CVNA vs. RL: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at CVNA and RL, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | CVNA | RL |
|---|---|---|
| Company Name | Carvana Co. | Ralph Lauren Corporation |
| Country | United States | United States |
| GICS Sector | Consumer Discretionary | Consumer Discretionary |
| GICS Industry | Specialty Retail | Textiles, Apparel & Luxury Goods |
| Market Capitalization | 71.90 billion USD | 19.90 billion USD |
| Exchange | NYSE | NYSE |
| Listing Date | April 28, 2017 | June 12, 1997 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of CVNA and RL by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | CVNA | RL |
|---|---|---|
| 5-Day Price Return | -1.23% | -0.96% |
| 13-Week Price Return | -9.05% | 14.06% |
| 26-Week Price Return | 8.62% | 22.87% |
| 52-Week Price Return | 32.64% | 57.27% |
| Month-to-Date Return | 3.84% | 3.70% |
| Year-to-Date Return | 56.53% | 43.51% |
| 10-Day Avg. Volume | 3.17M | 0.78M |
| 3-Month Avg. Volume | 3.00M | 0.62M |
| 3-Month Volatility | 60.54% | 26.26% |
| Beta | 3.56 | 1.52 |
Profitability
Return on Equity (TTM)
CVNA
37.15%
Specialty Retail Industry
- Max
- 68.49%
- Q3
- 37.12%
- Median
- 19.64%
- Q1
- 12.17%
- Min
- -17.19%
In the upper quartile for the Specialty Retail industry, CVNA’s Return on Equity of 37.15% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
RL
33.42%
Textiles, Apparel & Luxury Goods Industry
- Max
- 46.95%
- Q3
- 26.41%
- Median
- 17.82%
- Q1
- 9.41%
- Min
- -8.23%
In the upper quartile for the Textiles, Apparel & Luxury Goods industry, RL’s Return on Equity of 33.42% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Net Profit Margin (TTM)
CVNA
3.44%
Specialty Retail Industry
- Max
- 21.04%
- Q3
- 11.79%
- Median
- 6.37%
- Q1
- 2.40%
- Min
- -4.37%
CVNA’s Net Profit Margin of 3.44% is aligned with the median group of its peers in the Specialty Retail industry. This indicates its ability to convert revenue into profit is typical for the sector.
RL
11.28%
Textiles, Apparel & Luxury Goods Industry
- Max
- 21.16%
- Q3
- 13.26%
- Median
- 7.68%
- Q1
- 4.48%
- Min
- -3.05%
RL’s Net Profit Margin of 11.28% is aligned with the median group of its peers in the Textiles, Apparel & Luxury Goods industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin (TTM)
CVNA
9.28%
Specialty Retail Industry
- Max
- 32.33%
- Q3
- 16.59%
- Median
- 9.34%
- Q1
- 3.86%
- Min
- -10.53%
CVNA’s Operating Profit Margin of 9.28% is around the midpoint for the Specialty Retail industry, indicating that its efficiency in managing core business operations is typical for the sector.
RL
14.05%
Textiles, Apparel & Luxury Goods Industry
- Max
- 28.42%
- Q3
- 20.87%
- Median
- 12.08%
- Q1
- 6.65%
- Min
- -0.12%
RL’s Operating Profit Margin of 14.05% is around the midpoint for the Textiles, Apparel & Luxury Goods industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | CVNA | RL |
|---|---|---|
| Return on Equity (TTM) | 37.15% | 33.42% |
| Return on Assets (TTM) | 6.88% | 11.69% |
| Net Profit Margin (TTM) | 3.44% | 11.28% |
| Operating Profit Margin (TTM) | 9.28% | 14.05% |
| Gross Profit Margin (TTM) | 21.37% | 69.22% |
Financial Strength
Current Ratio (MRQ)
CVNA
4.05
Specialty Retail Industry
- Max
- 2.77
- Q3
- 1.86
- Median
- 1.40
- Q1
- 1.13
- Min
- 0.73
CVNA’s Current Ratio of 4.05 is exceptionally high, placing it well outside the typical range for the Specialty Retail industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.
RL
2.04
Textiles, Apparel & Luxury Goods Industry
- Max
- 3.07
- Q3
- 2.20
- Median
- 1.62
- Q1
- 1.47
- Min
- 0.70
RL’s Current Ratio of 2.04 aligns with the median group of the Textiles, Apparel & Luxury Goods industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio (MRQ)
CVNA
2.28
Specialty Retail Industry
- Max
- 3.76
- Q3
- 1.71
- Median
- 0.58
- Q1
- 0.21
- Min
- 0.00
CVNA’s leverage is in the upper quartile of the Specialty Retail industry, with a Debt-to-Equity Ratio of 2.28. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.
RL
0.57
Textiles, Apparel & Luxury Goods Industry
- Max
- 2.53
- Q3
- 1.30
- Median
- 0.59
- Q1
- 0.27
- Min
- 0.00
RL’s Debt-to-Equity Ratio of 0.57 is typical for the Textiles, Apparel & Luxury Goods industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio (TTM)
CVNA
1.61
Specialty Retail Industry
- Max
- 96.69
- Q3
- 45.12
- Median
- 14.13
- Q1
- 3.66
- Min
- -36.00
In the lower quartile for the Specialty Retail industry, CVNA’s Interest Coverage Ratio of 1.61 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.
RL
85.38
Textiles, Apparel & Luxury Goods Industry
- Max
- 85.38
- Q3
- 37.37
- Median
- 8.62
- Q1
- 4.18
- Min
- -32.49
RL’s Interest Coverage Ratio of 85.38 is in the upper quartile for the Textiles, Apparel & Luxury Goods industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
Financial Strength at a Glance
| Symbol | CVNA | RL |
|---|---|---|
| Current Ratio (MRQ) | 4.05 | 2.04 |
| Quick Ratio (MRQ) | 2.55 | 1.29 |
| Debt-to-Equity Ratio (MRQ) | 2.28 | 0.57 |
| Interest Coverage Ratio (TTM) | 1.61 | 85.38 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
CVNA
0.00%
Specialty Retail Industry
- Max
- 6.98%
- Q3
- 3.28%
- Median
- 1.12%
- Q1
- 0.00%
- Min
- 0.00%
CVNA currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
RL
1.05%
Textiles, Apparel & Luxury Goods Industry
- Max
- 4.60%
- Q3
- 3.43%
- Median
- 2.28%
- Q1
- 1.12%
- Min
- 0.00%
RL’s Dividend Yield of 1.05% is in the lower quartile for the Textiles, Apparel & Luxury Goods industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.
Dividend Payout Ratio (TTM)
CVNA
0.00%
Specialty Retail Industry
- Max
- 192.64%
- Q3
- 82.72%
- Median
- 26.67%
- Q1
- 0.00%
- Min
- 0.00%
CVNA has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
RL
24.37%
Textiles, Apparel & Luxury Goods Industry
- Max
- 156.63%
- Q3
- 96.75%
- Median
- 57.64%
- Q1
- 34.78%
- Min
- 0.00%
RL’s Dividend Payout Ratio of 24.37% is in the lower quartile for the Textiles, Apparel & Luxury Goods industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.
Dividend at a Glance
| Symbol | CVNA | RL |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 1.05% |
| Dividend Payout Ratio (TTM) | 0.00% | 24.37% |
Valuation
Price-to-Earnings Ratio (TTM)
CVNA
114.71
Specialty Retail Industry
- Max
- 41.01
- Q3
- 27.38
- Median
- 22.35
- Q1
- 14.15
- Min
- 6.07
At 114.71, CVNA’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Specialty Retail industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
RL
23.28
Textiles, Apparel & Luxury Goods Industry
- Max
- 76.57
- Q3
- 39.44
- Median
- 22.87
- Q1
- 14.62
- Min
- 7.99
RL’s P/E Ratio of 23.28 is within the middle range for the Textiles, Apparel & Luxury Goods industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Price-to-Sales Ratio (TTM)
CVNA
3.95
Specialty Retail Industry
- Max
- 5.30
- Q3
- 2.51
- Median
- 1.30
- Q1
- 0.50
- Min
- 0.09
CVNA’s P/S Ratio of 3.95 is in the upper echelon for the Specialty Retail industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
RL
2.63
Textiles, Apparel & Luxury Goods Industry
- Max
- 5.07
- Q3
- 2.88
- Median
- 1.80
- Q1
- 0.93
- Min
- 0.28
RL’s P/S Ratio of 2.63 aligns with the market consensus for the Textiles, Apparel & Luxury Goods industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio (MRQ)
CVNA
35.62
Specialty Retail Industry
- Max
- 16.26
- Q3
- 9.05
- Median
- 4.10
- Q1
- 1.91
- Min
- 0.55
At 35.62, CVNA’s P/B Ratio is at an extreme premium to the Specialty Retail industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
RL
7.24
Textiles, Apparel & Luxury Goods Industry
- Max
- 11.14
- Q3
- 5.70
- Median
- 3.35
- Q1
- 2.02
- Min
- 0.56
RL’s P/B Ratio of 7.24 is in the upper tier for the Textiles, Apparel & Luxury Goods industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
Valuation at a Glance
| Symbol | CVNA | RL |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 114.71 | 23.28 |
| Price-to-Sales Ratio (TTM) | 3.95 | 2.63 |
| Price-to-Book Ratio (MRQ) | 35.62 | 7.24 |
| Price-to-Free Cash Flow Ratio (TTM) | 131.66 | 19.52 |