RealReal (NASDAQ:REAL) Trading Down 7.7% – Here’s What Happened

The RealReal, Inc. (NASDAQ:REAL)’s stock price fell 7.7% during mid-day trading on Wednesday . The stock traded as low as $10.04 and last traded at $10.09. Approximately 1,604,429 shares traded hands during trading, a decline of 53% from the average daily volume of 3,385,347 shares. The stock had previously closed at $10.93.

Wall Street Analyst Weigh In

Several equities research analysts recently weighed in on the company. BTIG Research reissued a “buy” rating and set a $17.00 price objective on shares of RealReal in a report on Wednesday, June 3rd. Roth Capital set a $17.00 target price on RealReal in a research report on Friday, May 8th. UBS Group reissued a “buy” rating on shares of RealReal in a research note on Wednesday, June 3rd. Robert W. Baird set a $13.00 price objective on RealReal in a research note on Friday, May 8th. Finally, Wall Street Zen lowered shares of RealReal from a “buy” rating to a “hold” rating in a report on Saturday, April 18th. One analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $17.25.

RealReal Stock Performance

The stock has a market capitalization of $1.23 billion, a price-to-earnings ratio of -10.01 and a beta of 2.66. The company has a fifty day simple moving average of $10.67 and a 200 day simple moving average of $11.97.

RealReal (NASDAQ:REAL) last issued its quarterly earnings results on Thursday, May 7th. The company reported ($0.01) earnings per share for the quarter, meeting the consensus estimate of ($0.01). The company had revenue of $189.72 million during the quarter, compared to analyst estimates of $187.82 million. During the same period in the previous year, the company posted ($0.08) EPS. The company’s quarterly revenue was up 18.5% on a year-over-year basis. As a group, equities analysts predict that The RealReal, Inc. will post -0.14 earnings per share for the current fiscal year.

Insider Activity

In other news, CEO Levesque Rati Sahi sold 81,194 shares of the stock in a transaction on Thursday, May 21st. The shares were sold at an average price of $9.25, for a total transaction of $751,044.50. Following the completion of the sale, the chief executive officer directly owned 1,581,276 shares in the company, valued at $14,626,803. This represents a 4.88% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, CFO Gopal Ajay Madan sold 35,023 shares of RealReal stock in a transaction on Thursday, May 21st. The stock was sold at an average price of $9.25, for a total transaction of $323,962.75. Following the transaction, the chief financial officer directly owned 1,145,278 shares of the company’s stock, valued at $10,593,821.50. This represents a 2.97% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders have sold 166,830 shares of company stock worth $1,543,178. 2.66% of the stock is owned by insiders.

Institutional Investors Weigh In On RealReal

Several institutional investors and hedge funds have recently made changes to their positions in the business. KBC Group NV bought a new stake in RealReal in the first quarter worth approximately $26,000. Quarry LP bought a new position in RealReal during the third quarter worth $28,000. Larson Financial Group LLC acquired a new stake in RealReal in the third quarter worth $31,000. Gables Capital Management Inc. bought a new stake in RealReal in the first quarter valued at $35,000. Finally, EverSource Wealth Advisors LLC increased its stake in RealReal by 25.1% in the first quarter. EverSource Wealth Advisors LLC now owns 6,253 shares of the company’s stock valued at $57,000 after purchasing an additional 1,253 shares in the last quarter. Institutional investors own 64.73% of the company’s stock.

RealReal Company Profile

The RealReal, Inc (NASDAQ: REAL) operates an online marketplace specializing in the authenticated resale of luxury goods. Since its founding in 2011 by entrepreneur Julie Wainwright, the company has positioned itself as a leading platform for consignors and shoppers seeking designer fashion, fine jewelry, watches, art, and home décor. Headquartered in San Francisco, The RealReal combines e-commerce technology with an in-house team of experts to offer a seamless buying and selling experience for secondhand luxury items.

At the core of The RealReal’s business model is its consignment service, which enables individuals to sell pre-owned luxury products through a fully managed process.