RealReal (NASDAQ:REAL) Earns “Buy” Rating from Roth Capital

RealReal (NASDAQ:REAL)‘s stock had its “buy” rating reiterated by equities research analysts at Roth Capital in a research report issued on Friday, Benzinga reports. They currently have a $19.00 target price on the stock. Roth Capital’s price objective would indicate a potential upside of 83.49% from the stock’s previous close.

Several other research analysts have also recently issued reports on the company. BTIG Research reissued a “buy” rating and issued a $17.00 target price on shares of RealReal in a research report on Thursday, September 17th. UBS Group raised their target price on RealReal from $14.00 to $16.00 and gave the stock a “neutral” rating in a research report on Friday, August 7th. Finally, Weiss Ratings reissued a “sell (d-)” rating on shares of RealReal in a research report on Thursday. Six equities research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, RealReal currently has a consensus rating of “Moderate Buy” and a consensus target price of $17.75.

RealReal Stock Down 1.8%

NASDAQ:REAL traded down $0.19 on Friday, hitting $10.36. The stock had a trading volume of 3,748,702 shares, compared to its average volume of 3,236,860. The stock has a market cap of $1.26 billion, a price-to-earnings ratio of -9.26 and a beta of 2.81. The business’s 50-day simple moving average is $10.10 and its two-hundred day simple moving average is $10.57. RealReal has a 52-week low of $8.05 and a 52-week high of $17.39.

RealReal (NASDAQ:REAL) last announced its earnings results on Thursday, August 6th. The company reported ($0.01) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.02) by $0.01. The firm had revenue of $192.57 million during the quarter, compared to analysts’ expectations of $188.11 million. RealReal’s revenue for the quarter was up 16.6% compared to the same quarter last year. As a group, equities research analysts anticipate that RealReal will post -0.12 EPS for the current year.

Insider Activity

In other RealReal news, insider Luke Friang sold 22,028 shares of RealReal stock in a transaction on Friday, August 21st. The shares were sold at an average price of $10.98, for a total value of $241,867.44. Following the sale, the insider directly owned 508,648 shares in the company, valued at approximately $5,584,955.04. The trade was a 4.15% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Todd Suko sold 17,567 shares of the company’s stock in a transaction that occurred on Friday, August 21st. The stock was sold at an average price of $10.97, for a total value of $192,709.99. Following the sale, the insider directly owned 587,897 shares in the company, valued at $6,449,230.09. This trade represents a 2.90% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 173,004 shares of company stock valued at $1,899,283. Company insiders own 2.66% of the company’s stock.

Institutional Trading of RealReal

Several hedge funds have recently modified their holdings of the company. BlackRock Inc. bought a new position in shares of RealReal during the 2nd quarter valued at approximately $134,510,000. AWM Investment Company Inc. purchased a new position in RealReal during the second quarter worth $21,265,000. Arrowstreet Capital Limited Partnership boosted its stake in RealReal by 58.2% during the first quarter. Arrowstreet Capital Limited Partnership now owns 4,049,042 shares of the company’s stock worth $36,765,000 after buying an additional 1,489,939 shares during the period. Bank of America Corp DE purchased a new position in RealReal during the second quarter worth $12,655,000. Finally, Renaissance Technologies LLC boosted its stake in RealReal by 117.9% during the first quarter. Renaissance Technologies LLC now owns 1,646,200 shares of the company’s stock worth $14,947,000 after buying an additional 890,700 shares during the period. 64.73% of the stock is owned by hedge funds and other institutional investors.

RealReal News Summary

Here are the key news stories impacting RealReal this week:

• Positive Sentiment: Debt refinancing reduces financial pressure: The RealReal secured a new $150 million senior secured term loan and a $25 million revolving credit facility. Proceeds will refinance its 2029 senior secured notes, extend the debt maturity to 2033 and reduce annual interest expense by approximately $4 million. The company also outlined a medium-term leverage target. The RealReal refinancing announcement
• Positive Sentiment: Cash-flow outlook is improving: Coverage highlighted that the luxury resale marketplace is entering its third consecutive year of positive free cash flow, with the possibility of significantly increasing free cash flow next year. Lower interest costs could further support that outlook. Why The RealReal stock rose
• Positive Sentiment: Analyst support remains strong: Roth Capital reaffirmed its “buy” rating and set a $19 price target, implying substantial upside from recent trading levels. A separate report said nine analysts have an average target of approximately $17.75. Analyst price targets for The RealReal
• Neutral Sentiment: Upcoming earnings may be the next catalyst: The RealReal will report third-quarter 2026 results after the market closes on October 29, followed by a conference call. Investors will look for evidence that revenue growth, profitability and free cash flow are continuing to improve. The RealReal third-quarter earnings announcement
• Negative Sentiment: Estimate trends could limit additional gains: Zacks noted that recent earnings-estimate revisions may not support continued near-term momentum, despite the stock’s strong move on above-average volume. Investors may therefore remain sensitive to guidance and the upcoming quarterly results. Zacks analysis of The RealReal

RealReal Company Profile

The RealReal, Inc operates an online and physical marketplace for authenticated, pre-owned luxury goods. The company enables individuals to consign and purchase luxury apparel, handbags, shoes, jewelry, watches, fine art and home décor from leading luxury brands.

The RealReal provides sellers with services that include item evaluation, authentication, pricing, merchandising, photography, listing, shipping and customer support. Buyers can shop through the company’s website, mobile application and select retail locations, with products authenticated before being offered for sale.

Founded in 2011 by Julie Wainwright, The RealReal primarily serves customers in the United States.