RENT (Rent the Runway Inc.) stock is in for a key growth catalyst

As of close of business last night, Rent the Runway Inc.’s stock clocked out at $3.78, up 1.61% from its previous closing price of $3.72. In other words, the price has increased by $+0.0600 from its previous closing price. On the day, 960462 shares were traded. RENT stock price reached its highest trading level at $3.9650 during the session, while it also had its lowest trading level at $3.5300.

Will You Miss Out On This Growth Stock Boom?

A new megatrend in the fintech market is well underway. Mobile payments are projected to boom into a massive $12 trillion market by 2028. According to Motley Fool this growth stock could "deliver huge returns." Not only in the immediate future but also over the next decade. Especially since the man behind this company is a serial entrepreneur who has been wildly successful over the years.

And this is just one of our 5 Best Growth Stocks To Own For 2023.

Sponsored

Ratios:

To gain a deeper understanding of RENT’s stock, we examine its different ratios. For the most recent quarter (mrq), Quick Ratio is recorded 2.60 and its Current Ratio is at 2.60.

Upgrades & Downgrades

On September 13, 2022, Credit Suisse Downgraded its rating to Neutral which previously was Outperform but kept the price unchanged to $4.

Insider Transactions:

Investing in insider trades can also provide an investor with insight into how management views future stock prices. A recent insider transaction in this stock occurred on Nov 02 when Donato Brian sold 10,098 shares for $1.81 per share. The transaction valued at 18,303 led to the insider holds 537,995 shares of the business.

Schembri Cara sold 893 shares of RENT for $1,619 on Nov 02. The GC & Secretary now owns 203,001 shares after completing the transaction at $1.81 per share. On Nov 02, another insider, Salinas Anushka, who serves as the President & COO of the company, sold 6,261 shares for $1.81 each. As a result, the insider received 11,348 and left with 564,683 shares of the company.

Valuation Measures:

For the stock, the TTM Price-to-Sale (P/S) ratio is 0.85.

Stock Price History:

Over the past 52 weeks, RENT has reached a high of $7.49, while it has fallen to a 52-week low of $1.10. The 50-Day Moving Average of the stock is 2.5058, while the 200-Day Moving Average is calculated to be 3.5875.

Shares Statistics:

It appears that RENT traded 2.75M shares on average per day over the past three months and 1.46M shares per day over the past ten days. A total of 64.52M shares are outstanding, with a floating share count of 58.22M. Insiders hold about 5.30% of the company’s shares, while institutions hold 75.90% stake in the company. Shares short for RENT as of Oct 13, 2022 were 5.84M with a Short Ratio of 6.93M, compared to 5.77M on Sep 14, 2022. Therefore, it implies a Short% of Shares Outstanding of 9.02% and a Short% of Float of 14.32%.

Earnings Estimates

As of right now, 11 analysts gave their recommendation on the stock of the company. On average, analysts expect EPS of -$0.56 for the current quarter, with a high estimate of -$0.53 and a low estimate of -$0.62, while EPS last year was -$6.72. The consensus estimate for the next quarter is -$0.51, with high estimates of -$0.45 and low estimates of -$0.56.

Analysts are recommending an EPS of between -$2.19 and -$2.36 for the fiscal current year, implying an average EPS of -$2.26. EPS for the following year is -$1.91, with 11 analysts recommending between -$1.6 and -$2.28.

Revenue Estimates

In the current quarter, 9 analysts expect revenue to total $73.13M. It ranges from a high estimate of $74M to a low estimate of $71.3M. As of the current estimate, Rent the Runway Inc.’s year-ago sales were $56.18M, an estimated increase of 30.20% from the year-ago figure. For the next quarter, 9 analysts are estimating revenue of $71.66M, an increase of 11.80% less than the figure of $30.20% in the same quarter last year. There is a high estimate of $72.4M for the next quarter, whereas the lowest estimate is $70.5M.

A total of 10 analysts have provided revenue estimates for RENT’s current fiscal year. The highest revenue estimate was $290M, while the lowest revenue estimate was $286.8M, resulting in an average revenue estimate of $288.55M. In the same quarter a year ago, actual revenue was $203.3M, up 41.90% from the average estimate. Based on 11 analysts’ estimates, the company’s revenue will be $344.67M in the next fiscal year. The high estimate is $379.13M and the low estimate is $305.3M. The average revenue growth estimate for next year is up 19.40% from the average revenue estimate for this year.