Revolve Group (NYSE:RVLV) Shares Gap Up on Earnings Beat

Shares of Revolve Group, Inc. (NYSE:RVLV) gapped up prior to trading on Wednesday following a better than expected earnings announcement. The stock had previously closed at $19.98, but opened at $23.64. Revolve Group shares last traded at $22.9960, with a volume of 343,366 shares changing hands.

The company reported $0.24 earnings per share for the quarter, beating the consensus estimate of $0.11 by $0.13. The business had revenue of $295.63 million during the quarter, compared to analysts’ expectations of $297.36 million. Revolve Group had a net margin of 3.83% and a return on equity of 10.17%. The firm’s revenue was up 4.4% on a year-over-year basis. During the same quarter last year, the company earned $0.15 earnings per share.

Wall Street Analyst Weigh In

A number of research analysts have commented on the stock. Evercore ISI raised their price target on shares of Revolve Group from $19.00 to $21.00 and gave the stock an “in-line” rating in a research note on Wednesday. Zacks Research cut shares of Revolve Group from a “strong-buy” rating to a “hold” rating in a research note on Monday, October 6th. Morgan Stanley lifted their target price on shares of Revolve Group from $24.00 to $26.00 and gave the company an “equal weight” rating in a research note on Wednesday. Barclays set a $24.00 target price on shares of Revolve Group in a research note on Wednesday. Finally, Weiss Ratings reiterated a “hold (c)” rating on shares of Revolve Group in a research note on Wednesday, October 8th. Ten investment analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $26.67.

Institutional Trading of Revolve Group

Institutional investors have recently bought and sold shares of the business. Summit Securities Group LLC acquired a new stake in Revolve Group during the 1st quarter worth $25,000. State of Alaska Department of Revenue acquired a new stake in Revolve Group during the 3rd quarter worth $46,000. CWM LLC grew its holdings in shares of Revolve Group by 40.4% in the 1st quarter. CWM LLC now owns 2,905 shares of the company’s stock valued at $62,000 after buying an additional 836 shares during the period. Generali Investments Towarzystwo Funduszy Inwestycyjnych acquired a new position in shares of Revolve Group in the 2nd quarter valued at $60,000. Finally, Elevation Point Wealth Partners LLC acquired a new position in shares of Revolve Group in the 2nd quarter valued at $68,000. Institutional investors and hedge funds own 67.60% of the company’s stock.

Revolve Group Trading Up 14.9%

The company has a market cap of $1.64 billion, a price-to-earnings ratio of 37.59, a price-to-earnings-growth ratio of 2.31 and a beta of 1.93. The firm’s fifty day moving average price is $22.37 and its 200-day moving average price is $21.25.

About Revolve Group

Revolve Group, Inc operates as an online fashion retailer for millennial and generation z consumers in the United States and internationally. The company operates in two segments, REVOLVE and FWRD. It operates a platform that connects consumers and global fashion influencers, as well as emerging, established, and owned brands.