RealReal (NASDAQ:REAL) Shares Up 7.8% – Here’s Why

The RealReal, Inc. (NASDAQ:REAL)’s share price shot up 7.8% on Friday. The stock traded as high as $12.48 and last traded at $12.24. 962,226 shares traded hands during trading, a decline of 70% from the average session volume of 3,254,415 shares. The stock had previously closed at $11.35.

Trending Headlines about RealReal

Here are the key news stories impacting RealReal this week:

• Positive Sentiment: Quarterly results exceeded expectations: Third-quarter revenue reached $206.1 million, up 18.7% year over year and above the $196.9 million consensus estimate. Adjusted EPS was $0.02, ahead of expectations ranging from $0.00 to $0.01 and significantly better than the year-ago loss. The RealReal Announces Third Quarter 2026 Results
• Positive Sentiment: Marketplace momentum accelerated: Gross merchandise value increased 23% year over year, while the company reported records for revenue, GMV and orders. Accelerating active-buyer growth and stronger customer engagement suggest demand for authenticated luxury resale remains healthy. The RealReal Reports Q3 2026 Financial Results
• Positive Sentiment: Raised profitability outlook: The RealReal now forecasts 2026 adjusted EBITDA of $71.1 million to $72.6 million. Expanding margins, improved operating leverage and AI-driven efficiencies strengthen the earnings-growth narrative. The RealReal Raises Full-Year Outlook
• Neutral Sentiment: Technical momentum improved: REAL crossed above its 200-day moving average, a potentially constructive signal for momentum-focused investors, although the development does not change the company’s underlying fundamentals. RealReal Stock Crosses Above 200-Day Moving Average
• Neutral Sentiment: New merchandising leadership: The company appointed Alexis Hoopes as chief merchandising officer. The move could support assortment and merchandising improvements, but its financial impact is not yet clear. The RealReal Names New Chief Merchandising Officer

Analysts Set New Price Targets

REAL has been the topic of a number of analyst reports. UBS Group lowered their price target on RealReal from $16.00 to $14.00 and set a “neutral” rating on the stock in a research report on Thursday, October 22nd. Weiss Ratings reissued a “sell (d-)” rating on shares of RealReal in a report on Thursday, October 15th. Roth Capital restated a “buy” rating and set a $19.00 price target on shares of RealReal in a research report on Friday, October 16th. Finally, BTIG Research reaffirmed a “buy” rating and set a $17.00 price target on shares of RealReal in a report on Thursday, September 17th. Six investment analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, RealReal currently has a consensus rating of “Moderate Buy” and a consensus target price of $17.50.

RealReal Stock Up 4.2%

The stock has a market capitalization of $1.44 billion, a P/E ratio of -10.68 and a beta of 2.81. The company has a fifty day simple moving average of $10.00 and a two-hundred day simple moving average of $11.07.

RealReal (NASDAQ:REAL) last announced its earnings results on Thursday, October 29th. The company reported $0.02 EPS for the quarter. The business had revenue of $206.12 million for the quarter, compared to analyst estimates of $196.89 million. During the same quarter in the previous year, the company posted ($0.09) EPS. The business’s revenue for the quarter was up 18.7% compared to the same quarter last year. As a group, equities analysts forecast that The RealReal, Inc. will post -0.11 earnings per share for the current year.

Insiders Place Their Bets

In related news, CFO Gopal Madan sold 36,418 shares of the stock in a transaction on Friday, August 21st. The stock was sold at an average price of $10.98, for a total value of $399,869.64. Following the sale, the chief financial officer owned 1,108,860 shares in the company, valued at approximately $12,175,282.80. This represents a 3.18% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Levesque Sahi sold 84,432 shares of the company’s stock in a transaction dated Friday, August 21st. The shares were sold at an average price of $10.98, for a total transaction of $927,063.36. Following the completion of the transaction, the chief executive officer owned 1,496,844 shares in the company, valued at $16,435,347.12. This trade represents a 5.34% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 173,004 shares of company stock worth $1,899,283 in the last three months. Insiders own 2.66% of the company’s stock.

Hedge Funds Weigh In On RealReal

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. BlackRock Inc. purchased a new position in shares of RealReal in the 2nd quarter worth about $134,510,000. AWM Investment Company Inc. purchased a new position in shares of RealReal in the second quarter worth $21,265,000. Arrowstreet Capital Limited Partnership raised its holdings in RealReal by 58.2% during the 1st quarter. Arrowstreet Capital Limited Partnership now owns 4,049,042 shares of the company’s stock valued at $36,765,000 after buying an additional 1,489,939 shares during the last quarter. Bank of America Corp DE purchased a new position in RealReal during the 2nd quarter valued at about $12,655,000. Finally, Renaissance Technologies LLC lifted its holdings in RealReal by 117.9% in the 1st quarter. Renaissance Technologies LLC now owns 1,646,200 shares of the company’s stock worth $14,947,000 after buying an additional 890,700 shares during the period. 64.73% of the stock is currently owned by institutional investors and hedge funds.

RealReal Company Profile

The RealReal, Inc operates an online and physical marketplace for authenticated, pre-owned luxury goods. Through its platform, the company enables individuals and businesses to consign and purchase items across categories such as apparel, handbags, shoes, jewelry, watches, fine art, and home furnishings.

The company combines consignment services with in-house authentication, merchandising, photography, fulfillment, and customer support. Its authentication process is designed to assess the legitimacy and condition of products before they are offered for sale, helping connect sellers with buyers seeking luxury items through the resale market.

Founded in 2011 by Julie Wainwright, The RealReal serves customers primarily in the United States through its website, mobile applications, and retail locations.