REALREAL INC/THE (REAL) Stock Fundamental Analysis
NASDAQ:REAL - Nasdaq - US88339P1012 - Common Stock
We assign a fundamental rating of 2 out of 10 to REAL. REAL was compared to 119 industry peers in the Specialty Retail industry. Both the profitability and financial health of REAL have multiple concerns. REAL is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
REAL had negative earnings in the past year.
In the past year REAL had a positive cash flow from operations.
In the past 5 years REAL always reported negative net income.
REAL had a negative operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of -21.52%, REAL is doing worse than 85.34% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -21.52% | ||
| ROE | N/A | ||
| ROIC | N/A |
ROA(3y)-33.63%
ROA(5y)-30.36%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
REAL's Gross Margin of 74.42% is amongst the best of the industry. REAL outperforms 97.41% of its industry peers.
In the last couple of years the Gross Margin of REAL has remained more or less at the same level.
The Profit Margin and Operating Margin are not available for REAL so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 74.42% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.07%
GM growth 5Y1.35%
2. Health
2.1 Basic Checks
REAL does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for REAL has been increased compared to 1 year ago.
REAL has more shares outstanding than it did 5 years ago.
REAL has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of -2.36, we must say that REAL is in the distress zone and has some risk of bankruptcy.
REAL has a Altman-Z score of -2.36. This is amonst the worse of the industry: REAL underperforms 88.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | -2.36 |
ROIC/WACCN/A
WACC8.95%
2.3 Liquidity
A Current Ratio of 0.94 indicates that REAL may have some problems paying its short term obligations.
REAL has a worse Current ratio (0.94) than 80.17% of its industry peers.
A Quick Ratio of 0.85 indicates that REAL may have some problems paying its short term obligations.
REAL's Quick ratio of 0.85 is fine compared to the rest of the industry. REAL outperforms 70.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.85 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 62.73% over the past year.
REAL shows a small growth in Revenue. In the last year, the Revenue has grown by 2.50%.
The Revenue has been growing by 20.78% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)62.73%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%40%
Revenue 1Y (TTM)2.5%
Revenue growth 3Y22.35%
Revenue growth 5Y20.78%
Sales Q2Q%10.95%
3.2 Future
The Earnings Per Share is expected to grow by 18.40% on average over the next years. This is quite good.
The Revenue is expected to grow by 11.47% on average over the next years. This is quite good.
EPS Next Y58.04%
EPS Next 2Y31.92%
EPS Next 3Y24.76%
EPS Next 5Y18.4%
Revenue Next Year9.4%
Revenue Next 2Y9.1%
Revenue Next 3Y9.2%
Revenue Next 5Y11.47%
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
REAL reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for REAL. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
A more expensive valuation may be justified as REAL's earnings are expected to grow with 24.76% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y31.92%
EPS Next 3Y24.76%
5. Dividend
5.1 Amount
No dividends for REAL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
REALREAL INC/THE
NASDAQ:REAL (1/21/2025, 8:23:30 PM)
After market: 9.93 0 (0%)9.93
+0.41 (+4.31%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners77.73%
Inst Owner Change-0.22%
Ins Owners14.19%
Ins Owner Change3.54%
Market Cap1.09B
Analysts78.33
Price Target9.28 (-6.55%)
Short Float %15.32%
Short Ratio4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)8.2%
Min EPS beat(2)-0.84%
Max EPS beat(2)17.24%
EPS beat(4)3
Avg EPS beat(4)20.83%
Min EPS beat(4)-0.84%
Max EPS beat(4)38.54%
EPS beat(8)7
Avg EPS beat(8)22.82%
EPS beat(12)10
Avg EPS beat(12)17.54%
EPS beat(16)12
Avg EPS beat(16)12.24%
Revenue beat(2)2
Avg Revenue beat(2)1.84%
Min Revenue beat(2)1.68%
Max Revenue beat(2)2%
Revenue beat(4)3
Avg Revenue beat(4)0.76%
Min Revenue beat(4)-1.31%
Max Revenue beat(4)2%
Revenue beat(8)4
Avg Revenue beat(8)0.14%
Revenue beat(12)6
Avg Revenue beat(12)0.3%
Revenue beat(16)8
Avg Revenue beat(16)-0.43%
PT rev (1m)100%
PT rev (3m)127.5%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-140.06%
EPS NY rev (1m)0%
EPS NY rev (3m)5.36%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.2%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 1.88 | ||
| P/FCF | N/A | ||
| P/OCF | 116.2 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | N/A |
EPS(TTM)-0.41
EYN/A
EPS(NY)-0.23
Fwd EYN/A
FCF(TTM)-0.13
FCFYN/A
OCF(TTM)0.09
OCFY0.86%
SpS5.29
BVpS-3.15
TBVpS-3.15
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -21.52% | ||
| ROE | N/A | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 74.42% | ||
| FCFM | N/A |
ROA(3y)-33.63%
ROA(5y)-30.36%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.07%
GM growth 5Y1.35%
F-Score5
Asset Turnover1.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 72.63% | ||
| Cap/Sales | 4.13% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.85 | ||
| Altman-Z | -2.36 |
F-Score5
WACC8.95%
ROIC/WACCN/A
Cap/Depr(3y)155.99%
Cap/Depr(5y)172.92%
Cap/Sales(3y)7.98%
Cap/Sales(5y)8.73%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)62.73%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%40%
EPS Next Y58.04%
EPS Next 2Y31.92%
EPS Next 3Y24.76%
EPS Next 5Y18.4%
Revenue 1Y (TTM)2.5%
Revenue growth 3Y22.35%
Revenue growth 5Y20.78%
Sales Q2Q%10.95%
Revenue Next Year9.4%
Revenue Next 2Y9.1%
Revenue Next 3Y9.2%
Revenue Next 5Y11.47%
EBIT growth 1Y55.52%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year106.21%
EBIT Next 3Y35.17%
EBIT Next 5Y23.84%
FCF growth 1Y90.28%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y108.22%
OCF growth 3YN/A
OCF growth 5YN/A