A significant driver of top-line growth: Therealreal Inc (REAL)

Therealreal Inc (NASDAQ: REAL) stock jumped 6.41% on Friday to $2.24 against a previous-day closing price of $2.11. With 2.26 million shares changed hands, the volume of the stock remained lighter than its average volume of 2.75 million shares. During the session, the Luxury Goods company that operates in wider Consumer Cyclical sector, reached to the highest price of $2.3200 whereas the lowest price it dropped to was $2.1200. The 52-week range on REAL shows that it touched its highest point at $2.94 and its lowest point at $1.00 during that stretch. It currently has a 1-year price target of $3.23. Beta for the stock currently stands at 2.87.

Price Performance and Earnings:

Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of REAL was up-trending over the past week, with a rise of 7.69%, but this was up by 44.52% over a month. Three-month performance surged to 3.70% while six-month performance rose 61.15%. The stock gained 32.54% in the past year, while it has gained 79.20% so far this year. A look at the trailing 12-month EPS for REAL yields -1.85 with Next year EPS estimates of -0.50. For the next quarter, that number is -0.13. This implies an EPS growth rate of 27.34% for this year and 54.77% for next year. EPS is expected to grow by 38.60% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of -25.94%.

Float and Shares Shorts:

At present, 99.09 million REAL shares are outstanding with a float of 80.95 million shares on hand for trading. On Oct 30, 2023, short shares totaled 12.5 million, which was 12.10% higher than short shares on Sep 28, 2023. In addition to O as the firm’s Realty Income Corporation, RX=F serves as its Dow Jones US Real Estate Index .

Institutional Ownership:

Through their ownership of 62.12% of REAL’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 7.86% of REAL, in contrast to 34.85% held by mutual funds. Shares owned by individuals account for 34.48%. As the largest shareholder in REAL with 4.89% of the stake, Woodson Capital Management LP holds 5,000,000 shares worth 5,000,000. A second-largest stockholder of REAL, The Vanguard Group, Inc., holds 4,566,623 shares, controlling over 4.47% of the firm’s shares. Manatuck Hill Partners LLC is the third largest shareholder in REAL, holding 3,650,000 shares or 3.57% stake. With a 2.50% stake in REAL, the Vanguard Total Stock Market ETF is the largest stakeholder. A total of 2,548,706 shares are owned by the mutual fund manager. The Vanguard Extended Market Index Fu, which owns about 1.36% of REAL stock, is the second-largest Mutual Fund holder. It holds 1,384,079 shares valued at 1.9 million. Xtrackers SICAV – EURO STOXX 50 S holds 1.22% of the stake in REAL, owning 1,241,342 shares worth 1.7 million.

Analysts Ratings:

Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for REAL since 0 analysts follow the stock currently. In the same way, a target price assigned to a stock can also reveal much about its potential. With REAL analysts setting a high price target of $6.00 and a low target of $2.00, the average target price over the next 12 months is $3.23. Based on these targets, REAL could surge 167.86% to reach the target high and fall by -10.71% to reach the target low. Reaching the average price target will result in a growth of 44.2% from current levels.

Summary of Insider Activity:

Insiders traded REAL stock several times over the past three months with 1 Buys and 17 Sells. In these transactions, 43,251 shares were bought while 68,895 shares were sold. The number of buy transactions has increased to 17 while that of sell transactions has risen to 78 over the past year. The total number of shares bought during that period was 5,256,933 while 362,229 shares were sold.