Growth Story Still Intact For The RealReal Inc. (REAL)

    SBUX Stock
    SBUX Stock

    Fidelity Management & Research Co.. has recently announced that it has increased stake in The RealReal Inc. (NASDAQ:REAL) by 21.97%. After grabbing 11.47 million shares, the institutional investor is now in possession of 2.07 million shares of the Consumer Cyclical Company. The new investment brought the stake of investor firm to 13.20% having worth around $156.41 million. Moreover, Woodson Capital Management LP increased its share by 3.65 million to have a control over 5.75 million shares. And The Vanguard Group, Inc. raised its holdings to 2.25 million shares by acquiring 3.86 million shares or 4.44% of the stake.

    The RealReal Inc. (REAL) concluded trading on 08/26/20 at a closing price of $17.03, with 1.38 million shares of worth about $23.54 million changed hands on the day. Weekly performance of the stock remained negative as price took a plunge of -2.24% during that period and on Wednesday the price saw a loss of about -2.32%. Currently the company’s common shares owned by public are about 87.06M shares, out of which, 72.45M shares are available for trading.

    A deeper look into what the analysts at Wall Street are thinking about the price target of this stock provides us with the following: 13 analysts are covering the REAL stock and their offered price forecasts bring an average price target of $17.67. Over the next 12 months, analysts forecasted that the stock’s price could jump as high as $21.00 and could fall to a lowest price of $13.00. Analysts also issued an outlook of 2.10 for the The RealReal Inc. stock for next 12 months. The stock’s current price level is 3.62% above of average price target set by the analysts, while a rise to estimated low would result in loss of -31.0 for the stock. However, touching the estimated high of $21.00 would mean a gain of 18.9% for the stock.

    According to filings with the U.S. Securities and Exchange Commission (SEC), insiders took part in trade of the company’s stock for 105 times over the past 12 months. They bought 1,572,143 shares in 27 of the transactions. In 78 selling transactions, insiders dumped 5,616,859 shares.

    Fidelity Blue Chip Growth Fund, Fidelity Select Retailing Portfol, and AB Small Cap Growth Portfolio are the top 3 mutual funds which are holding stakes in The RealReal Inc. Fidelity Blue Chip Growth Fund is currently holding 3.61 million shares of worth totaling $49.2 million. The company recently came buying 0.39 million shares which brought its stake up to 4.15% of the company’s outstanding shares. Fidelity Select Retailing Portfol bought 0.44 million shares, after which its hold over company’s outstanding shares expand to 2.42%, leaving 2.1 million shares with the mutual fund that have a worth of about $28.67 million. AB Small Cap Growth Portfolio, after buying 1.78 million shares, have now control over 2.05% of the stake in the company. It holds 0.21 million shares of worth $24.29 million.

    The RealReal Inc. (NASDAQ: REAL) started trading at $17.59, above $0.16 from concluding price of the previous day. However, the stock finished the trading on the day at a closing price of $17.03, or with a loss of -2.32%. Stock saw a price change of -2.24% in past 5 days and over the past one month there was a price change of 28.72%. Year-to-date (YTD), REAL shares are showing a performance of -9.66% which increased to 33.05% when we look at its performance for past 12 months. Over the period of past 52 weeks, stock dropped to lowest price of $5.00 but also hit the highest price of $24.51 during that period. While comparing its average daily trading volume of 2.26 million shares, we see that about 1.38 million changed hands on the day. The stock is currently trading 6.71% above its 20-day simple moving average (SMA20), while that difference is up 16.14% for SMA50 and it goes to 21.30% higher than SMA200.

    Fidelity Management & Research Co.. acquired 11.47 million shares of The RealReal Inc. having value of about $156.41 million. Data submitted at the U.S SEC by Fidelity Management & Research Co.. revealed that the firm now holds 2.07 million shares in the company valued at close to $35173285.16, or have control over 21.97% stake in the company. The RealReal Inc. (NASDAQ: REAL) currently have 87.06M outstanding shares and institutions hold larger chunk of about 91.00% of that. Holding of mutual funds in the company is about 28.44% while other institutional holders and individual stake holders have control over 31.87% and 17.66% of the stake respectively.

    The stock has a current market capitalization of $1.48B. It has posted earnings per share of -$1.48 in the same period. It has Quick Ratio of 4.20 while making debt-to-equity ratio of 0.00. Volatility of a stock is a metric used to know how much the price of that stock is under influence and for REAL, volatility over the week remained 5.66% while standing at 6.41% over the month.

    Analysts are in expectations that The RealReal Inc. (REAL) stock would likely to be making an EPS of -$0.37 in the current quarter, while forecast for next quarter ESPS is -$0.24 and it is -$0.96 for next year. For the current quarter EPS, analysts have given the company a lowest target -$0.46 which is -$0.3 at the higher side of the target for the same. When we compare those targets with actual EPS, we find that company posted an EPS of -$0.27 in the same quarter a year ago. Stock’s fiscal year EPS is expected to drop by -13.90% while it is estimated to increase by 31.90% in next year.

    Analysts at 13 brokerage firms have issued recommendations for the The RealReal Inc. (REAL)’s stock and average of those rates the stock at a “Moderate Buy” and assign it a score of 2.10. Out of those 13 Wall Street analysts, 9 recommended a “Buy” rating, while 3 were in favor recommending the stock as a “Hold” and 0 analyst recommended the stock as “Sell”.

    Digging deeper we find that several firms have released their research notes about the support levels of the stock. Most recent of them is a note released by BTIG Research on June 09, 2020 offering a Buy rating for the stock and assigned a target price of $18 to it. Coverage by B. Riley FBR stated The RealReal Inc. (REAL) stock as a Neutral in their note to investors on April 03, 2020, suggesting a price target of $6 for the stock. On March 23, 2020, Needham Downgrade their recommendations, while on March 18, 2020, Nomura Initiated their ratings for the stock with a price target of $16. Stock get an Outperform rating from Raymond James on February 21, 2020.


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