RealReal (NASDAQ:REAL) Stock Price Up 5% - Should You Buy?

Key Points

• RealReal's shares rose by 5% to $8.03, despite a significant drop in trading volume, indicating potential investor interest amidst low activity.
• Analysts have revised their price targets for RealReal, with B. Riley upgrading their target to $9.00 and UBS Group raising it to $8.00, while the consensus target price stands at $11.13.
• CEO Levesque Rati Sahi sold over 260,000 shares of RealReal stock, representing a 12.61% decrease in ownership, amidst ongoing changes among institutional investors in the company's shareholding.

The RealReal, Inc. (NASDAQ:REAL - Get Free Report) was up 5% during trading on Wednesday . The company traded as high as $7.95 and last traded at $8.03. Approximately 162,381 shares were traded during trading, a decline of 95% from the average daily volume of 3,363,706 shares. The stock had previously closed at $7.65.

Analyst Ratings Changes

A number of equities research analysts have recently commented on REAL shares. B. Riley reaffirmed a "buy" rating and set a $9.00 price target (up previously from $8.00) on shares of RealReal in a research report on Friday, August 8th. UBS Group raised their price target on RealReal from $7.00 to $8.00 and gave the stock a "neutral" rating in a research report on Friday, August 8th. One equities research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating and one has assigned a Hold rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Buy" and an average price target of $11.13.

RealReal Stock Performance

The stock has a 50-day moving average of $6.43 and a 200-day moving average of $5.92. The firm has a market cap of $948.43 million, a price-to-earnings ratio of -7.76 and a beta of 2.50.

RealReal (NASDAQ:REAL - Get Free Report) last announced its earnings results on Thursday, August 7th. The company reported ($0.13) earnings per share (EPS) for the quarter, beating analysts' consensus estimates of ($0.15) by $0.02. The firm had revenue of $165.19 million during the quarter, compared to analyst estimates of $159.17 million. RealReal has set its Q3 2025 guidance at EPS. FY 2025 guidance at EPS. Sell-side analysts predict that The RealReal, Inc. will post -0.4 EPS for the current fiscal year.

Insiders Place Their Bets

In other RealReal news, CEO Levesque Rati Sahi sold 260,171 shares of the firm's stock in a transaction that occurred on Monday, August 18th. The stock was sold at an average price of $7.94, for a total value of $2,065,757.74. Following the completion of the transaction, the chief executive officer directly owned 1,803,044 shares in the company, valued at $14,316,169.36. This trade represents a 12.61% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. 9.00% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the stock. Game Plan Financial Advisors LLC grew its stake in RealReal by 52.8% in the first quarter. Game Plan Financial Advisors LLC now owns 5,500 shares of the company's stock valued at $30,000 after purchasing an additional 1,900 shares in the last quarter. Quarry LP grew its stake in RealReal by 117.0% in the first quarter. Quarry LP now owns 6,238 shares of the company's stock valued at $34,000 after purchasing an additional 3,363 shares in the last quarter. AlphaQuest LLC bought a new position in RealReal in the first quarter valued at approximately $59,000. Teacher Retirement System of Texas bought a new position in RealReal in the first quarter valued at approximately $61,000. Finally, Hsbc Holdings PLC bought a new position in shares of RealReal during the 1st quarter worth approximately $63,000. 64.73% of the stock is currently owned by institutional investors.

About RealReal

The RealReal, Inc operates an online marketplace for resale luxury goods in the United State. The company offers various product categories, including women's fashion, men's fashion, jewelry, and watches. It primarily sells products through online marketplace and retail stores. The company was incorporated in 2011 and is headquartered in San Francisco, California.