RealReal (NASDAQ:REAL) Sets New 52-Week High – Still a Buy?

Shares of The RealReal, Inc. (NASDAQ:REAL) reached a new 52-week high during trading on Thursday . The company traded as high as $17.39 and last traded at $16.96, with a volume of 529864 shares trading hands. The stock had previously closed at $16.58.

Wall Street Analyst Weigh In

A number of research firms have recently issued reports on REAL. B. Riley upped their price target on RealReal from $14.00 to $17.00 and gave the company a “buy” rating in a research report on Friday, December 12th. Wells Fargo & Company boosted their price objective on RealReal from $15.00 to $20.00 and gave the company an “overweight” rating in a report on Tuesday, December 16th. Northland Securities set a $20.00 target price on RealReal in a research note on Wednesday, January 14th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of RealReal in a research report on Wednesday, October 8th. Finally, William Blair began coverage on shares of RealReal in a research note on Monday, December 15th. They set an “outperform” rating on the stock. One analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $17.94.

RealReal Stock Down 0.8%

The company’s fifty day moving average is $15.13 and its two-hundred day moving average is $11.03. The stock has a market cap of $1.92 billion, a price-to-earnings ratio of -11.92 and a beta of 2.60.

RealReal (NASDAQ:REAL) last announced its quarterly earnings data on Monday, November 10th. The company reported ($0.49) EPS for the quarter, missing analysts’ consensus estimates of ($0.14) by ($0.35). The business had revenue of $173.57 million for the quarter, compared to the consensus estimate of $169.01 million. Sell-side analysts predict that The RealReal, Inc. will post -0.4 EPS for the current fiscal year.

Insider Buying and Selling

In related news, Director Gilbert L. Baird III sold 7,686,442 shares of RealReal stock in a transaction on Monday, November 17th. The shares were sold at an average price of $13.21, for a total transaction of $101,537,898.82. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. Also, CAO Steve Ming Lo sold 59,789 shares of the business’s stock in a transaction on Tuesday, November 25th. The shares were sold at an average price of $14.46, for a total transaction of $864,548.94. Following the completion of the sale, the chief accounting officer directly owned 249,553 shares of the company’s stock, valued at approximately $3,608,536.38. This trade represents a 19.33% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 15,823,249 shares of company stock valued at $209,258,341 over the last three months. 9.00% of the stock is currently owned by insiders.

Institutional Investors Weigh In On RealReal

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Vanguard Group Inc. increased its holdings in shares of RealReal by 7.7% in the 3rd quarter. Vanguard Group Inc. now owns 5,929,807 shares of the company’s stock valued at $63,034,000 after acquiring an additional 425,674 shares during the period. Marshall Wace LLP grew its position in RealReal by 3.4% during the 2nd quarter. Marshall Wace LLP now owns 4,321,577 shares of the company’s stock worth $20,700,000 after purchasing an additional 143,165 shares during the last quarter. Two Sigma Investments LP boosted its stake in shares of RealReal by 6.6% during the third quarter. Two Sigma Investments LP now owns 2,628,770 shares of the company’s stock worth $27,944,000 after buying an additional 162,804 shares during the period. Divisadero Street Capital Management LP boosted its stake in shares of RealReal by 652.5% during the third quarter. Divisadero Street Capital Management LP now owns 2,599,801 shares of the company’s stock worth $27,636,000 after buying an additional 2,254,300 shares during the period. Finally, Jupiter Asset Management Ltd. grew its holdings in shares of RealReal by 501.0% during the third quarter. Jupiter Asset Management Ltd. now owns 1,961,057 shares of the company’s stock worth $20,846,000 after buying an additional 1,634,782 shares during the last quarter. Hedge funds and other institutional investors own 64.73% of the company’s stock.

About RealReal

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.