally, BMO Capital Markets lifted their target price on shares of Ralph Lauren from $197.00 to $205.00 and gave the stock an "underperform" rating in a research note on Friday, May 23rd. Two investment analysts have rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, three have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average target price of $306.41.

Ralph Lauren Profile

Ralph Lauren Corporation designs, markets, and distributes lifestyle products in North America, Europe, Asia, and internationally. The company offers apparel, including a range of men's, women's, and children's clothing; footwear and accessories, which comprise casual shoes, dress shoes, boots, sneakers, sandals, eyewear, watches, fashion and fine jewelry, scarves, hats, gloves, and umbrellas, as well as leather goods, such as handbags, luggage, small leather goods, and belts; home products consisting of bed and bath lines, furniture, fabric and wallcoverings, floor coverings, lighting, tabletop, kitchen linens, floor coverings, dining, decorative accessories, and giftware; and fragrances.