WallStSmart

Kontoor Brands Inc (KTB)vsRalph Lauren Corp Class A (RL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Ralph Lauren Corp Class A generates 148% more annual revenue ($7.83B vs $3.15B). RL leads profitability with a 11.7% profit margin vs 7.2%. KTB trades at a lower P/E of 17.6x. RL earns a higher WallStSmart Score of 70/100 (B).

KTB

Buy

61

out of 100

Grade: C+

Growth: 7.3Profit: 7.5Value: 8.3Quality: 7.3
Piotroski: 6/9Altman Z: 3.65

RL

Strong Buy

70

out of 100

Grade: B

Growth: 6.0Profit: 8.0Value: 10.0Quality: 7.8
Piotroski: 6/9Altman Z: 3.61
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

KTBUndervalued (+45.1%)

Margin of Safety

+45.1%

Fair Value

$122.80

Current Price

$69.51

$53.29 discount

UndervaluedFair: $122.80Overvalued
RLUndervalued (+47.5%)

Margin of Safety

+47.5%

Fair Value

$684.68

Current Price

$345.93

$338.75 discount

UndervaluedFair: $684.68Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

KTB4 strengths · Avg: 9.5/10
Return on EquityProfitability
47.1%10/10

Every $100 of equity generates 47 in profit

Revenue GrowthGrowth
45.6%10/10

Revenue surging 45.6% year-over-year

Altman Z-ScoreHealth
3.6510/10

Safe zone — low bankruptcy risk

P/E RatioValuation
17.6x8/10

Attractively priced relative to earnings

RL4 strengths · Avg: 9.0/10
Return on EquityProfitability
33.9%10/10

Every $100 of equity generates 34 in profit

Altman Z-ScoreHealth
3.6110/10

Safe zone — low bankruptcy risk

Operating MarginProfitability
20.1%8/10

Strong operational efficiency at 20.1%

EPS GrowthGrowth
24.9%8/10

Earnings expanding 24.9% YoY

Areas to Watch

KTB1 concerns · Avg: 3.0/10
Profit MarginProfitability
7.2%3/10

7.2% margin — thin

RL0 concerns · Avg: 0/10

No major concerns identified

Comparative Analysis Report

WallStSmart Research

Bull Case : KTB

The strongest argument for KTB centers on Return on Equity, Revenue Growth, Altman Z-Score. Revenue growth of 45.6% demonstrates continued momentum.

Bull Case : RL

The strongest argument for RL centers on Return on Equity, Altman Z-Score, Operating Margin. Revenue growth of 12.2% demonstrates continued momentum. PEG of 1.49 suggests the stock is reasonably priced for its growth.

Bear Case : KTB

The primary concerns for KTB are Profit Margin.

Bear Case : RL

No major red flags identified for RL, but monitor valuation.

Key Dynamics to Monitor

KTB profiles as a hypergrowth stock while RL is a value play — different risk/reward profiles.

RL carries more volatility with a beta of 1.49 — expect wider price swings.

KTB is growing revenue faster at 45.6% — sustainability is the question.

RL generates stronger free cash flow (704M), providing more financial flexibility.

Bottom Line

RL scores higher overall (70/100 vs 61/100) and 12.2% revenue growth. KTB offers better value entry with a 45.1% margin of safety. Both earn "Strong 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.

Kontoor Brands Inc

CONSUMER CYCLICAL · APPAREL MANUFACTURING · USA

Kontoor Brands, Inc., a lifestyle apparel company, designs, manufactures, acquires, markets and distributes apparel under the Wrangler and Lee brands in the United States and internationally. The company is headquartered in Greensboro, North Carolina.

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.

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