Is Rent The Stock a Good Investment?
Rent The Investment Advice | RENT |
- Examine Rent The's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Rent The's leadership team and their track record. Good management can help Rent The navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Other Specialty Retail space and any emerging trends that could impact Rent The's business and its evolving consumer preferences.
- Compare Rent The's performance and market position to its competitors. Analyze how Rent The is positioned in terms of product offerings, innovation, and market share.
- Check if Rent The pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Rent The's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Rent the Runway stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Rent the Runway is a good investment.
Sell | Buy |
Strong Sell
Market Performance | Very Weak | Details | |
Volatility | Risky | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | High | Details | |
Economic Sensitivity | Hyperactively responds to market trends | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Buy | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Examine Rent The Stock
Researching Rent The's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 15.0% of the company outstanding shares are owned by corporate insiders. The company has Price/Earnings (P/E) ratio of 329.66. Rent the Runway recorded a loss per share of 22.09. The entity had not issued any dividends in recent years. The firm had 1:20 split on the 3rd of April 2024.
To determine if Rent The is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Rent The's research are outlined below:
| Rent the Runway generated a negative expected return over the last 90 days | |
| Rent the Runway has high historical volatility and very poor performance | |
| Rent the Runway has high likelihood to experience some financial distress in the next 2 years | |
| The company reported the previous year's revenue of 298.2 M. Net Loss for the year was (113.2 M) with profit before overhead, payroll, taxes, and interest of 222.9 M. | |
| Rent the Runway currently holds about 192.3 M in cash with (15.7 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 2.97. | |
| Roughly 15.0% of the company outstanding shares are owned by corporate insiders | |
| Latest headline from finance.yahoo.com: Why Rent the Runway Inc. Surged On Thursday |
Rent The uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Rent the Runway. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Rent The's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 10th of April 2024 Upcoming Quarterly Report | View | |
| 5th of June 2024 Next Financial Report | View | |
| 31st of January 2024 Next Fiscal Quarter End | View | |
| 10th of April 2024 Next Fiscal Year End | View | |
| 31st of October 2023 Last Quarter Report | View | |
| 31st of January 2023 Last Financial Announcement | View |
Earnings surprises can significantly impact Rent The's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Rent The's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2022-04-13 | 2022-01-31 | -0.7 | -0.62 | 0.08 | 11 | ||
2023-04-12 | 2023-01-31 | -0.51 | -0.4 | 0.11 | 21 | ||
2022-09-12 | 2022-07-31 | -0.66 | -0.53 | 0.13 | 19 | ||
2024-09-06 | 2024-07-31 | -5.47 | -4.17 | 1.3 | 23 | ||
2024-06-06 | 2024-04-30 | -7.43 | -6.03 | 1.4 | 18 | ||
2021-12-08 | 2021-10-31 | -1.3 | -6.72 | -5.42 | 416 |
Know Rent The's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Rent The is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Rent the Runway backward and forwards among themselves. Rent The's institutional investor refers to the entity that pools money to purchase Rent The's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Millennium Management Llc | 2024-12-31 | 20.8 K | Morgan Stanley - Brokerage Accounts | 2024-12-31 | 16.3 K | Ubs Group Ag | 2024-12-31 | 12.3 K | Gkv Capital Management Co Inc | 2024-12-31 | 3.9 K | R Squared Ltd | 2024-12-31 | 2.6 K | Meeder Asset Management Inc | 2024-12-31 | 1.9 K | Bnp Paribas Arbitrage, Sa | 2024-12-31 | 378 | Royal Bank Of Canada | 2024-12-31 | 308 | Wells Fargo & Co | 2024-12-31 | 270 | Bain Capital Venture Investors, Llc | 2024-12-31 | 408.8 K | Castleknight Management Lp | 2024-12-31 | 230.6 K |
Rent The's market capitalization trends
The company currently falls under 'Micro-Cap' category with a current market capitalization of 19.95 M.Market Cap |
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Rent The's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | (0.02) | (0.02) | |
| Return On Capital Employed | (0.02) | (0.02) | |
| Return On Assets | (0.01) | (0.01) | |
| Return On Equity | (0.01) | (0.01) |
Determining Rent The's profitability involves analyzing its financial statements and using various financial metrics to determine if Rent The is a good buy. For example, gross profit margin measures Rent The's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Rent The's profitability and make more informed investment decisions.
Please note, the imprecision that can be found in Rent The's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Rent the Runway. Check Rent The's Beneish M Score to see the likelihood of Rent The's management manipulating its earnings.
Evaluate Rent The's management efficiency
Rent the Runway has return on total asset (ROA) of (0.1063) % which means that it has lost $0.1063 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of (7.7486) %, meaning that it created substantial loss on money invested by shareholders. Rent The's management efficiency ratios could be used to measure how well Rent The manages its routine affairs as well as how well it operates its assets and liabilities. Return On Tangible Assets is likely to drop to -0.02 in 2025. Return On Capital Employed is likely to drop to -0.02 in 2025. Change To Liabilities is likely to gain to about 1.1 M in 2025, whereas Total Current Liabilities is likely to drop slightly above 32.1 M in 2025.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 373.04 | 391.69 | |
| Tangible Book Value Per Share | 147.58 | 154.96 | |
| Enterprise Value Over EBITDA | 50.75 | 48.21 | |
| Price Book Value Ratio | 1.03 | 0.98 | |
| Enterprise Value Multiple | 50.75 | 48.21 | |
| Price Fair Value | 1.03 | 0.98 | |
| Enterprise Value | 361.8 M | 343.7 M |
Leadership effectiveness at Rent the Runway is a strong indicator of its financial stability. We analyze various metrics to provide insights into the stock's investment viability.
Beta 1.331 |
Basic technical analysis of Rent Stock
As of the 23rd of March, Rent The holds the Coefficient Of Variation of (1,138), risk adjusted performance of (0.07), and Variance of 49.71. Compared to fundamental indicators, the technical analysis model allows you to check existing technical drivers of Rent The, as well as the relationship between them.Rent The's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Rent The insiders, such as employees or executives, is commonly permitted as long as it does not rely on Rent The's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Rent The insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Understand Rent The's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Rent The's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.07) | |||
| Market Risk Adjusted Performance | (0.35) | |||
| Mean Deviation | 4.42 | |||
| Coefficient Of Variation | (1,138) | |||
| Standard Deviation | 7.05 | |||
| Variance | 49.71 | |||
| Information Ratio | (0.08) | |||
| Jensen Alpha | (0.51) | |||
| Total Risk Alpha | (0.09) | |||
| Treynor Ratio | (0.36) | |||
| Maximum Drawdown | 22.06 | |||
| Value At Risk | (8.12) | |||
| Potential Upside | 8.62 | |||
| Skewness | 1.78 | |||
| Kurtosis | 10.73 |
| Risk Adjusted Performance | (0.07) | |||
| Market Risk Adjusted Performance | (0.35) | |||
| Mean Deviation | 4.42 | |||
| Coefficient Of Variation | (1,138) | |||
| Standard Deviation | 7.05 | |||
| Variance | 49.71 | |||
| Information Ratio | (0.08) | |||
| Jensen Alpha | (0.51) | |||
| Total Risk Alpha | (0.09) | |||
| Treynor Ratio | (0.36) | |||
| Maximum Drawdown | 22.06 | |||
| Value At Risk | (8.12) | |||
| Potential Upside | 8.62 | |||
| Skewness | 1.78 | |||
| Kurtosis | 10.73 |
Consider Rent The's intraday indicators
Rent The intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Rent The stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Rent The Corporate Filings
F4 | 19th of March 2025 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
8K | 5th of March 2025 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
| 14th of February 2025 Other Reports | ViewVerify | |
| 5th of February 2025 Other Reports | ViewVerify |
Rent Stock media impact
Far too much social signal, news, headlines, and media speculation about Rent The that are available to investors today. That information is available publicly through Rent media outlets and privately through word of mouth or via Rent internal channels. However, regardless of the origin, that massive amount of Rent data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Rent The news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Rent The relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Rent The's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Rent The alpha.
Rent The Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Rent The can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Rent The Corporate Management
| Andrea Alexander | Chief Officer | Profile | |
| Brian Donato | Chief Officer | Profile | |
| Jennifer Fleiss | CoFounder Director | Profile | |
| Bradford Shellhammer | Chief Officer | Profile | |
| Anushka Salinas | Consultant Advisor | Profile | |
| Scarlett OSullivan | Chief Officer | Profile | |
| Drew Rau | Chief Officer | Profile |
Additional Tools for Rent Stock Analysis
When running Rent The's price analysis, check to measure Rent The's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Rent The is operating at the current time. Most of Rent The's value examination focuses on studying past and present price action to predict the probability of Rent The's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Rent The's price. Additionally, you may evaluate how the addition of Rent The to your portfolios can decrease your overall portfolio volatility.