Luxury reseller RealReal slides after 2024 forecast cut

Realreal

07/08/2024 13:27

** RealReal's  REAL.O  shares drop 6.5% premarket to 5-mth
low of $2.90 after online luxury goods reseller cut annual rev
and gross merchandise volume (GMV) forecasts
    ** Co late Tues said expects 2024 rev of $580-$595 mln. In
May, it had guided for rev of $580-$605 mln
    ** Co also lowered GMV for year to $1.79-$1.82 bln from
$1.81-$1.87 bln previously
    ** For Q2, rev grew 11% yr/yr to $145 mln, topping LSEG
estimate of $139.8 mln, while GMV increased 4% to $441 mln
    ** Adj loss/sh in qtr of 13 cents came in a penny below
consensus
    ** Reacting to report, Wedbush trims PT to $4 from $4.50 and
BTIG reduces PT to $3.50 from $4
    ** 2 of 7 brokerages covering REAL rate stock "strong buy",
rest rate "hold" and their median PT is $3.95 - LSEG
    ** Through Tues close, REAL shares gained 54% YTD

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))