Therealreal Stock Buy Hold or Sell Recommendation
| REAL Stock | USD 4.48 0.01 0.22% |
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding TheRealReal is 'Strong Buy'. The recommendation algorithm takes into account all of TheRealReal's available fundamental, technical, and predictive indicators you will find on this site.
Check out TheRealReal Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For more information on how to buy TheRealReal Stock please use our How to buy in TheRealReal Stock guide. Note, we conduct extensive research on individual companies such as TheRealReal and provide practical buy, sell, or hold advice based on investors' constraints. TheRealReal. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in nation.
TheRealReal |
Execute TheRealReal Buy or Sell Advice
The TheRealReal recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on TheRealReal. Macroaxis does not own or have any residual interests in TheRealReal or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute TheRealReal's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Buy
Market Performance | Good | Details | |
Volatility | Unstable | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Average | Details | |
Economic Sensitivity | Hyperactively responds to market trends | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
TheRealReal Trading Alerts and Improvement Suggestions
| TheRealReal appears to be risky and price may revert if volatility continues | |
| TheRealReal has high likelihood to experience some financial distress in the next 2 years | |
| The company reported the previous year's revenue of 549.3 M. Net Loss for the year was (168.47 M) with profit before overhead, payroll, taxes, and interest of 348.69 M. | |
| TheRealReal currently holds about 315.89 M in cash with (61.27 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 3.31. | |
| Over 77.0% of the company shares are owned by institutional investors | |
| Latest headline from thelincolnianonline.com: The RealReal, Inc. Shares Bought by Anthracite Investment Company Inc. |
TheRealReal Returns Distribution Density
The distribution of TheRealReal's historical returns is an attempt to chart the uncertainty of TheRealReal's future price movements. The chart of the probability distribution of TheRealReal daily returns describes the distribution of returns around its average expected value. We use TheRealReal price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of TheRealReal returns is essential to provide solid investment advice for TheRealReal.
| Mean Return | 0.88 | Value At Risk | -4.46 | Potential Upside | 7.73 | Standard Deviation | 4.54 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of TheRealReal historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
TheRealReal Stock Institutional Investors
| Shares | Millennium Management Llc | 2024-06-30 | 2 M | Deutsche Bank Ag | 2024-06-30 | 1.9 M | Capricorn Fund Managers Ltd | 2024-09-30 | 1.4 M | State Street Corp | 2024-06-30 | 1.4 M | Altium Capital Management, Lp | 2024-06-30 | 1.3 M | Crestwood Capital Management, L.p. | 2024-09-30 | 1.2 M | Bridgeway Capital Management, Llc | 2024-06-30 | 1.2 M | Norges Bank | 2024-06-30 | 1 M | Scion Asset Management, Llc | 2024-06-30 | 1000 K | Kanen Wealth Management Llc | 2024-09-30 | 7.3 M | Blackrock Inc | 2024-06-30 | 6.9 M |
TheRealReal Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change To Inventory | (13.2M) | (18.7M) | (28.7M) | 28.0M | 10.9M | 11.5M | |
| Investments | (215.4M) | 204.9M | 4M | (36.9M) | (46.1M) | (43.8M) | |
| Change In Cash | 108.8M | 196.4M | 67.3M | (124.4M) | (103.2M) | (98.0M) | |
| Net Borrowings | 9.8M | (9.3M) | 166.3M | 278.2M | 320.0M | 336.0M | |
| Free Cash Flow | (88.5M) | (161.4M) | (189.6M) | (128.5M) | (103.4M) | (108.6M) | |
| Depreciation | 13.4M | 18.8M | 23.5M | 27.7M | 48.4M | 50.9M | |
| Other Non Cash Items | 105K | 18.7M | 34.4M | 24.4M | 53.5M | 56.2M | |
| Capital Expenditures | 34.0M | 28.6M | 47.4M | 36.9M | 42.1M | 34.9M | |
| Net Income | (96.7M) | (177.5M) | (236.1M) | (196.4M) | (168.5M) | (176.9M) | |
| End Period Cash Flow | 154.4M | 350.8M | 418.2M | 293.8M | 190.6M | 231.7M | |
| Change To Netincome | 11.8M | 25.5M | 70.8M | 68.1M | 78.3M | 82.3M |
TheRealReal Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to TheRealReal or Specialty Retail sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that TheRealReal's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a TheRealReal stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | 0.65 | |
β | Beta against Dow Jones | 2.59 | |
σ | Overall volatility | 4.55 | |
Ir | Information ratio | 0.17 |
TheRealReal Volatility Alert
TheRealReal shows above-average downside volatility for the selected time horizon. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure TheRealReal's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact TheRealReal's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.TheRealReal Fundamentals Vs Peers
Comparing TheRealReal's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze TheRealReal's direct or indirect competition across all of the common fundamentals between TheRealReal and the related equities. This way, we can detect undervalued stocks with similar characteristics as TheRealReal or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of TheRealReal's fundamental indicators could also be used in its relative valuation, which is a method of valuing TheRealReal by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare TheRealReal to competition |
| Fundamentals | TheRealReal | Peer Average |
| Return On Equity | -9.33 | -0.31 |
| Return On Asset | -0.0943 | -0.14 |
| Profit Margin | (0.15) % | (1.27) % |
| Operating Margin | (0.1) % | (5.51) % |
| Current Valuation | 881.02 M | 16.62 B |
| Shares Outstanding | 109.69 M | 571.82 M |
| Shares Owned By Insiders | 12.86 % | 10.09 % |
| Shares Owned By Institutions | 77.25 % | 39.21 % |
| Number Of Shares Shorted | 19.02 M | 4.71 M |
| Price To Book | 4.84 X | 9.51 X |
| Price To Sales | 0.84 X | 11.42 X |
| Revenue | 549.3 M | 9.43 B |
| Gross Profit | 348.69 M | 27.38 B |
| EBITDA | (109.05 M) | 3.9 B |
| Net Income | (168.47 M) | 570.98 M |
| Cash And Equivalents | 315.89 M | 2.7 B |
| Cash Per Share | 3.31 X | 5.01 X |
| Total Debt | 577.37 M | 5.32 B |
| Debt To Equity | 6.97 % | 48.70 % |
| Current Ratio | 2.42 X | 2.16 X |
| Book Value Per Share | (3.15) X | 1.93 K |
| Cash Flow From Operations | (61.27 M) | 971.22 M |
| Short Ratio | 12.52 X | 4.00 X |
| Earnings Per Share | (0.81) X | 3.12 X |
| Target Price | 4.17 | |
| Number Of Employees | 3.03 K | 18.84 K |
| Beta | 2.8 | -0.15 |
| Market Capitalization | 485.93 M | 19.03 B |
| Total Asset | 446.92 M | 29.47 B |
| Retained Earnings | (1.12 B) | 9.33 B |
| Working Capital | 47.09 M | 1.48 B |
| Current Asset | 3 K | 9.34 B |
| Current Liabilities | 20 K | 7.9 B |
Note: Acquisition by Sahi Levesque Rati of 1250000 shares of TheRealReal subject to Rule 16b-3 [view details]
TheRealReal Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as TheRealReal . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About TheRealReal Buy or Sell Advice
When is the right time to buy or sell TheRealReal? Buying financial instruments such as TheRealReal Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
Use Investing Ideas to Build Portfolios
In addition to having TheRealReal in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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Check out TheRealReal Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For more information on how to buy TheRealReal Stock please use our How to buy in TheRealReal Stock guide.You can also try the Portfolio Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.
Is Specialty Retail space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of TheRealReal. If investors know TheRealReal will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about TheRealReal listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (0.81) | Revenue Per Share 5.456 | Quarterly Revenue Growth 0.11 | Return On Assets (0.09) | Return On Equity (9.33) |
The market value of TheRealReal is measured differently than its book value, which is the value of TheRealReal that is recorded on the company's balance sheet. Investors also form their own opinion of TheRealReal's value that differs from its market value or its book value, called intrinsic value, which is TheRealReal's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because TheRealReal's market value can be influenced by many factors that don't directly affect TheRealReal's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between TheRealReal's value and its price as these two are different measures arrived at by different means. Investors typically determine if TheRealReal is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, TheRealReal's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.