RENT Relative Valuation
RENT's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, RENT is overvalued; if below, it's undervalued.
Historical Valuation
Rent the Runway Inc (RENT) is now in the Fair zone, suggesting that its current forward PS ratio of 0.00 is considered Fairly compared with the five-year average of -1.20. The fair price of Rent the Runway Inc (RENT) is between to according to relative valuation methord.
Relative Value
Fair Zone
-
Current Price：4.78
Fair
-0.19
PE
1Y
3Y
5Y
Trailing
Forward
14.90
EV/EBITDA
Rent the Runway Inc. (RENT) has a current EV/EBITDA of 14.90. The 5-year average EV/EBITDA is 7.93. The thresholds are as follows: Strongly Undervalued below -87.50, Undervalued between -87.50 and -39.78, Fairly Valued between 55.64 and -39.78, Overvalued between 55.64 and 103.36, and Strongly Overvalued above 103.36. The current Forward EV/EBITDA of 14.90 falls within the Historic Trend Line -Fairly Valued range.
-8.14
EV/EBIT
Rent the Runway Inc. (RENT) has a current EV/EBIT of -8.14. The 5-year average EV/EBIT is -5.44. The thresholds are as follows: Strongly Undervalued below -9.94, Undervalued between -9.94 and -7.69, Fairly Valued between -3.19 and -7.69, Overvalued between -3.19 and -0.94, and Strongly Overvalued above -0.94. The current Forward EV/EBIT of -8.14 falls within the Undervalued range.
0.56
PS
Rent the Runway Inc. (RENT) has a current PS of 0.56. The 5-year average PS is 0.52. The thresholds are as follows: Strongly Undervalued below -0.85, Undervalued between -0.85 and -0.17, Fairly Valued between 1.20 and -0.17, Overvalued between 1.20 and 1.88, and Strongly Overvalued above 1.88. The current Forward PS of 0.56 falls within the Historic Trend Line -Fairly Valued range.
0.00
P/OCF
Rent the Runway Inc. (RENT) has a current P/OCF of 0.00. The 5-year average P/OCF is -7.39. The thresholds are as follows: Strongly Undervalued below -30.45, Undervalued between -30.45 and -18.92, Fairly Valued between 4.13 and -18.92, Overvalued between 4.13 and 15.66, and Strongly Overvalued above 15.66. The current Forward P/OCF of 0.00 falls within the Historic Trend Line -Fairly Valued range.
-7.12
P/FCF
Rent the Runway Inc. (RENT) has a current P/FCF of -7.12. The 5-year average P/FCF is -2.69. The thresholds are as follows: Strongly Undervalued below -8.25, Undervalued between -8.25 and -5.47, Fairly Valued between 0.09 and -5.47, Overvalued between 0.09 and 2.87, and Strongly Overvalued above 2.87. The current Forward P/FCF of -7.12 falls within the Undervalued range.
Rent the Runway Inc (RENT) has a current Price-to-Book (P/B) ratio of -0.08. Compared to its 3-year average P/B ratio of -1.43 , the current P/B ratio is approximately -94.18% higher. Relative to its 5-year average P/B ratio of 1.98, the current P/B ratio is about -104.21% higher. Rent the Runway Inc (RENT) has a Forward Free Cash Flow (FCF) yield of approximately 0.00%. Compared to its 3-year average FCF yield of -184.87%, the current FCF yield is approximately -100.00% lower. Relative to its 5-year average FCF yield of -146.27% , the current FCF yield is about -100.00% lower.
-0.08
P/B
Median3y
-1.43
Median5y
1.98
-39.87
FCF Yield
Median3y
-184.87
Median5y
-146.27
Competitors Valuation Multiple
The average P/S ratio for RENT's competitors is 0.00, providing a benchmark for relative valuation. Rent the Runway Inc Corp (RENT) exhibits a P/S ratio of , which is NaN% above the industry average. Given its robust revenue growth of 2.53%, this premium appears unsustainable.
P/S
P/E
EV/EBITDA
EV/EBIT
P/S
Revenue Growth
Market Cap
Performance Decomposition
1Y
3Y
5Y
Market capitalization of RENT decreased by 43.76% over the past 1 year. The primary factor behind the change was an decrease in Margin Expansion from -19.77 to -32.63.
The secondary factor is the Revenue Growth, contributed 2.53%to the performance.
Overall, the performance of RENT in the past 1 year is driven by Margin Expansion. Which is more sustainable.
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FAQ
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