WallStSmart

Ralph Lauren Corp Class A (RL)vsErmenegildo Zegna NV (ZGN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Ralph Lauren Corp Class A generates 323% more annual revenue ($8.11B vs $1.92B). RL leads profitability with a 11.6% profit margin vs 5.1%. RL trades at a lower P/E of 25.2x. RL earns a higher WallStSmart Score of 62/100 (C+).

RL

Buy

62

out of 100

Grade: C+

Growth: 7.3Profit: 7.5Value: 4.0Quality: 7.5
Piotroski: 6/9Altman Z: 4.52

ZGN

Hold

38

out of 100

Grade: F

Growth: 4.7Profit: 6.0Value: 4.7Quality: 6.0
Piotroski: 4/9Altman Z: 1.76
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

RLSignificantly Overvalued (-86.7%)

Margin of Safety

-86.7%

Fair Value

$192.53

Current Price

$375.68

$183.15 premium

UndervaluedFair: $192.53Overvalued

Intrinsic value data unavailable for ZGN.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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

ZGN0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

RL3 concerns · Avg: 3.7/10
PEG RatioValuation
2.194/10

Expensive relative to growth rate

P/E RatioValuation
25.2x4/10

Moderate valuation

Debt/EquityHealth
1.053/10

Elevated debt levels

ZGN4 concerns · Avg: 4.0/10
P/E RatioValuation
32.3x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
0.3%4/10

0.3% revenue growth

EPS GrowthGrowth
4.5%4/10

4.5% earnings growth

Altman Z-ScoreHealth
1.764/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

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.

Bull Case : ZGN

ZGN has a balanced fundamental profile.

Bear Case : RL

The primary concerns for RL are PEG Ratio, P/E Ratio, Debt/Equity.

Bear Case : ZGN

The primary concerns for ZGN are P/E Ratio, Revenue Growth, EPS Growth.

Key Dynamics to Monitor

RL profiles as a growth stock while ZGN is a value play — different risk/reward profiles.

RL carries more volatility with a beta of 1.35 — expect wider price swings.

RL is growing revenue faster at 16.6% — sustainability is the question.

ZGN generates stronger free cash flow (191M), providing more financial flexibility.

Bottom Line

RL scores higher overall (62/100 vs 38/100) and 16.6% revenue growth. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

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.

Ermenegildo Zegna NV

CONSUMER CYCLICAL · APPAREL MANUFACTURING · USA

Ermenegildo Zegna NV designs, manufactures, exports and sells men's clothing.

Want to dig deeper into these stocks?