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Red VioletRDVT -0.42%68 PB Ratio is 8.94 as of Jul. 21, 2026, which is 92% above its 10-year median of 4.65. GuruFocus rates RDVT with a GF Score™ of 68/100 and a GF Value™ of $41.88 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 2,636 Software companies, Red Violet ranks worse than 89.11% on this metric.
The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. As of today (2026-07-21), Red Violet's share price is $66.25. Red Violet's Book Value per Share for the quarter that ended in Mar. 2026 was $7.41. Hence, Red Violet's PB Ratio of today is 8.94.
Warning Sign:
Red Violet Inc stock PB Ratio (=9.01) is close to 3-year high of 9.13.
The historical rank and industry rank for Red Violet's PB Ratio or its related term are showing as below:
RDVT'
s PB Ratio Range Over the Past 10 Years
Min: 1.34 Med: 4.65 Max: 10.57
Current: 8.96
During the past 10 years, Red Violet's highest PB Ratio was 10.57. The lowest was 1.34. And the median was 4.65.
RDVT's PB Ratio is ranked worse than 89.11% of 2636
companies
in the Software industry
Industry Median: 2.37
vs RDVT: 8.96
During the past 12 months, Red Violet's average Book Value Per Share Growth Rate was 12.50% per year.
During the past 3 years, the average Book Value Per Share Growth Rate was 11.90% per year.
During the past 5 years, the average Book Value Per Share Growth Rate was 12.80% per year.
During the past 10 years, the highest 3-Year average Book Value Per Share Growth Rate of Red Violet was 35.20% per year. The lowest was 6.50% per year. And the median was 13.40% per year.
The PB Ratio works the best for the businesses that earn most of their profit from their assets, e.g. banks and insurance companies.
Be Aware
Some businesses have very light assets, such as software companies or insurance agencies. The PB Ratio does not work well for these companies. Some companies even have negative equity, so the PB Ratio cannot be applied to them.
Red Violet PB Ratio Related Terms
Red Violet PB Ratio Historical Data
* Premium members only.
The historical data trend for Red Violet's PB Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Software - Application subindustry, Red Violet's PB Ratio, along with its competitors' market caps and PB Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Red Violet PB Ratio vs Software Industry
For the Software industry and Technology sector, Red Violet's PB Ratio distribution charts can be found below:
* The bar in red indicates where Red Violet's PB Ratio falls into.
The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. It is a ratio widely used to value stocks.
Red Violet's PB Ratio for today is calculated as follows:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
It can also be calculated from the numbers for the whole company:
A closely related ratio is called Price-to-Tangible-Book. The difference between Price-to-Tangible-Book and PB Ratio is that book value other than intangibles are used in the calculation.
Red Violet (RDVT) has a PB Ratio of 8.94 as of Jul. 21, 2026. Price-to-Book ratio is the ratio of share price to a company's book value per share. View historical data on Red Violet and its competitors. This is 92% above median its historical median of 4.65. Over the past decade, Red Violet's PB Ratio has ranged from 1.34 to 10.57. According to the industry distribution chart, Red Violet ranks #2349 out of 2636 companies in the Software industry, placing it in the top 89.1%.
Is Red Violet's PB Ratio too high?
Red Violet's current PB Ratio of 8.94 is 92% above median its 10-year median of 4.65. Over the past 10 years, this metric has ranged from a low of 1.34 to a high of 10.57. The Software industry median PB Ratio is 2.37. Red Violet's value of 8.94 is 277.2% above this industry median. Based on the distribution chart, Red Violet ranks #2349 out of 2636 companies in the Software industry, which is in the bottom quartile relative to peers. Overall, Red Violet has a GF Score™ of 68/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Red Violet's PB Ratio compare to GTM and MITK?
According to the Software industry distribution chart, Red Violet ranks #2349 out of 2636 companies for PB Ratio. This places Red Violet in the lower half of its industry. The industry median PB Ratio is 2.37. Red Violet's value of 8.94 is 277.2% above this benchmark. Historically, Red Violet's own PB Ratio has ranged from 1.34 to 10.57 over the past decade. While the company's 10-year median is 4.65 vs. the industry median of 2.37, Red Violet has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good PB Ratio for a Software company?
The median PB Ratio among Software companies is 2.37, based on 2,636 companies in the industry. Companies in the top quartile (top 25%) have a PB Ratio significantly above this median, while those in the bottom quartile fall well below. However, PB Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Red Violet's current PB Ratio of 8.94 is 277.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high PB Ratio mean?
A high PB Ratio can signal that a stock is expensive relative to its fundamentals. Price-to-Book ratio is the ratio of share price to a company's book value per share. View historical data on Red Violet and its competitors. For the Software industry, the median PB Ratio is 2.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Red Violet's current PB Ratio is 8.94, which is 92% above median its own 10-year median of 4.65. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Red Violet stock overvalued right now?
Based on GuruFocus' analysis, Red Violet (RDVT) is currently considered Significantly Overvalued. The stock's GF Value™ is $41.88, compared to a current price of $66.25 — trading 58.2% above its estimated fair value. The current PB Ratio is 8.94, which is 92% above median its 10-year median of 4.65 and 277.2% above the Software industry median of 2.37. Red Violet's overall GF Score™ is 68/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PB Ratio calculated?
PB Ratio is calculated from a company's financial statements. For Red Violet (RDVT), the current PB Ratio is 8.94 as of Jul. 21, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Red Violet (RDVT) Overvalued in 2026?
Based on GuruFocus' analysis, Red Violet stock appears to be overvalued.
The current stock price of $66.25 is trading 58.2% above its estimated GF Value™ of $41.88.
GuruFocus considers Red Violet to be Significantly Overvalued.
Key valuation signals for RDVT:
PB Ratio: 8.94 (92% above median its 10-year median of 4.65)
GF Value™: $41.88 vs. price of $66.25 (58.2% above fair value)
Industry Position: 277.2% above the Software median (#2349 of 2636)
No single metric tells the full story. See the RDVT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Red Violet Inc builds proprietary technologies and applies analytical capabilities to deliver identity intelligence. The company's solutions enable the real-time identification and location of people, businesses, assets, and their interrelationships. These solutions are used for purposes including identity verification, risk mitigation, due diligence, fraud detection and prevention, regulatory compliance, and customer acquisition. Its cloud-native, AI-enabled identity intelligence platform, CORE, is purpose-built for the enterprise, yet flexible enough for organizations of all sizes, bringing clarity to massive datasets by transforming data into intelligence. The company generates substantially all of its revenue from licensing its solutions.
68GF Score
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