REAL
TheRealReal, Inc.
Next earnings Aug 5, 2026 · consensus $-0.02 EPS, $192M rev
Last earnings -4.6% on 2026-05-07
$11.58
▼ -5.16%$11.58▲ +136.81%
over 1Y
L $4.79H $16.90
Earnings Dividend Split Congress buy Congress sellGrouped by date · hover a pin to expand
Today-5.2%
1W-6.8%
1M+18.3%
3M+27.0%
YTD-26.7%
1Y+136.8%
Hold
Conviction
Horizon
Medium (3–12mo)
12-mo target
$•••
Street · 15 analysts
Buy
A real turnaround — losses cut 69% on +15% revenue and positive cash flow — but negative equity and pricey convert debt cap the call at hold.
Revenue $693M · FY2025
TheRealReal is executing a genuine inflection. FY2025 revenue grew 15.4% to $693M, the fastest in years, while the net loss narrowed from -$134M (FY2024) to -$41.8M — a 68.9% improvement that caps a four-year arc from -$236M (FY2021). The consignment model throws off a 74.6% gross margin, and operating cash flow was positive for a second straight year at $37.0M (up 37.9%), comfortably covering the $18.6M of PP&E capex. For a still-unprofitable retailer, P/S of 2.1x on 15%+ growth with high gross margins is reasonable, not stretched. This is a business that is clearly closing the gap to profitability, and the operating loss has shrunk to just -3.5% of revenue.
The problem is the balance sheet and capital structure, which keep this from being a clean buy. Stockholders' equity is deeply negative at -$416M against a $1.30B accumulated deficit, and total liabilities ($825M) are roughly double total assets ($409M). The MD&A details a heavy convertible-note stack: $190.1M of 2031 Notes (conversion ~$10.46, below today's $12.21, so dilution is live), $48.2M of 2028 Notes, and $135M of punishing 13.00% PIK/Cash 2029 Notes. Financing activities consumed $28.9M in 2025 repaying and exchanging debt, and cash fell 12.2% to $151M. Share count is already up 7% YoY.
AI-generated analysis, produced by our proprietary engine from SEC filing data.
Investment recommendation produced by TENK/calls (tenkcalls.com), Luxembourg. Completed Jun 30, 2026, 6:04 AM ET. Ratings & methodology: definitions · All recommendations to date: track record · Conflicts: disclosures. Not investment advice.
Financials · annual, by fiscal year
| Line item | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|
| Revenue | $468M | $603M | $549M | $600M | $693M |
| Gross profit | $273M | $349M | $376M | $448M | $517M |
| Operating income | -$215M | -$189M | -$166M | -$56.5M | -$23.9M |
| Net income | -$236M | -$196M | -$168M | -$134M | -$41.8M |
| Diluted EPS | -$2.58 | -$2.05 | -$1.65 | -$1.24 | -$0.70 |
| Net margin | -50.5% | -32.6% | -30.7% | -22.3% | -6.0% |
Annual figures from SEC 10-K XBRL filings. Open the filing links below for full statement detail.
Key statistics
Valuation
Enterprise value$1.25B
EV / EBITDA138.2
EV / Sales1.8
EV / FCF68.2
P / FCF76.0
PEG (trailing)—
Earnings yield-3.0%
FCF yield1.3%
Quality & risk
ROIC (est.)—
Free cash flow$18.4M
Total debt$9.24M
Net cash$142M
Altman Z-Score-2.03 distress
Piotroski F-Score5/8
Capital returns
Buyback yield—
Dividend yield (est.)—
Shareholder yield—
Shares Δ YoY+7.0%
Computed from SEC XBRL annual figures + the current quote. EV and ROIC use long-term + current debt where filed; estimates, not investment advice.
Disclosure timeline
SEC · 8-Ks + reportsRecent disclosure tone has been improving.
- 8-K Shareholder vote2026-06-12
Annual meeting vote results: directors elected, routine governance items passed
- 8-K Earnings results2026-05-07
Q1 2026: revenue still growing, losses narrowing, operating cash flow positive
- 10-Q Quarterly report2026-05-07
Q1 2026: revenue still growing, losses narrowing, operating cash flow positive
- DEF 14A Proxy statement2026-04-27
Annual proxy: board slate, exec comp and say-on-pay up for shareholder vote
- 8-K Officer / director change2026-03-09
Executive/board change disclosed alongside a Reg FD investor update
- 8-K Earnings results2026-02-26
FY2025: rev $693M +15%, loss cut to $42M, +$37M op cash; equity still negative
- 10-K Annual report2026-02-26
FY2025: rev $693M +15%, loss cut to $42M, +$37M op cash; equity still negative
- 8-K Officer / director change2025-11-18
Leadership/board change disclosed (officer or director transition)
- 8-K Earnings results2025-11-10
Q3 2025: continued revenue growth and narrowing net loss
Recent filings
all on EDGAR ↗4Period ending 2026-06-302026-07-01open ↗4Period ending 2026-06-302026-07-01open ↗SCHEDULE 13GFiling2026-06-30open ↗8-KPeriod ending 2026-06-102026-06-12open ↗4Period ending 2026-05-212026-05-22open ↗4Period ending 2026-05-212026-05-22open ↗4Period ending 2026-05-212026-05-22open ↗4Period ending 2026-05-212026-05-22open ↗4Period ending 2026-05-212026-05-22open ↗S-3ASRFiling2026-05-08open ↗10-QPeriod ending 2026-03-312026-05-07open ↗8-KPeriod ending 2026-05-072026-05-07open ↗
Frequently asked
- Is TheRealReal, Inc. (REAL) a buy?
- REAL currently carries a Hold rating with 3/5 conviction, derived from its latest SEC filings. A real turnaround — losses cut 69% on +15% revenue and positive cash flow — but negative equity and pricey convert debt cap the call at hold.
- What is TheRealReal, Inc.'s quality score?
- REAL scores 47.99214592095948/100 (grade D) on a SEC-grounded quality model spanning value, growth, profitability, financial health and momentum.
Sources: SEC EDGAR (CIK 0001573221, latest 10-Q filed 2026-05-07) · EODHD · Proprietary analysis · as of 6/30/2026, 10:04:57 AM.
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