WallStSmart

Gildan Activewear Inc. (GIL)vsRalph Lauren Corp Class A (RL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Ralph Lauren Corp Class A generates 99% more annual revenue ($8.11B vs $4.07B). RL leads profitability with a 11.6% profit margin vs 6.1%. GIL appears more attractively valued with a PEG of 0.53. RL earns a higher WallStSmart Score of 62/100 (C+).

GIL

Buy

60

out of 100

Grade: C

Growth: 5.3Profit: 5.0Value: 4.7Quality: 5.0
Piotroski: 2/9Altman Z: 1.29

RL

Buy

62

out of 100

Grade: C+

Growth: 7.3Profit: 7.5Value: 5.0Quality: 7.5
Piotroski: 6/9Altman Z: 4.52
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GILSignificantly Overvalued (-45.9%)

Margin of Safety

-45.9%

Fair Value

$49.65

Current Price

$52.75

$3.10 premium

UndervaluedFair: $49.65Overvalued

Intrinsic value data unavailable for RL.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GIL3 strengths · Avg: 8.7/10
Revenue GrowthGrowth
63.8%10/10

Revenue surging 63.8% year-over-year

PEG RatioValuation
0.538/10

Growing faster than its price suggests

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

RL4 strengths · Avg: 9.0/10
Return on EquityProfitability
33.1%10/10

Every $100 of equity generates 33 in profit

Altman Z-ScoreHealth
4.5210/10

Safe zone — low bankruptcy risk

Revenue GrowthGrowth
16.6%8/10

16.6% revenue growth

EPS GrowthGrowth
20.0%8/10

Earnings expanding 20.0% YoY

Areas to Watch

GIL4 concerns · Avg: 3.3/10
P/E RatioValuation
35.5x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
7.3%3/10

ROE of 7.3% — below average capital efficiency

Profit MarginProfitability
6.1%3/10

6.1% margin — thin

Debt/EquityHealth
1.473/10

Elevated debt levels

RL4 concerns · Avg: 3.8/10
PEG RatioValuation
2.334/10

Expensive relative to growth rate

P/E RatioValuation
26.7x4/10

Moderate valuation

Price/BookValuation
8.6x4/10

Trading at 8.6x book value

Debt/EquityHealth
1.053/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : GIL

The strongest argument for GIL centers on Revenue Growth, PEG Ratio, Price/Book. Revenue growth of 63.8% demonstrates continued momentum. PEG of 0.53 suggests the stock is reasonably priced for its growth.

Bull Case : RL

The strongest argument for RL centers on Return on Equity, Altman Z-Score, Revenue Growth. Revenue growth of 16.6% demonstrates continued momentum.

Bear Case : GIL

The primary concerns for GIL are P/E Ratio, Return on Equity, Profit Margin.

Bear Case : RL

The primary concerns for RL are PEG Ratio, P/E Ratio, Price/Book.

Key Dynamics to Monitor

GIL profiles as a hypergrowth stock while RL is a growth play — different risk/reward profiles.

RL carries more volatility with a beta of 1.37 — expect wider price swings.

GIL is growing revenue faster at 63.8% — sustainability is the question.

RL generates stronger free cash flow (94M), providing more financial flexibility.

Bottom Line

RL scores higher overall (62/100 vs 60/100) and 16.6% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Gildan Activewear Inc.

CONSUMER CYCLICAL · APPAREL MANUFACTURING · USA

Gildan Activewear Inc. manufactures and sells various apparel products in the United States, Canada, and internationally. The company is headquartered in Montreal, Canada.

Visit Website →

Ralph Lauren Corp Class A

CONSUMER CYCLICAL · APPAREL MANUFACTURING · USA

Ralph Lauren Corporation is an American fashion company producing products ranging from the mid-range to the luxury segments. They are known for the clothing, marketing and distribution of products in four categories: apparel, home, accessories, and fragrances.

Want to dig deeper into these stocks?