TheRealReal Inc
🔔 Watch stock
Assessment
Our Rating
A journalistic assessment by our editorial team at the time of the deep dive — it rates the company, not the entry point. Not investment advice and not a solicitation to buy or sell.
We found at least one documented issue that threatens the company itself — regardless of how the stock is currently valued.
Why this colour
Whoever buys today is betting that the EBITDA surplus becomes a genuinely profitable year by 2027, before interest costs, a falling take rate or the December 2027 acceleration clause spoil the math — and pays a good two times revenue for that bet. Whoever waits risks paying more for the first proven profits, but will see in black and white in the coming quarterly reports whether the take rate and operating results hold their course. The decision is yours.
What the thesis turns on
Assessment: Opportunities & Risks
The RealReal is two stories in one stock: a consignment marketplace whose operating turn is measurably real (adjusted EBITDA of +$42.1 million in 2025, positive operating cash flow, double-digit revenue growth) — and a balance sheet still marked by six loss-making years: not a single profitable year since 2019, equity of minus $415.5 million, debt exchanged three times up to 13 percent notes, and quarterly profits that stem from warrant remeasurement rather than the business. At plus 162 percent in twelve months, the price has front-run much of the hoped-for break-even. Not investment advice.
Business model & market position
A consignment marketplace with a real moat: authentication at industrial scale (two inspection centers, gemologists, horologists, home-built AI), more than 1 million active buyers, over 80 percent of volume from repeat customers, roughly half of all items sold within 30 days; gross margin around 74.6 percent (annual report 10-K for 2025).
Operating turn
Adjusted EBITDA from minus $55.2 million (2023) via plus $9.3 million (2024) to plus $42.1 million (2025), operating cash flow positive two years in a row, revenue up 15 percent in 2025 and 18.5 percent in Q1 2026, operating loss of just $2.3 million in Q1 2026 — the direction is right, but a break-even fiscal year is still outstanding.
Reported results & warrant effects
The GAAP quarterly profits arise from remeasuring the company's own warrants (Q1 2026: +$47.3 million because the price fell; in 2025 the same mechanics cost $35.8 million); on a diluted basis Q1 2026 showed a loss of $0.07 per share, and the quarter's operating cash flow was negative. No profitable year since the 2019 IPO; accumulated deficit of $1,295.6 million.
Balance sheet & debt
Stockholders' equity of minus $415.5 million (December 31, 2025); $382.1 million of notes after three exchanges instead of repayment, of which $143.8 million secured at 13.00 percent with a self-compounding PIK portion and an acceleration clause as of December 1, 2027; 2025 interest expense up 30 percent to $27.7 million; warrants on 7.89 million shares struck at $1.71.
Valuation & signals
A market value of roughly $1.5 billion — about 2.1 times 2025 revenue and, including debt, more than 40 times adjusted EBITDA — after plus 162 percent in twelve months; against that, 4 scanner hits exclusively in warning lists, a Piotroski score of 3 of 9 and zero insider purchases against 20 sales; 98 percent institutional ownership and an analyst consensus leaning toward buy (data as of July 8, 2026).
Worth Noting
REAL reached our research list via the Reddit hype scanner (ApeWisdom, 2 mentions in 24 hours, as of July 15, 2026) — what stood out here was the silence: the 162 percent rally ran without forum hype. The 4 hits in our in-house stock scanner carry the July 8, 2026 data cut-off and rotate daily.
Scanner metrics (Altman Z, Piotroski, interest coverage) are computed from trailing twelve-month figures and reflect the young EBITDA turn only with a lag; the deeply negative Altman Z follows above all from negative equity.
Price and valuation figures are dated to July 8, 2026 (about $12.40, market value roughly $1.5 billion); analyses are evergreen, daily prices are not a buy argument.
Stock Watch
This analysis is as of August 26, 2026. Stock Watch will tell you what's changed at REAL since then.
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Price history
Chart
Interactive price chart (TradingView).
52-week range: 8.10 $ to 16.90 $ · Last price: 9.50 $ (As of: September 17, 2026)
Key figures
Key figures at a glance
Every figure we hold for this stock, grouped by topic. The question mark next to a label explains what the number means.
Basics
Performance
Technical Indicators
Calculated from the price history · as of 09/18/2026
Valuation
Profitability
Balance Sheet & Safety
Growth
Dividend
This stock currently pays no dividend.
Quality & Screener
Highlighted are things our editorial team noticed: green = stands out as strong, red = deserves a closer look. No single metric is a verdict on its own — always read it in context.
Comparison
Industry comparison
The stock alongside the largest companies in the same group. The median row is the middle value of the companies shown above — not of the whole industry.
Industry: Luxury Goods
| Company | Market cap ($B) | P/E | EV/EBITDA | Gross Margin % | EBIT Margin % | Sales Growth (Year) % | Perf. 1Y % |
|---|---|---|---|---|---|---|---|
| TheRealReal Inc REAL | 1.2 | – | 93.7 | 74.5 | -1.2 | 15.4 | -9.5 |
| Tapestry Inc TPR | 23.4 | 37.7 | 12.3 | 76.6 | 22.4 | 5.1 | 9.1 |
| Signet Jewelers Ltd SIG | 4.0 | 15.4 | 6.9 | 39.3 | 5.1 | 1.6 | 8.9 |
| Capri Holdings Ltd CPRI | 1.7 | 24.1 | 14.3 | 62.7 | -1.0 | -21.8 | -31.5 |
| LuxExperience B.V. LUXE | 1.3 | 1.6 | 1.3 | 46.6 | -3.1 | 49.3 | -5.4 |
| Movado Group Inc MOV | 0.7 | 25.3 | 9.5 | 56.1 | – | 2.7 | 78.3 |
| Envela Corp ELA | 0.4 | 18.6 | 10.3 | 21.7 | – | 33.6 | 84.5 |
| Lanvin Group Holdings Limited LANV | 0.2 | – | -67.2 | 58.8 | -59.9 | -26.8 | -49.0 |
| Brilliant Earth Group Inc BRLT | 0.1 | – | 0.0 | 56.5 | 0.4 | 3.6 | -42.0 |
| Median of companies shown | 1.2 | 21.4 | 9.5 | 56.5 | -1.0 | 3.6 | -5.4 |
Based on the most recently reported figures. Only stocks from the same trading venue are lined up, so the market caps are counted in one currency. Compare in a chart →
Fiscal years
Annual Figures
Fiscal years from the audited annual reports, oldest first. EBIT is the operating profit before interest and taxes; total assets are everything the company owns.
Revenue, operating income and net income per fiscal year $M
Revenue Operating income Net income
| Fiscal Year | Revenue ($M) | EBIT ($M) | Net Income ($M) | EPS ($) | Operating Cash Flow ($M) | Equity ($M) | Total Assets ($M) |
|---|---|---|---|---|---|---|---|
| 2017 | 138 | -52 | -52 | -0.84 | -39 | -177 | 76 |
| 2018 | 207 | -74 | -76 | -1.21 | -47 | -258 | 135 |
| 2019 | 316 | -100 | -98 | -1.15 | -54 | 337 | 465 |
| 2020 | 300 | -173 | -176 | -2.01 | -134 | 191 | 605 |
| 2021 | 468 | -215 | -236 | -2.58 | -142 | 73 | 755 |
| 2022 | 603 | -189 | -196 | -2.05 | -92 | -170 | 616 |
| 2023 | 549 | -166 | -168 | -1.65 | -61 | -303 | 447 |
| 2024 | 600 | -57 | -134 | -1.24 | 22 | -407 | 423 |
| 2025 | 693 | -24 | -42 | -0.36 | 37 | -416 | 409 |
Quarters
Quarterly Figures
Each bar is one quarter, the last one is the most recent. Use the switch to step through the individual figures.
Revenue & Profit
Cash Flow
Balance Sheet
Margins
Per Share
Click the chart or tab into it, then use ← and → to step through the periods.
None of the selected stocks reports this metric. Pick another metric or switch between annual and quarterly.
· Total · per year
These companies report in different currencies — switch on “Indexed” or pick a margin for a fair comparison.
The figures could not be loaded right now.
Source: fundamental data
| Quarter | EPS (Earnings Per Share) | EPS YoY (%) | Sales ($M) | Sales YoY (%) | Net Margin (%) | OCF ($M) | FCF ($M) |
|---|---|---|---|---|---|---|---|
| 2024: Q4 | -0.62 | – | 164 | 14.40 | -41.70 | 28 | 23 |
| 2025: Q1 | -0.14 | – | 160 | 11.30 | 39.00 | -28 | -36 |
| 2025: Q2 | -0.04 | – | 165 | 14.00 | -6.90 | -9 | -20 |
| 2025: Q3 | -0.49 | – | 174 | 17.50 | -31.10 | 19 | 14 |
| 2025: Q4 | -0.13 | – | 194 | 18.30 | -20.00 | 50 | 43 |
| 2026: Q1 | 0.12 | 185.70 | 190 | 18.50 | 20.50 | -17 | -24 |
| 2026: Q2 | -0.23 | -475.00 | 193 | 16.60 | -14.10 | 2 | -2 |
What Do These Terms Mean?
- EPS (Earnings Per Share):
- Quarterly profit divided by the total share count — how much of the profit works out to a single share.
- YoY (Year over Year):
- Change versus the same quarter a year ago — this is how you compare without seasonal distortion (e.g. the holiday shopping season).
- Sales:
- All revenue for the quarter, before any costs are deducted — the top line of the income statement.
- Net Margin:
- What percentage of sales is left over as profit in the end. Negative means the company is posting a loss.
- OCF (Operating Cash Flow):
- The cash that actually flows into the till from the core business during the quarter — harder to dress up than book profit.
- FCF (Free Cash Flow):
- Operating cash flow minus capital expenditures — the money that's genuinely free to use, say for paying down debt, buybacks, or dividends.
Screening
Appears in These Scanners
This stock currently matches 8 of our scanner strategies — each hit links to the scanner.
Quality & Balance Sheet
Breakout & Setup
Momentum & Trend
Research
Risk & Weakness
Only genuine hits from verified scanners count; pure ranking metrics (P/E, P/S, and similar, which just sort the whole universe) don't count as a hit. Scanners marked in red are red-flag signals (risk/short scanners) — appearing there is not a seal of approval. View all scanners
Outlook
Analysts & Price Target
Combined picture of the price targets and recommendations of every analyst covering the stock. Price targets are expectations for the next 12 months, not promises — and they often follow the price rather than predict it.
Distribution of Recommendations
Estimates by Fiscal Year
| Fiscal Year | EPS Estimate ($) | EPS Range ($) | Revenue Estimate ($M) | Expected Growth | Analysts |
|---|---|---|---|---|---|
| 12/31/2026 | 0.10 | 0.08 – 0.13 | 796 | 182.7% | 6 |
| 12/31/2027 | 0.29 | 0.20 – 0.39 | 883 | 194.6% | 6 |
Average of the analyst estimates for the coming fiscal years. The range shows how far the most optimistic and the most cautious estimate sit apart — the wider it is, the less certain the expectation.
Valuation
What is priced in?
Instead of guessing what the stock is worth, we turn the question around: what free cash flow growth has to happen for today’s market value to add up? The assumptions behind it can be moved.
Today’s market value implies roughly 16.6% growth in free cash flow per year over ten years (assumptions: discount rate 10.0%, terminal growth 2.5%).
| Free cash flow (last twelve months) | $30.2M |
|---|---|
| Market cap | $1.16B |
| Free cash flow in year ten | $140.0M |
| Terminal value as a share of market value | 63.6% |
It shows which assumption is built into today’s price, not whether that assumption will hold. Every assumption can be changed with the sliders; the figures move with them.
A simplified model calculation — not a forecast and not a recommendation.
AI classification
AI Rating
The RealReal setzt KI laut Geschäftsbericht (10-K) 2025 operativ im Kern-Workflow ein — eigenentwickelte KI (u. a. die hauseigene Initiative „Athena“) unterstützt Echtheitsprüfung, Artikel-Attributierung, Preisfindung, Texterstellung und Foto-Retusche des Konsignationsgeschäfts —, erzielt aber keine KI-Umsätze: KI ist dokumentiertes Werkzeug, nicht Produkt; die KI-Risikopassagen (Item 1A) betreffen den eigenen KI-Einsatz und generische Wettbewerbs-Floskeln, keinen konkreten Bedrohungsbefund.
View the full file — quotes, sources, reviewed filings
„We use proprietary artificial intelligence ("AI") to assist in identifying and authenticating multiple categories. For instance, we use AI and microphotography to assist in authenticating high-end handbags."
Wir setzen eigenentwickelte Künstliche Intelligenz („KI“) ein, um die Identifizierung und Echtheitsprüfung in mehreren Kategorien zu unterstützen. Beispielsweise nutzen wir KI und Mikrofotografie zur Unterstützung der Echtheitsprüfung hochwertiger Handtaschen.
10-K · 2026-02-26 · View SEC filing
„We increasingly use AI in our technology platform to automate item attribution, authentication, pricing, copywriting and photo retouching for goods sold through our online marketplace."
Wir setzen KI in unserer Technologieplattform zunehmend ein, um Artikel-Attributierung, Echtheitsprüfung, Preisfindung, Texterstellung und Foto-Retusche für die über unseren Online-Marktplatz verkauften Waren zu automatisieren.
10-K · 2026-02-26 · View SEC filing
„We use artificial intelligence to make initial assessments on authenticity, to identify product characteristics, and to help predict consignor preferences, and we plan to expand our use of artificial intelligence into other areas of our business."
Wir nutzen Künstliche Intelligenz für erste Einschätzungen zur Echtheit, zur Erkennung von Produktmerkmalen und zur Unterstützung bei der Vorhersage von Einlieferer-Präferenzen, und wir planen, den Einsatz Künstlicher Intelligenz auf weitere Bereiche unseres Geschäfts auszuweiten.
10-K · 2026-02-26 · View SEC filing
Filings Reviewed: 10-Q 2026-05-07 · 10-Q 2025-11-10 · 10-Q 2025-08-07 · 10-Q 2025-05-08 · 10-K 2026-02-26 · 10-K 2025-02-21
Rated on July 16, 2026 · How the Rating Is Built
Growth
Growth Score
Ten checks against the annual reports — each one passed counts a point.
- Revenue grows by more than 15% a year over three years 4.7%
- More than 10% revenue growth is expected for the coming year 10.4%
- Share count grows by less than 3% a year 6.7%
- Revenue growth plus cash-flow margin add up to at least 40 ("Rule of 40") 18.0%
- Gross margin at 40% or higher and without meaningful erosion 69.8%
- Goodwill from acquisitions does not grow faster than revenue 0.0%
- Net debt below twice EBITDA 16.2 x EBITDA
- Operating cash flow covers the profits of the last three years 342 m
- Return on capital at 15% or higher, or up versus two years ago -16.5%
- Insiders hold at least 10% or are net buyers 7.3%
A criterion without figures counts neither as passed nor as failed; a score is only produced from 7 judgeable criteria upwards. Source: fundamental data. All ten criteria in detail
Quality check
AAQS
4/10The AAQS (AlleAktien Quality Score) checks 10 quality criteria on growth, profitability, and balance-sheet strength — per the methodology developed and published by AlleAktien, calculated by us from our own fundamental data. A stock counts as a quality stock from 9 out of 10 points. Where a company has a shorter listing history, we calculate over the fiscal years available (at least five).
- Sales growth 10Y > 5% 22.4%
- Exp. sales growth 3Y > 5% 12.9%
- EBIT growth 10Y > 5% –
- Exp. EBIT growth 3Y > 5% 12.9%
- Net debt < 4x EBIT –
- EBIT positive, 10Y straight 0
- Max. EBIT decline < 50% –
- Return on equity > 15% –
- ROCE > 15% -16.5%
- Expected return > 10% 14.7%
View stocks with the full AAQS score · Read the methodology at AlleAktien
Source: fundamental data
Insiders
Insider Transactions
Reportable transactions by officers and major shareholders from SEC Form 4 filings. "Other" includes things like stock grants and option exercises without a buy/sell character.
| Date | Person | Role | Type | Shares | Price | Value |
|---|---|---|---|---|---|---|
| Aug 21, 2026 | Madan Gopal Ajay | Chief Financial Officer | Sell | 23,581 | 10.98 | 258,919 |
| Aug 21, 2026 | Madan Gopal Ajay | Chief Financial Officer | Sell | 4,770 | 10.98 | 52,375 |
| Aug 21, 2026 | Madan Gopal Ajay | Chief Financial Officer | Sell | 8,067 | 10.98 | 88,576 |
| Aug 21, 2026 | Lo Steve Ming | Chief Accounting Officer | Sell | 1,407 | 10.98 | 15,449 |
| Aug 21, 2026 | Lo Steve Ming | Chief Accounting Officer | Sell | 8,985 | 10.97 | 98,565 |
| Aug 21, 2026 | Lo Steve Ming | Chief Accounting Officer | Sell | 2,167 | 10.97 | 23,772 |
| Aug 21, 2026 | Sahi Levesque Rati | Chief Executive Officer | Sell | 56,145 | 10.98 | 616,472 |
| Aug 21, 2026 | Sahi Levesque Rati | Chief Executive Officer | Sell | 20,216 | 10.98 | 221,972 |
| Aug 21, 2026 | Sahi Levesque Rati | Chief Executive Officer | Sell | 8,071 | 10.98 | 88,620 |
| Aug 21, 2026 | Friang Luke Thomas | Chief Product & Tech Officer | Sell | 2,501 | 10.98 | 27,461 |
The company
About the Company
The RealReal, Inc. betreibt weltweit einen Online-Marktplatz für den Wiederverkauf von Luxusgütern.
- CEO Insider Trades (12 Mo.)
- selling own stock
- Employees
- 3,140
- Headquarters
- San Francisco, CA
- Address
- 55 Francisco Street, 94133 San Francisco, United States
- Phone
- 855 435 5893
- Website
- therealreal.com
- IPO Date
- 06/28/2019
- ISIN
- US88339P1012
Management
| Name | Title | Birth Year |
|---|---|---|
| Rati Sahi Levesque | President, CEO & Director | 1981 |
| Ajay Madan Gopal | Chief Financial Officer | 1975 |
| Luke T. Friang | Chief Technology & Product Officer | 1971 |
| Todd A. Suko J.D. | Chief Legal Officer & Secretary | 1967 |
| Ming Lo | Senior VP, Chief Accounting Officer & Corporate Controller | – |
| Tiffany Stevenson | Chief People Officer | – |
| Frank Zhu | Chief Analytics Officer | – |
| Jessica Fortier | Senior Vice President of Operations | – |
| Samantha McCandless | Chief Merchandising Officer | – |
| Robert Burris | Senior Vice President of Talent | – |
Executives per the latest required filings; titles kept in their original language. Source: fundamental data.
Filings
Company Filings (8-K)
An 8-K is the filing a US company must use to disclose material events immediately — takeovers, changes at the top, major contracts or payment troubles, for instance. The links open the original document at the US Securities and Exchange Commission (SEC).
- 08/06/2026 TheRealReal, Inc. (REAL): Results of Operations and Financial Condition; Financial Statements and Exhibits SEC ↗
Data as of: September 17, 2026 · Source: fundamental data & SEC filings (annual and quarterly reports, 10-K/10-Q)
Note: pure fact-based analysis, not investment advice and not a solicitation to buy or sell. All figures without guarantee.