Interactive Data (RDVT, Financial) has forged a collaboration with Ping Identity, utilizing PingOne DaVinci, a no-code identity orchestration solution. This partnership aims to broaden access to RDVT’s AI-driven platform and extensive consumer identity insights. The integration allows organizations to verify identities, manage potential risks, and prevent fraud effectively, while simultaneously reducing user inconvenience and enhancing the customer experience.
By joining the Ping Identity Global Technology Partner Program, RDVT becomes part of an expanding group of tech entities working with DaVinci. The solutions developed through this network enable a seamless customer journey by employing easy-to-use drag-and-drop features across diverse digital applications and ecosystems, thus improving overall efficiency and user satisfaction.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 1 analysts, the average target price for Red Violet Inc (RDVT, Financial) is $46.00 with a high estimate of $46.00 and a low estimate of $46.00. The average target implies an upside of 15.78% from the current price of $39.73. More detailed estimate data can be found on the Red Violet Inc (RDVT) Forecast page.
Based on the consensus recommendation from 1 brokerage firms, Red Violet Inc's (RDVT, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Red Violet Inc (RDVT, Financial) in one year is $35.26, suggesting a downside of 11.25% from the current price of $39.73. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Red Violet Inc (RDVT) Summary page.
RDVT Key Business Developments
Release Date: February 27, 2025
- Revenue (Q4 2024): $19.6 million, up 30% year-over-year.
- Adjusted Gross Profit (Q4 2024): $16.1 million, with an adjusted gross margin of 82%.
- Adjusted EBITDA (Q4 2024): $4.5 million, up 68% year-over-year, with a margin of 23%.
- Adjusted Net Income (Q4 2024): $1.3 million, up 390% year-over-year, resulting in $0.09 per diluted share.
- Cash and Cash Equivalents (Dec 31, 2024): $36.5 million.
- IDI Billable Customer Base (Q4 2024): Increased by 183 customers to 8,926.
- FOREWARN Users (Q4 2024): Increased by over 18,000 to 303,418 users.
- Revenue (Full Year 2024): $75.2 million, up 25% year-over-year.
- Adjusted Gross Profit (Full Year 2024): $61.2 million.
- Adjusted EBITDA (Full Year 2024): $23.6 million, with a margin of 31%.
- Free Cash Flow (Full Year 2024): $14.4 million, up from $5.9 million in 2023.
- Special Cash Dividend: $0.30 per share, totaling $4.2 million, paid on February 14, 2025.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Red Violet Inc (RDVT, Financial) achieved record revenue growth of 30% in the fourth quarter, reaching $19.6 million.
- The company reported a significant increase in adjusted EBITDA, up 68% to $4.5 million, with a margin improvement of 5 percentage points.
- Adjusted net income saw a substantial rise of 390% to $1.3 million, translating to adjusted earnings of $0.09 per diluted share.
- The IDI billable customer base grew by 183 customers sequentially, ending the fourth quarter with 8,926 customers.
- Red Violet Inc (RDVT) generated $14.4 million in free cash flow for the year, a 143% increase compared to 2023.
Negative Points
- Contractual revenue decreased by 5 percentage points to 77% for the quarter.
- Sales and marketing expenses increased by 40% to $4.9 million, primarily due to higher personnel-related costs.
- General and administrative expenses rose by 21% to $8.3 million, also driven by increased personnel-related expenses.
- The collections vertical, although showing growth, had been soft for several years due to COVID-19 and regulatory impacts.
- Despite strong growth, the company did not purchase any shares under its stock repurchase program in the fourth quarter.
