Gildan Activewear Inc (GIL) is overvalued and Ralph Lauren Corp (RL) is slightly overvalued.
Both trade above our estimate of their intrinsic value. RL is the closer of the two: -16%, against -65% for GIL.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 8.5% (average of 3 methods) values the shares at $28.45; the price of $47.01 is 65% above that value, and 78% of that value comes from beyond year five.
Leak Score 0/100 on 3 of 12 signals
Discounting its cash flows at 10.9% (average of 3 methods) values the shares at $297.59; the price of $346.06 is 16% above that value, and 70% of that value comes from beyond year five.
Leak Score 76/100 on 9 of 12 signals
| Metric | GIL | RL |
|---|---|---|
| Verdict | Overvalued | Slightly overvalued |
| Price | $47.01 | $346.06 |
| Intrinsic value | $28.45 | $297.59 |
| Margin of safety | -65% | -16% |
| Leak Score | 0/100 (3/12) | 76/100 (9/12) |
| Market cap | $8.7B | $20.6B |
| Revenue growth, 5 years | 12.8% | 13.0% |
| Operating margin | 15.2% | 16.7% |
| Net margin | 1.3% | 11.8% |
| Return on equity | 8.7% | 37.5% |
| Debt to equity | 1.45 | 1.10 |
| P/E | 88.7x | 21.8x |
| Forward P/E | 8.4x | 16.5x |
| P/B | 2.6x | 7.6x |
| Dividend yield | 2.1% | 1.1% |