Revolve Group (RVLV) AI Stock Analysis

• Market Cap: $1.59B
• Dividend Yield: N/A
• Average Volume (3M): 1.07M
• Price to Earnings (P/E): 31.6
• Beta (1Y): 1.97
• Revenue Growth: 9.09%
• EPS Growth: 106.50%
• Country: US
• Employees: 1,632
• Sector: Consumer Cyclical
• Sector Strength: 68
• Industry: Specialty Retail
• EPS (TTM): 0.16
• Shares Outstanding: 40,370,308
• 10 Day Avg. Volume: 1,007,333
• 30 Day Avg. Volume: 1,070,515
• PEG Ratio: 10.39
• Price to Book (P/B): 3.30
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 55.91
• Enterprise Value/Market Cap: 0.78
• Enterprise Value/Revenue: 0.28
• Enterprise Value/Gross Profit: 2.04
• Enterprise Value/Ebitda: 6.36
• 1Y Price Target: $22.27
• Price Target Upside: 0.13% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 13

• Rating: 75 Outperform
• Price Target: $24.50 ▲(10.16%Upside)

Revolve's strong earnings performance, driven by significant sales growth and operational efficiency, is a major positive. However, high valuation metrics and potential challenges from tariffs and consumer sentiment weigh on the score. The company's strategic investments in AI and international expansion provide a positive outlook despite these challenges.

Positive Factors

Cost Optimization

Despite the tariff impacts, the underlying performance of Revolve Group has been strong with encouraging customer trends, lower return rates, and cost optimization.

Customer Growth

The company is coming off a first quarter that saw an acceleration in active customer growth.

Stock Price Target

The price target for Revolve Group has been increased to $27.00 from a previous target of $21.00.

Negative Factors

Consumer Sentiment

Quarter-to-date performance slowed due to waning consumer sentiment, with sales showing softening trends.

Gross Margin Pressure

Tariffs and markdowns are expected to pressure the company's gross margin.

Tariff Impact

Revolve Group is one of the first eCommerce companies to highlight a significant tariff impact, which is affecting revenue growth and leading to lower gross margin guidance.

Revolve Group Business Overview & Revenue Model

Company Description

Revolve Group (RVLV) is a leading online fashion retailer that primarily targets millennial and Gen Z consumers. Based in the United States, the company offers a curated selection of apparel, footwear, accessories, and beauty products from a wide array of established and emerging brands. Revolve is known for its trend-focused offerings and innovative digital marketing strategies, including influencer partnerships and social media engagement, which resonate strongly with its target demographic.

How the Company Makes Money

Revolve Group generates revenue primarily through the sale of its fashion and lifestyle products via its e-commerce platforms. The company's key revenue stream is direct-to-consumer sales, facilitated by its proprietary technology and data-driven approach to inventory management and customer engagement. Revolve leverages social media and influencer collaborations to enhance brand visibility and drive traffic to its online stores. Additionally, the company benefits from strategic partnerships with a variety of brands, allowing it to offer exclusive or limited-edition items that attract and retain customers. Revolve's business model emphasizes efficient inventory turnover and a high level of customer service, contributing to strong repeat purchase rates and customer loyalty.

Revolve Group Financial Statement Overview

Summary

Revolve Group presents a solid financial profile with strong profitability, low leverage, and effective cash flow management. The company maintains healthy margins and a strong equity base, minimizing financial risk. However, slower revenue growth and pressure on net profit margins could pose challenges.

Income Statement

Revolve Group shows a strong gross profit margin of approximately 52.4% for the TTM, indicating efficient cost management. The net profit margin is healthy at around 4.4%, although down from previous years, suggesting some pressure on profitability. Revenue growth has been steady, with a TTM growth rate of approximately 2.3%, indicating a positive trajectory, albeit slower than in earlier years. The EBIT and EBITDA margins demonstrate stable operational efficiency, aligning with industry standards.

Balance Sheet

The balance sheet reflects a strong equity position with an equity ratio of approximately 63.6%, indicating financial stability. The debt-to-equity ratio is low at about 0.10, demonstrating conservative leverage. Return on equity is solid at approximately 11.1% for the TTM, showcasing effective use of equity to generate profits. These factors indicate a robust financial position with low financial risk.

Cash Flow

The cash flow statement shows a positive free cash flow growth rate of approximately 27.4% for the TTM, highlighting strong cash generation capabilities. The operating cash flow to net income ratio stands at approximately 0.66, suggesting a moderate cash conversion efficiency. The free cash flow to net income ratio is slightly higher at around 0.53, indicating a stable cash flow relative to earnings.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.13B	1.07B	1.10B	891.39M	580.65M
Gross Profit	593.27M	554.20M	592.32M	489.82M	305.28M
EBITDA	56.58M	27.53M	77.93M	109.80M	65.89M
Net Income	49.56M	28.15M	58.70M	99.84M	56.79M
Balance Sheet
Total Assets	665.55M	608.89M	579.32M	480.41M	305.75M
Cash, Cash Equivalents and Short-Term Investments	256.60M	245.45M	234.72M	218.46M	146.01M
Total Debt	40.73M	40.99M	24.50M	6.94M	0.00
Total Liabilities	227.76M	223.75M	199.75M	163.40M	105.69M
Stockholders Equity	438.19M	385.14M	379.57M	317.01M	200.06M
Cash Flow
Free Cash Flow	21.04M	39.14M	18.27M	60.12M	71.45M
Operating Cash Flow	26.69M	43.34M	23.44M	62.31M	73.77M
Investing Cash Flow	-9.11M	-4.20M	-5.17M	-2.19M	-2.32M
Financing Cash Flow	-5.36M	-30.38M	887.00K	12.77M	8.66M

Revolve Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 22.24
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RVLV, the sentiment is Positive. The current price of 22.24 is above the 20-day moving average (MA) of 21.05, above the 50-day MA of 20.80, and below the 200-day MA of 26.00, indicating a neutral trend. The MACD of 0.23 indicates Negative momentum. The RSI at 60.23 is Neutral, neither overbought nor oversold. The STOCH value of 58.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RVLV.

Revolve Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MNSO	77 Outperform	$5.39B	16.10	24.98%	0.24%	9.80%	-6.33%
RVLV	75 Outperform	$1.59B	31.64	11.97%	―	9.09%	106.50%
VIPS	75 Outperform	$8.38B	8.47	19.00%	0.23%	-5.90%	-11.16%
ETSY	73 Outperform	$6.64B	45.24	-39.97%	―	2.18%	-32.87%
ASO	73 Outperform	$3.73B	10.34	20.14%	0.86%	-3.57%	-17.43%
Sector *	66 Neutral	€19.43B	8.79	7.83%	3.75%	0.45%	-40.36%
W	55 Neutral	$7.75B	―	17.86%	―	-0.89%	46.62%

Revolve Group Corporate Events

Revolve Group Holds 2025 Annual Stockholders Meeting

On June 6, 2025, Revolve Group held its 2025 Annual Meeting of Stockholders where three proposals were presented. The stockholders elected directors to the board, ratified KPMG LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2025, and approved the compensation of the company’s named executive officers on a non-binding advisory basis.

The most recent analyst rating on (RVLV) stock is a Buy with a $29.00 price target. To see the full list of analyst forecasts on Revolve Group stock, see the RVLV Stock Forecast page.