RENT (Rent the Runway) Pretax Margin %: -21.02% (As of Apr. 2026)


RENT Rent the Runway Inc RENT
51 GF Score
Price $3.21
GF Value $3.69
Valuation Modestly Undervalued
! 5 Warning Signs
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What is Rent the Runway Pretax Margin %?

Rent the Runway RENT +3.39% 51 Pretax Margin % is -21.02% as of Apr. 2026. GuruFocus rates RENT with a GF Score™ of 51/100 and a GF Value™ of $3.69 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 1,128 Retail - Cyclical companies, Rent the Runway ranks better than 73.32% on this metric.

Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. Rent the Runway's Pre-Tax Income for the three months ended in Apr. 2026 was $-18.9 Mil. Rent the Runway's Revenue for the three months ended in Apr. 2026 was $89.9 Mil. Therefore, Rent the Runway's pretax margin for the quarter that ended in Apr. 2026 was -21.02%.

The historical rank and industry rank for Rent the Runway's Pretax Margin % or its related term are showing as below:

RENT' s Pretax Margin % Range Over the Past 10 Years
Min: -108.63   Med: -46.86   Max: 8.48
Current: 8.48


RENT's Pretax Margin % is ranked better than
73.32% of 1128 companies
in the Retail - Cyclical industry
Industry Median: 3.135 vs RENT: 8.48

Rent the Runway  (NAS:RENT) Pretax Margin % Explanation

The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.

The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.

It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.

The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.


Rent the Runway Pretax Margin % Related Terms


Rent the Runway Pretax Margin % Historical Data

* Premium members only.

The historical data trend for Rent the Runway's Pretax Margin % 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.

Rent the Runway Pretax Margin % Chart

Rent the Runway Annual Data
Trend Jan20 Jan21 Jan22 Jan23 Jan24 Jan25 Jan26
Pretax Margin %
Get a 7-Day Free Trial -104.33 -46.86 -37.89 -22.73 6.88

Rent the Runway Quarterly Data
Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26 Apr26
Pretax Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -37.21 -32.63 87.33 -1.64 -21.02

RENT vs TLYS, DLTH, CURV: Pretax Margin % Comparison

For the Apparel Retail subindustry, Rent the Runway's Pretax Margin %, along with its competitors' market caps and Pretax Margin % 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.


Rent the Runway Pretax Margin % vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Rent the Runway's Pretax Margin % distribution charts can be found below:

* The bar in red indicates where Rent the Runway's Pretax Margin % falls into.


RENT
51GF Score
Rent the Runway Inc RENT
Pretax Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Rent the Runway Pretax Margin % Calculation

Pretax margin - also known as pretax profit margin is the ratio of Pretax Income divided by net sales or Revenue, usually presented in percent.

Rent the Runway's Pretax Margin for the fiscal year that ended in Jan. 2026 is calculated as

Pretax Margin=Pre-Tax Income (A: Jan. 2026 )/Revenue (A: Jan. 2026 )
=22.7/329.8
=6.88 %

Rent the Runway's Pretax Margin for the quarter that ended in Apr. 2026 is calculated as

Pretax Margin=Pre-Tax Income (Q: Apr. 2026 )/Revenue (Q: Apr. 2026 )
=-18.9/89.9
=-21.02 %

* 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.

Frequently Asked Questions Learn more about Pretax Margin % →
What does a Pretax Margin % of -21.02% mean?
Rent the Runway (RENT) has a Pretax Margin % of -21.02% as of Apr. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Rent the Runway and its competitors. According to the industry distribution chart, Rent the Runway ranks #301 out of 1128 companies in the Retail - Cyclical industry, placing it in the top 26.7%.
Is Rent the Runway's Pretax Margin % too high?
Rent the Runway's current Pretax Margin % is -21.02%. Based on the distribution chart, Rent the Runway ranks #301 out of 1128 companies in the Retail - Cyclical industry, which is above the industry midpoint. Overall, Rent the Runway has a GF Score™ of 51/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Rent the Runway's Pretax Margin % compare to TLYS and DLTH?
According to the Retail - Cyclical industry distribution chart, Rent the Runway ranks #301 out of 1128 companies for Pretax Margin %. This puts Rent the Runway in the upper half of its industry. The industry median Pretax Margin % is 3.14. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Pretax Margin % for a Retail - Cyclical company?
The median Pretax Margin % among Retail - Cyclical companies is 3.14, based on 1,128 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Rent the Runway and its competitors. For the Retail - Cyclical industry, the median Pretax Margin % is 3.14 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Rent the Runway's current Pretax Margin % is -21.02%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rent the Runway stock overvalued right now?
Based on GuruFocus' analysis, Rent the Runway (RENT) is currently considered Modestly Undervalued. The stock's GF Value™ is $3.69, compared to a current price of $3.21 — trading 13.1% below its estimated fair value. The current Pretax Margin % is -21.02%. Rent the Runway's overall GF Score™ is 51/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For Rent the Runway (RENT), the current Pretax Margin % is -21.02% as of Apr. 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 Rent the Runway (RENT) Overvalued in 2026?

Based on GuruFocus' analysis, Rent the Runway stock appears to be undervalued. The current stock price of $3.21 is trading 13.1% below its estimated GF Value™ of $3.69. GuruFocus considers Rent the Runway to be Modestly Undervalued.

Key valuation signals for RENT:

  • Pretax Margin %: -21.02%
  • GF Value™: $3.69 vs. price of $3.21 (13.1% below fair value)
  • GF Score™: 51/100 with 5 warning signs

No single metric tells the full story. See the RENT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Rent the Runway Business Description

Address 10 Jay Street, Brooklyn, NY, USA, 11201
Rent the Runway Inc is an e-commerce platform that allows users to rent, subscribe to, or buy designer apparel and accessories. The company gives customers access to its unlimited closet through its subscription offering (Subscription) or the ability to rent a-la-carte through its reserve offering (Reserve). The company also gives its subscribers and customers the ability to buy its products through its Resale offering. The Closet in the Cloud offers a wide assortment of items for every occasion, from evening wear and accessories to ready-to-wear, workwear, denim, casual, maternity, outerwear, blouses, knitwear, loungewear, jewelry, handbags, activewear, and ski wear.
51GF Score

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Pretax Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$3.21
Price
$3.69
GF Value