Red Violet (NASDAQ:RDVT) Sets New 12-Month High - What's Next?

Shares of Red Violet, Inc. (NASDAQ:RDVT - Get Free Report) hit a new 52-week high on Wednesday . The stock traded as high as $71.25 and last traded at $71.22, with a volume of 517005 shares trading hands. The stock had previously closed at $65.65.

Red Violet News Roundup

Here are the key news stories impacting Red Violet this week:

• Positive Sentiment: Red Violet reported Q2 revenue of approximately $26.7 million, ahead of the $25.6 million consensus estimate. Earnings per share were $0.50, substantially above the $0.33–$0.34 analyst expectations and up from $0.28 a year earlier. Red Violet Announces $26.7 Million Revenue for Q2 2026 with Strong Earnings Growth Red Violet Q2 Earnings and Revenues Surpass Estimates
• Positive Sentiment: The quarterly performance included solid profitability, with reported net margins near 15% and return on equity above 14%. The earnings beat and year-over-year EPS growth provide a fundamental catalyst for the stock. Red Violet Reports Second Quarter 2026 Financial Results
• Positive Sentiment: An investor-letter discussion presented a bullish case for Red Violet, emphasizing the company’s resilience, management execution and improving investor recognition. This may have supported positive sentiment, although it is not a new company announcement. The Resilient Bull Case for Red Violet
• Neutral Sentiment: The Q2 earnings-call transcript provides additional management commentary, but the available report does not identify a separate guidance change or new material catalyst. Red Violet Q2 2026 Earnings Call Transcript
• Neutral Sentiment: Reported short interest was zero shares, unchanged from the prior period, indicating no meaningful short-covering catalyst. Shares are trading near their 52-week high and at an elevated price-to-earnings ratio, which could increase sensitivity to future earnings expectations.

Analyst Upgrades and Downgrades

Several equities research analysts have recently commented on the company. Zacks Research cut Red Violet from a "strong-buy" rating to a "hold" rating in a research note on Monday, May 4th. B. Riley Financial lifted their price objective on shares of Red Violet from $65.00 to $81.00 and gave the company a "buy" rating in a research report on Thursday, July 30th. Weiss Ratings reissued a "hold (c+)" rating on shares of Red Violet in a research note on Wednesday, August 5th. Lake Street Capital upped their price objective on shares of Red Violet from $62.00 to $73.00 and gave the stock a "buy" rating in a research report on Tuesday. Finally, Wall Street Zen cut shares of Red Violet from a "buy" rating to a "hold" rating in a research note on Saturday, July 25th. Two equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat.com, Red Violet has an average rating of "Moderate Buy" and a consensus target price of $77.00.

Red Violet Stock Performance

The firm has a market cap of $1.01 billion, a price-to-earnings ratio of 63.59 and a beta of 1.83. The business has a fifty day moving average of $62.25 and a two-hundred day moving average of $49.61.

Red Violet (NASDAQ:RDVT - Get Free Report) last issued its quarterly earnings data on Monday, August 10th. The company reported $0.50 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.33 by $0.17. Red Violet had a return on equity of 16.48% and a net margin of 16.54%.The firm had revenue of $26.72 million during the quarter, compared to analysts' expectations of $25.62 million. On average, equities research analysts forecast that Red Violet, Inc. will post 1.06 earnings per share for the current year.

Insider Buying and Selling at Red Violet

In other Red Violet news, CFO Daniel Maclachlan sold 12,000 shares of Red Violet stock in a transaction dated Monday, June 1st. The shares were sold at an average price of $57.43, for a total transaction of $689,160.00. Following the completion of the transaction, the chief financial officer owned 358,902 shares in the company, valued at approximately $20,611,741.86. The trade was a 3.24% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, President James Patrick Reilly sold 12,000 shares of the company's stock in a transaction dated Monday, June 1st. The shares were sold at an average price of $57.43, for a total transaction of $689,160.00. Following the completion of the sale, the president directly owned 232,351 shares in the company, valued at $13,343,917.93. This trade represents a 4.91% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 46,000 shares of company stock valued at $2,641,880 over the last 90 days. 8.90% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. EverSource Wealth Advisors LLC lifted its stake in Red Violet by 414.3% in the 4th quarter. EverSource Wealth Advisors LLC now owns 468 shares of the company's stock valued at $27,000 after buying an additional 377 shares in the last quarter. Caitong International Asset Management Co. Ltd increased its position in Red Violet by 145.5% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 567 shares of the company's stock worth $32,000 after buying an additional 336 shares in the last quarter. Tower Research Capital LLC TRC increased its position in Red Violet by 160.6% during the second quarter. Tower Research Capital LLC TRC now owns 1,032 shares of the company's stock worth $51,000 after buying an additional 636 shares in the last quarter. Kemnay Advisory Services Inc. acquired a new position in shares of Red Violet in the fourth quarter worth $103,000. Finally, State of Alaska Department of Revenue raised its holdings in shares of Red Violet by 203.9% in the fourth quarter. State of Alaska Department of Revenue now owns 1,933 shares of the company's stock worth $109,000 after acquiring an additional 1,297 shares during the last quarter. 63.56% of the stock is owned by hedge funds and other institutional investors.

Red Violet Company Profile

Red Violet, Inc NASDAQ: RDVT is a provider of advanced data, analytics and technology solutions designed to help organizations mitigate financial crime, fraud and security risks. The company’s cloud-native platform consolidates and enriches data from proprietary, public and third-party sources, applying artificial intelligence and machine learning to deliver insights across the risk-management lifecycle. Red Violet’s suite of services includes behavior-based transaction monitoring, automated watchlist and negative-news screening, enhanced due diligence and real-time geospatial threat intelligence.

Leveraging proprietary algorithms, Red Violet offers products that enable compliance teams to streamline anti-money laundering processes, improve fraud detection and respond swiftly to emerging threats.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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