RDVT (Red Violet) Risk Assessment

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

RDVT Red Violet Inc RDVT
68 GF Score
Price $66.25
GF Value $41.88
Valuation Significantly Overvalued
! 4 Warning Signs
View Full Analysis

What is Red Violet Risk Assessment?

Risk Assessment represents the investment risk of a stock derived from our exclusive method. It suggests how risky the investment opportunity is based on the valuation and the fundamental performance of the stock. It is derived from following key aspects:

1. GuruFocus internally developed valuations of the stock, such as GF valuation.
2. Quality Rank, a business quality indicator developed by GuruFocus.
3. Fundamental performance: Piotroski F-Score, Altman Z-Score, Beneish M-Score, etc.
4. Growth opportunities: 5-year revenue growth rate, 5-Year EPS without NRI Growth Rate, etc.

Value investors are always willing to find undervalued stocks. However, not all the undervalued stocks are good deals, we should also be careful of how risky the investment opportunity is. We believe that if the company's financial strength and profitability are strong, and the stock price is within a reasonable range of the GF valuation, or stock has a high return with its price being undervalued, then it might be a good investment opportunity with low risk.

Based on those aspects listed above, GuruFocus believes the risk assessment of Red Violet is: Moderate Risk: Sensitive, better choose undervalued stock.

Red Violet  (NAS:RDVT) Risk Assessment Explanation

Based on the four aspects listed above, GuruFocus provides the following 7 evaluations:

All-in-One Screener Examples (1)
Low Risk: Strong fundamentals, worth long-term holding
Moderate Risk: Sensitive, better choose undervalued stock
High Risk: High uncertainty with risk-return tradeoff
High Risk: Good fundamentals, beware of shrinking business
High Risk: Sensitive to economic or industry trends
High Risk: High uncertainty
No Data: Cannot be evaluated

(1) These are some simple examples. You can access our Risk Assessment filter under All-in-One Screener’s Fundamental tab and set your own criteria.

Red Violet Risk Assessment Related Terms

RDVT vs GTM, MITK, IBTA: Risk Assessment Comparison

For the Software - Application subindustry, Red Violet's Risk Assessment, along with its competitors' market caps and Risk Assessment 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 Risk Assessment vs Software Industry

For the Software industry and Technology sector, Red Violet's Risk Assessment distribution charts can be found below:

* The bar in red indicates where Red Violet's Risk Assessment falls into.


RDVT
68GF Score
Red Violet Inc RDVT
Risk Assessment is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

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:

  • Risk Assessment:
  • GF Value™: $41.88 vs. price of $66.25 (58.2% above fair value)
  • GF Score™: 68/100 with 4 warning signs

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 Business Description

Other Exchanges 2KH:Germany
Address 2650 North Military Trail, Suite 300, Boca Raton, FL, USA, 33431
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

Get the complete analysis for RDVT

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

$66.25
Price
$41.88
GF Value