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HLT vs. RL: A Head-to-Head Stock Comparison

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Here’s a clear look at HLT and RL, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolHLTRL
Company NameHilton Worldwide Holdings Inc.Ralph Lauren Corporation
CountryUnited StatesUnited States
GICS SectorConsumer DiscretionaryConsumer Discretionary
GICS IndustryHotels, Restaurants & LeisureTextiles, Apparel & Luxury Goods
Market Capitalization63.81 billion USD20.30 billion USD
ExchangeNYSENYSE
Listing DateDecember 12, 2013June 12, 1997
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of HLT 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.

HLT vs. RL: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolHLTRL
5-Day Price Return6.15%8.22%
13-Week Price Return5.17%15.99%
26-Week Price Return13.61%39.25%
52-Week Price Return11.50%50.97%
Month-to-Date Return6.84%4.71%
Year-to-Date Return11.08%44.91%
10-Day Avg. Volume1.76M0.80M
3-Month Avg. Volume1.74M0.63M
3-Month Volatility21.74%27.80%
Beta1.171.53

Profitability

Return on Equity (TTM)

HLT

171.01%

Hotels, Restaurants & Leisure Industry

Max
84.03%
Q3
40.12%
Median
17.38%
Q1
7.45%
Min
-33.94%

HLT’s Return on Equity of 171.01% is exceptionally high, placing it well beyond the typical range for the Hotels, Restaurants & Leisure industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

RL

33.42%

Textiles, Apparel & Luxury Goods Industry

Max
42.05%
Q3
24.41%
Median
17.18%
Q1
7.87%
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.

HLT vs. RL: A comparison of their Return on Equity (TTM) against their respective Hotels, Restaurants & Leisure and Textiles, Apparel & Luxury Goods industry benchmarks.

Net Profit Margin (TTM)

HLT

14.19%

Hotels, Restaurants & Leisure Industry

Max
25.61%
Q3
14.65%
Median
8.66%
Q1
3.36%
Min
-9.83%

HLT’s Net Profit Margin of 14.19% is aligned with the median group of its peers in the Hotels, Restaurants & Leisure 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
6.06%
Q1
3.93%
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.

HLT vs. RL: A comparison of their Net Profit Margin (TTM) against their respective Hotels, Restaurants & Leisure and Textiles, Apparel & Luxury Goods industry benchmarks.

Operating Profit Margin (TTM)

HLT

21.99%

Hotels, Restaurants & Leisure Industry

Max
45.80%
Q3
22.44%
Median
14.98%
Q1
6.59%
Min
-15.28%

HLT’s Operating Profit Margin of 21.99% is around the midpoint for the Hotels, Restaurants & Leisure industry, indicating that its efficiency in managing core business operations is typical for the sector.

RL

14.05%

Textiles, Apparel & Luxury Goods Industry

Max
29.47%
Q3
20.87%
Median
11.68%
Q1
6.26%
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.

HLT vs. RL: A comparison of their Operating Profit Margin (TTM) against their respective Hotels, Restaurants & Leisure and Textiles, Apparel & Luxury Goods industry benchmarks.

Profitability at a Glance

SymbolHLTRL
Return on Equity (TTM)171.01%33.42%
Return on Assets (TTM)10.23%11.69%
Net Profit Margin (TTM)14.19%11.28%
Operating Profit Margin (TTM)21.99%14.05%
Gross Profit Margin (TTM)37.14%69.22%

Financial Strength

Current Ratio (MRQ)

HLT

0.66

Hotels, Restaurants & Leisure Industry

Max
2.73
Q3
1.63
Median
1.12
Q1
0.73
Min
0.18

HLT’s Current Ratio of 0.66 falls into the lower quartile for the Hotels, Restaurants & Leisure industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

RL

2.04

Textiles, Apparel & Luxury Goods Industry

Max
2.94
Q3
2.22
Median
1.61
Q1
1.48
Min
0.74

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.

HLT vs. RL: A comparison of their Current Ratio (MRQ) against their respective Hotels, Restaurants & Leisure and Textiles, Apparel & Luxury Goods industry benchmarks.

Debt-to-Equity Ratio (MRQ)

HLT

73.65

Hotels, Restaurants & Leisure Industry

Max
11.29
Q3
4.71
Median
1.65
Q1
0.27
Min
0.00

With a Debt-to-Equity Ratio of 73.65, HLT operates with exceptionally high leverage compared to the Hotels, Restaurants & Leisure industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

RL

0.57

Textiles, Apparel & Luxury Goods Industry

Max
2.79
Q3
1.32
Median
0.60
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.

HLT vs. RL: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Hotels, Restaurants & Leisure and Textiles, Apparel & Luxury Goods industry benchmarks.

Interest Coverage Ratio (TTM)

HLT

4.07

Hotels, Restaurants & Leisure Industry

Max
21.72
Q3
11.40
Median
4.02
Q1
1.19
Min
-11.84

HLT’s Interest Coverage Ratio of 4.07 is positioned comfortably within the norm for the Hotels, Restaurants & Leisure industry, indicating a standard and healthy capacity to cover its interest payments.

RL

85.38

Textiles, Apparel & Luxury Goods Industry

Max
57.00
Q3
32.83
Median
7.87
Q1
3.52
Min
-32.49

With an Interest Coverage Ratio of 85.38, RL demonstrates a superior capacity to service its debt, placing it well above the typical range for the Textiles, Apparel & Luxury Goods industry. This stems from either robust earnings or a conservative debt load.

HLT vs. RL: A comparison of their Interest Coverage Ratio (TTM) against their respective Hotels, Restaurants & Leisure and Textiles, Apparel & Luxury Goods industry benchmarks.

Financial Strength at a Glance

SymbolHLTRL
Current Ratio (MRQ)0.662.04
Quick Ratio (MRQ)0.621.29
Debt-to-Equity Ratio (MRQ)73.650.57
Interest Coverage Ratio (TTM)4.0785.38

Growth

Revenue Growth

HLT vs. RL: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

HLT vs. RL: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

HLT

0.23%

Hotels, Restaurants & Leisure Industry

Max
6.81%
Q3
2.73%
Median
0.74%
Q1
0.00%
Min
0.00%

HLT’s Dividend Yield of 0.23% is consistent with its peers in the Hotels, Restaurants & Leisure industry, providing a dividend return that is standard for its sector.

RL

1.03%

Textiles, Apparel & Luxury Goods Industry

Max
5.22%
Q3
3.07%
Median
2.34%
Q1
1.11%
Min
0.00%

RL’s Dividend Yield of 1.03% 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.

HLT vs. RL: A comparison of their Dividend Yield (TTM) against their respective Hotels, Restaurants & Leisure and Textiles, Apparel & Luxury Goods industry benchmarks.

Dividend Payout Ratio (TTM)

HLT

8.71%

Hotels, Restaurants & Leisure Industry

Max
128.39%
Q3
61.60%
Median
21.91%
Q1
0.00%
Min
0.00%

HLT’s Dividend Payout Ratio of 8.71% is within the typical range for the Hotels, Restaurants & Leisure industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

RL

24.37%

Textiles, Apparel & Luxury Goods Industry

Max
156.63%
Q3
94.60%
Median
52.65%
Q1
35.04%
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.

HLT vs. RL: A comparison of their Dividend Payout Ratio (TTM) against their respective Hotels, Restaurants & Leisure and Textiles, Apparel & Luxury Goods industry benchmarks.

Dividend at a Glance

SymbolHLTRL
Dividend Yield (TTM)0.23%1.03%
Dividend Payout Ratio (TTM)8.71%24.37%

Valuation

Price-to-Earnings Ratio (TTM)

HLT

38.43

Hotels, Restaurants & Leisure Industry

Max
56.96
Q3
33.82
Median
21.30
Q1
15.75
Min
6.06

A P/E Ratio of 38.43 places HLT in the upper quartile for the Hotels, Restaurants & Leisure industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

RL

23.74

Textiles, Apparel & Luxury Goods Industry

Max
48.15
Q3
33.82
Median
20.70
Q1
14.57
Min
7.12

RL’s P/E Ratio of 23.74 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.

HLT vs. RL: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Hotels, Restaurants & Leisure and Textiles, Apparel & Luxury Goods industry benchmarks.

Price-to-Sales Ratio (TTM)

HLT

5.45

Hotels, Restaurants & Leisure Industry

Max
7.19
Q3
3.99
Median
1.93
Q1
1.26
Min
0.17

HLT’s P/S Ratio of 5.45 is in the upper echelon for the Hotels, Restaurants & Leisure 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

2.68

Textiles, Apparel & Luxury Goods Industry

Max
4.35
Q3
3.06
Median
1.66
Q1
0.83
Min
0.26

RL’s P/S Ratio of 2.68 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.

HLT vs. RL: A comparison of their Price-to-Sales Ratio (TTM) against their respective Hotels, Restaurants & Leisure and Textiles, Apparel & Luxury Goods industry benchmarks.

Price-to-Book Ratio (MRQ)

HLT

245.97

Hotels, Restaurants & Leisure Industry

Max
24.89
Q3
11.60
Median
4.91
Q1
2.29
Min
0.37

At 245.97, HLT’s P/B Ratio is at an extreme premium to the Hotels, Restaurants & Leisure 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
9.74
Q3
5.59
Median
3.41
Q1
2.01
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.

HLT vs. RL: A comparison of their Price-to-Book Ratio (MRQ) against their respective Hotels, Restaurants & Leisure and Textiles, Apparel & Luxury Goods industry benchmarks.

Valuation at a Glance

SymbolHLTRL
Price-to-Earnings Ratio (TTM)38.4323.74
Price-to-Sales Ratio (TTM)5.452.68
Price-to-Book Ratio (MRQ)245.977.24
Price-to-Free Cash Flow Ratio (TTM)27.8619.91