Why is The RealReal, Inc. ?
1
With a Negative Book Value, the company has a Weak Long Term Fundamental Strength
- Poor long term growth as Operating profit has grown by an annual rate 10.93% of over the last 5 years
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -11.81
2
Flat results in Jun 25
- CASH AND EQV(HY) Lowest at USD 233.95 MM
- DEBTORS TURNOVER RATIO(HY) Lowest at 32.48 times
- INTEREST(Q) Highest at USD 7.04 MM
3
Risky - Negative Operating Profits
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of 171.67%, its profits have risen by 31.1%
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in E-Retail/ E-Commerce)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is The RealReal, Inc. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
The RealReal, Inc.
140.85%
3.04
98.69%
S&P 500
13.22%
0.61
20.17%
Quality key factors
Factor
Value
Sales Growth (5y)
15.24%
EBIT Growth (5y)
10.93%
EBIT to Interest (avg)
-11.81
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
-0.84
Sales to Capital Employed (avg)
5.55
Tax Ratio
0.74%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
100.00%
ROCE (avg)
0
ROE (avg)
0
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
-1.92
EV to EBIT
-18.08
EV to EBITDA
-362.06
EV to Capital Employed
-17.22
EV to Sales
1.50
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
Negative Capital Employed
ROE (Latest)
Negative BV
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
No Trend
Bullish
Technical Movement
9What is working for the Company
OPERATING CASH FLOW(Y)
Highest at USD 0.16 MM
NET PROFIT(HY)
Higher at USD -32.99 MM
RAW MATERIAL COST(Y)
Fallen by -1.05% (YoY
NET SALES(Q)
Highest at USD 165.19 MM
EPS(Q)
Highest at USD -0.13
-10What is not working for the Company
CASH AND EQV(HY)
Lowest at USD 233.95 MM
DEBTORS TURNOVER RATIO(HY)
Lowest at 32.48 times
INTEREST(Q)
Highest at USD 7.04 MM
Here's what is working for The RealReal, Inc.
Operating Cash Flow
Highest at USD 0.16 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (USD MM)
Net Profit
Higher at USD -32.99 MM
than preceding 12 month period ended Jun 2025MOJO Watch
In the half year the company has already crossed Net Profit of the previous twelve months
Net Profit (USD MM)
Net Sales
Highest at USD 165.19 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
EPS
Highest at USD -0.13
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Raw Material Cost
Fallen by -1.05% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for The RealReal, Inc.
Interest
At USD 7.04 MM has Grown at 11.36%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
Interest
Highest at USD 7.04 MM
in the last five periods and Increased by 11.36% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
Cash and Eqv
Lowest at USD 233.95 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debtors Turnover Ratio
Lowest at 32.48 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio






