The stock of Therealreal Inc (NASDAQ: REAL) has increased by 8.72 when compared to last closing price of 3.90. Despite this, the company has experienced a 10.13% gain in its stock price over the last five trading sessions. Seeking Alpha reported 2024-04-30 that The RealReal, a luxury clothing consignment platform, has seen a significant increase in its stock price this year. The company has implemented a turnaround plan focused on consignment and debt restructuring, which has improved its gross margin profile. The RealReal faces competition from platforms like Poshmark but distinguishes itself in the luxury space with a curated selection and lower fees for certain categories (watches, sneakers).
Is It Worth Investing in Therealreal Inc (NASDAQ: REAL) Right Now?
The 36-month beta value for REAL is also noteworthy at 2.95. There are mixed opinions on the stock, with 0 analysts rating it as a “buy,” 0 rating it as “overweight,” 0 rating it as “hold,” and 0 rating it as “sell.”
The public float for REAL is 80.40M, and at present, short sellers hold a 19.18% of that float. The average trading volume of REAL on May 06, 2024 was 3.64M shares.
REAL’s Market Performance
REAL stock saw an increase of 10.13% in the past week, with a monthly gain of 19.61% and a quarterly increase of 134.25%. The volatility ratio for the week is 7.80%, and the volatility levels for the last 30 days are 6.32% for Therealreal Inc (REAL). The simple moving average for the past 20 days is 22.08% for REAL’s stock, with a 76.71% simple moving average for the past 200 days.
Analysts’ Opinion of REAL
Many brokerage firms have already submitted their reports for REAL stocks, with Robert W. Baird repeating the rating for REAL by listing it as a “Neutral.” The predicted price for REAL in the upcoming period, according to Robert W. Baird is $2.75 based on the research report published on January 04, 2024 of the current year 2024.
BofA Securities, on the other hand, stated in their research note that they expect to see REAL reach a price target of $1.85, previously predicting the price at $1. The rating they have provided for REAL stocks is “Buy” according to the report published on June 29th, 2023.
Wells Fargo gave a rating of “Equal Weight” to REAL, setting the target price at $2 in the report published on January 06th of the previous year.
REAL Trading at 28.10% from the 50-Day Moving Average
After a stumble in the market that brought REAL to its low price for the period of the last 52 weeks, the company was able to rebound, for now settling with 3.41% of gains for the given period.
Volatility was left at 6.32%, however, over the last 30 days, the volatility rate increased by 7.80%, as shares surge +14.07% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +145.21% upper at present.
During the last 5 trading sessions, REAL rose by +6.36%, which changed the moving average for the period of 200-days by +59.96% in comparison to the 20-day moving average, which settled at $3.50. In addition, Therealreal Inc saw 110.95% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at REAL starting from Sahi Levesque Rati, who sale 30,000 shares at the price of $3.22 back on Mar 14 ’24. After this action, Sahi Levesque Rati now owns 1,312,719 shares of Therealreal Inc, valued at $96,600 using the latest closing price.
KATZ KAREN, the Director of Therealreal Inc, purchase 6,500 shares at $3.85 during a trade that took place back on Mar 08 ’24, which means that KATZ KAREN is holding 183,476 shares at $25,025 based on the most recent closing price.
Stock Fundamentals for REAL
Current profitability levels for the company are sitting at:
- -0.23 for the present operating margin
- 0.67 for the gross margin
The net margin for Therealreal Inc stands at -0.31. The total capital return value is set at -0.48.
Based on Therealreal Inc (REAL), the company’s capital structure generated 2.79 points at debt to capital in total, while cash flow to debt ratio is standing at -0.13. The debt to equity ratio resting at -1.56. The interest coverage ratio of the stock is -11.55.
Currently, EBITDA for the company is -73.05 million with net debt to EBITDA at -4.99. When we switch over and look at the enterprise to sales, we see a ratio of 1.53. The receivables turnover for the company is 31.89for trailing twelve months and the total asset turnover is 1.23. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.25.
Conclusion
In summary, Therealreal Inc (REAL) has had a better performance as of late. Analysts have mixed opinions on the stock, with some viewing it as a “buy” and others as a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
