The RealRealREAL -5.12%58 3-Year ROIIC % is -536.19 as of Dec. 2025. GuruFocus rates REAL with a GF Score™ of 58/100 and a GF Value™ of $4.91 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 1,053 Retail - Cyclical companies, The RealReal ranks worse than 98.58% on this metric.
3-Year Return on Invested Incremental Capital (3-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 3-year.
The RealReal's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was -536.19%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for The RealReal's 3-Year ROIIC % or its related term are showing as below:
REAL's 3-Year ROIIC % is ranked worse than 98.58% of 1053
companies
in the Retail - Cyclical industry
Industry Median: 4.82
vs REAL: -536.19
The RealReal (NAS:REAL) 3-Year ROIIC % Explanation
Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.
High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
Be Aware
It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.
The RealReal 3-Year ROIIC % Related Terms
The RealReal 3-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for The RealReal's 3-Year ROIIC % 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 Luxury Goods subindustry, The RealReal's 3-Year ROIIC %, along with its competitors' market caps and 3-Year ROIIC % 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.
The RealReal 3-Year ROIIC % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, The RealReal's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where The RealReal's 3-Year ROIIC % falls into.
The RealReal's 3-Year ROIIC % for the quarter that ended in Dec. 2025 is calculated as:
3-Year ROIIC %
=
3-Year Incremental Net Operating Profit After Taxes (NOPAT)**
/
3-Year Incremental Invested Capital**
=
( -23.934 (Dec. 2025) - -188.267 (Dec. 2022) )
/
( 290.761 (Dec. 2025) - 321.409 (Dec. 2022) )
=
164.333
/
-30.648
=
-536.19%***
* 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.
** Annual data of NOPAT and Invested Capital was used to calculate 3-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.
The RealReal (REAL) has a 3-Year ROIIC % of -536.19 as of Dec. 2025. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on The RealReal and its competitors. According to the industry distribution chart, The RealReal ranks #1038 out of 1053 companies in the Retail - Cyclical industry, placing it in the top 98.6%.
Is The RealReal's 3-Year ROIIC % too high?
The RealReal's current 3-Year ROIIC % is -536.19. Based on the distribution chart, The RealReal ranks #1038 out of 1053 companies in the Retail - Cyclical industry, which is in the bottom quartile relative to peers. Overall, The RealReal has a GF Score™ of 58/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does The RealReal's 3-Year ROIIC % compare to MOV and ELA?
According to the Retail - Cyclical industry distribution chart, The RealReal ranks #1038 out of 1053 companies for 3-Year ROIIC %. This places The RealReal in the lower half of its industry. The industry median 3-Year ROIIC % is 4.82. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year ROIIC % for a Retail - Cyclical company?
The median 3-Year ROIIC % among Retail - Cyclical companies is 4.82, based on 1,053 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year ROIIC % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year ROIIC % 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 3-Year ROIIC % mean?
A high 3-Year ROIIC % can signal that a stock is expensive relative to its fundamentals. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on The RealReal and its competitors. For the Retail - Cyclical industry, the median 3-Year ROIIC % is 4.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The RealReal's current 3-Year ROIIC % is -536.19. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The RealReal stock overvalued right now?
Based on GuruFocus' analysis, The RealReal (REAL) is currently considered Significantly Overvalued. The stock's GF Value™ is $4.91, compared to a current price of $11.59 — trading 135.9% above its estimated fair value. The current 3-Year ROIIC % is -536.19. The RealReal's overall GF Score™ is 58/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year ROIIC % calculated?
3-Year ROIIC % is calculated from a company's financial statements. For The RealReal (REAL), the current 3-Year ROIIC % is -536.19 as of Dec. 2025. 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 The RealReal (REAL) Overvalued in 2026?
Based on GuruFocus' analysis, The RealReal stock appears to be overvalued.
The current stock price of $11.59 is trading 135.9% above its estimated GF Value™ of $4.91.
GuruFocus considers The RealReal to be Significantly Overvalued.
Key valuation signals for REAL:
3-Year ROIIC %: -536.19
GF Value™: $4.91 vs. price of $11.59 (135.9% above fair value)
No single metric tells the full story. See the REAL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
The RealReal Inc is an online marketplace for authenticated, resale luxury goods, providing an end-to-end service that unlocks supply and creates a trusted, curated marketplace for buyers globally. Since its inception, the company has cultivated a loyal and engaged consignor and buyer base through continuous investment in its technology platform, logistics infrastructure, brand and people. It offers a wide selection of authenticated, mainly pre-owned luxury goods bearing the brands of thousands of luxury and premium designers, including Cartier, Chanel, Christian Dior, Gucci, Hermes, Louis Vuitton and Rolex. The company offers products across women's fashion, men's fashion, jewelry, and watches, promoting the recirculation of luxury goods and contributing to a more sustainable world.
58GF Score
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