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The 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk over the past year. As of today (2026-07-26), The RealReal's 1-Year Sharpe Ratio is 1.46.
The RealReal (NAS:REAL) 1-Year Sharpe Ratio Explanation
The 1-Year Sharpe Ratio inidicates the risk-adjusted return of an investment over the past year. It is calculated as the annualized result of the average monthly excess return divided by its standard deviation over the past year. The monthly excess return is the monthly investment return minus the monthly risk-free rate (typically the 10-year Treasury Constant Maturity Rate). If the risk-free rate for a specific region is not available, U.S. data is used by default.
The greater a portfolio's Sharpe Ratio, the better its risk-adjusted performance. A negative Sharpe Ratio means the risk-free rate is greater than the portfolio’s historical or projected return, or else the portfolio's return is expected to be negative.
The RealReal 1-Year Sharpe Ratio Related Terms
REAL vs MOV, ELA, CPRI: 1-Year Sharpe Ratio Comparison
For the Luxury Goods subindustry, The RealReal's 1-Year Sharpe Ratio, along with its competitors' market caps and 1-Year Sharpe 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.
The RealReal 1-Year Sharpe Ratio vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, The RealReal's 1-Year Sharpe Ratio distribution charts can be found below:
* The bar in red indicates where The RealReal's 1-Year Sharpe Ratio falls into.
The 1-Year Sharpe Ratio measures the performance of an investment such as a stock or portfolio compared to a risk-free asset. A stock / portfolio's 1-Year Sharpe Ratio can be calculated by dividing the difference between the one-year returns of the investment and the risk-free rate, by the standard deviation of the investment returns over one year.
The RealReal (REAL) has a 1-Year Sharpe Ratio of 1.46 as of Jul. 26, 2026. 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk. View historical data for The RealReal and its competitors.
Is The RealReal's 1-Year Sharpe Ratio too high?
The RealReal's current 1-Year Sharpe Ratio is 1.46. Overall, The RealReal has a GF Score™ of 59/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does The RealReal's 1-Year Sharpe Ratio compare to MOV and ELA?
The RealReal's 1-Year Sharpe Ratio of 1.46 can be compared against companies in the Retail - Cyclical industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 1-Year Sharpe Ratio for a Retail - Cyclical company?
A good 1-Year Sharpe Ratio depends on the Retail - Cyclical industry context. However, 1-Year Sharpe Ratio 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 1-Year Sharpe Ratio mean?
A high 1-Year Sharpe Ratio can signal that a stock is expensive relative to its fundamentals. 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk. View historical data for The RealReal and its competitors. The RealReal's current 1-Year Sharpe Ratio is 1.46. 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 $4.92, compared to a current price of $11.13 — trading 126.2% above its estimated fair value. The current 1-Year Sharpe Ratio is 1.46. The RealReal's overall GF Score™ is 59/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 1-Year Sharpe Ratio calculated?
1-Year Sharpe Ratio is calculated from a company's financial statements. For The RealReal (REAL), the current 1-Year Sharpe Ratio is 1.46 as of Jul. 26, 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 The RealReal (REAL) Overvalued in 2026?
Based on GuruFocus' analysis, The RealReal stock appears to be overvalued.
The current stock price of $11.13 is trading 126.2% above its estimated GF Value™ of $4.92.
GuruFocus considers The RealReal to be Significantly Overvalued.
Key valuation signals for REAL:
1-Year Sharpe Ratio: 1.46
GF Value™: $4.92 vs. price of $11.13 (126.2% 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.
59GF Score
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1-Year Sharpe Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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