Why Shares of The RealReal Tumbled Today
Shares of The RealReal (NASDAQ: REAL) plunged on Wednesday despite the company reporting positive second-quarter results. Revenue surged by more than 50% for the online luxury goods marketplace, but the stock was dragged down by a broad stock market decline triggered by trade war and recession fears. The RealReal stock was down about 14.8% at 3:45 p.m. EDT on Wednesday.
The RealReal reported second-quarter revenue of $71.0 million, up 51% year over year and nearly $0.9 million higher than the average analyst estimate. Consignment and service revenue rose 44% to $60.7 million, while direct revenue jumped 114% to $10.3 million. Gross merchandise volume, which is the total value of products sold through the marketplace, increased 40% to $228.5 million.
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Source Fool.com
