RealReal, Inc. (REAL)

The RealReal's stock has experienced significant positive movement in the past six months. From October 28, 2024, to October 24, 2025, the share price increased by 305.70%, and leading up to October 10, 2025, shares had skyrocketed by 86.5%. The company reported its Q1 2025 earnings on May 8, 2025, with revenue of $160 million, up 11% year-over-year, and a net income of $62 million, including $80 million in non-cash gains. Adjusted EBITDA for Q1 2025 improved to $4.1 million. For Q3 2025, the company announced its earnings release timing for November 10, 2025. The RealReal has provided positive guidance, expecting full-year 2024 to achieve positive adjusted EBITDA and projecting full-year 2025 GMV between $1.96 billion and $1.99 billion and revenue between $645 million and $660 million. Analysts have shown a "Buy" consensus for the stock, with some raising price targets.

Demand for The RealReal's products and services exhibits seasonality, aligning with general fashion cycles and consumer purchasing habits for luxury items. The company acknowledges "usual seasonal patterns" with a significant increase in Gross Merchandise Volume (GMV) and adjusted EBITDA from Q3 to Q4. Specific luxury items tend to sell better during their respective seasons, and marketing efforts are often tailored to these seasonal trends to create demand. The resale value of common fashion products can also be influenced by current trends and the timing of their listing within these seasonal cycles.

The RealReal operates as an online and brick-and-mortar marketplace specializing in authenticated consignment and resale of luxury goods. It is categorized within the Consumer Discretionary sector, specifically in the Luxury Goods industry, and is also identified within the broader "Other Services (B2C Non-Financial)" and "Recommerce" industries. The company extends the lifecycle of high-end items, promotes sustainability, and makes luxury accessible to a wider audience. The RealReal offers a diverse range of products, including women's and men's fashion, fine jewelry, watches, fine art, and homewear. The company manages the entire resale process, from item collection and authentication to sale and shipment, generating revenue primarily through consignment commissions.

The RealReal operates its online marketplace globally and maintains a physical retail footprint primarily within the United States. It has operated retail stores in key cities such as Los Angeles and New York. Historically, it has also had flagship stores and neighborhood stores in locations including San Francisco, Chicago, Atlanta, and Austin, Texas, as well as consignment offices in Miami and Washington, D.C.

The RealReal has built a strong brand reputation centered on authenticity and sustainability within the luxury resale market. Its commitment to rigorous authentication processes for every item sold is a key differentiator and helps build trust with both consignors and buyers. The company's mission to promote a circular economy for luxury goods and extend the lifecycle of high-end items resonates with environmentally conscious consumers. However, the company's reputation has faced challenges, including allegations of fake items and unsatisfactory selling prices, indicating ongoing concerns about the platform's reliability.

The ownership structure of The RealReal is primarily dispersed among institutional investors, the general public, and company insiders. Institutional investors hold a substantial portion, ranging from approximately 66% to 78.4% of the company's shares. Major institutional owners include BlackRock, Inc., Woodson Capital Management, LP, and Vanguard Group Inc. The general public holds around 18% of the ownership, while insiders hold approximately 19.12%. Timothy Riley is noted as a significant individual shareholder, and CEO Rati Levesque directly holds 0.5% of the total shares outstanding.