Rent the Runway rallies more than 200% on rosy forecast
11/04/2024 16:30
(Updates)
** Shares of Rent the Runway RENT.O surges as much as 226%
to $24.13
** Co on Wednesday after markets forecast fiscal 2024
revenue to rise between 1% and 6%, compared to the 0.6% growth
seen in 2023
** Last week, co implemented a 1-for-20 reverse stock split
to avoid potential delisting
** RENT's bet on artificial intelligence (AI) models to
assist its search and product tools has enhanced consumer
experience
** Co is experiencing a surge driven by a promising blend of
AI prospects and tangible results... there was a notable 10%
rise in loyalty observed, significant at an early stage of
implementation, Michael Ashley Schulman, chief investment
officer at Running Point Capital Advisors notes
** Customer loyalty rate in the fourth quarter was also up
10% YOY and planned new designer launches on the platform for
2024, CEO Jennifer Hyman said
** Including the move on the session, stock has lost ~70%
over the past 12 months
(Reporting by Annett Mary Manoj in Bengaluru)
((AnnettMary.Manoj@thomsonreuters.com))