Rent the Runway Inc
RENTBuild a strategy around RENT
Rent the Runway Inc AI Insights
Informational only. Not investment advice.Snapshot
- Negative equity (-35.1M) with 202.3M debt creates 5.8x debt/EBITDA leverage - balance sheet stress despite positive net income TTM[Total Equity]
- FCF of -76.3M TTM despite 73.5M EBITDA - 74.1M capex consuming all operating cash, unsustainable without financing[Free Cash Flow TTM]
- Gross margin 72.3% TTM vs industry median 43.8% - 1.65x advantage, but -20.3% operating margin shows cost structure issues[Gross Margin TTM]
Watch Triggers
- Free Cash Flow TTM: Turns positive or burn rate exceeds -100M — Cash runway is <12 months at current burn; FCF inflection is survival signal
- Capital Expenditure TTM: Drops below 50M (16% of revenue) — Capex normalization is the primary lever to FCF breakeven
- Total Debt: Increases above 220M or covenant breach disclosure — Refinancing risk is existential given negative equity position
Bull Case
72.3% gross margin with 15% revenue growth TTM - if capex normalizes to 10% of revenue, FCF could swing +50M annually
P/S of 0.11x vs industry median 1.12x - 90% discount implies near-zero survival probability already priced in
Bear Case
Negative equity (-35.1M) and 50.7M cash vs 202.3M debt - 12-18 months runway without refinancing or equity raise
FCF burn of -76.3M TTM with only 50.7M cash - requires continued capital market access to survive
Bull vs Bear Balance
AI-generated sentiment analysis based on fundamental metrics and market conditions.
Leverage RENT's top insights and create a custom strategy based on them in seconds. Our AI editor does it all — in one click.
Forward Thesis
Path to profitability hinges on capex normalization - current 24% of revenue rate must decline to <10%
- Rental fleet investment cycle maturing
- Revenue growth 15% 1Y outpacing capex needs
- Gross margins stable at 72%+
Valuation Context
Caveats
RENT Fundamentals
| Metric | Value | YoY Growth | Industry Percentile |
|---|---|---|---|
$111.17M | — | ||
$271.27M | — | ||
0.44 | — | ||
$350.1M | +16.4% | — | |
$7.57 | — | ||
-16.4% | +0.4% | — | |
8.51% | +33.1% | — | |
$-85.2M | — | ||
0% | — | ||
Beta 5Y (Monthly) | unknown | — |
RENT Dividend History
RENT Stock Splits
RENT SEC Filings
| Filing Date | Report Date | Report Type | Filing Link |
|---|---|---|---|
06/03/26 | 04/30/26 | 10-Q | |
04/14/26 | 01/31/26 | 10-K | |
12/12/25 | 10/31/25 | 10-Q | |
09/12/25 | 07/31/25 | 10-Q | |
06/06/25 | 04/30/25 | 10-Q | |
04/15/25 | 01/31/25 | 10-K | |
12/09/24 | 10/31/24 | 10-Q | |
09/06/24 | 07/31/24 | 10-Q | |
06/06/24 | 04/30/24 | 10-Q | |
04/11/24 | 01/31/24 | 10-K | |
12/06/23 | 10/31/23 | 10-Q | |
09/08/23 | 07/31/23 | 10-Q | |
06/08/23 | 04/30/23 | 10-Q | |
04/13/23 | 01/31/23 | 10-K | |
12/09/22 | 10/31/22 | 10-Q | |
09/13/22 | 07/31/22 | 10-Q | |
06/10/22 | 04/30/22 | 10-Q | |
04/14/22 | 01/31/22 | 10-K | |
12/10/21 | 10/31/21 | 10-Q | |
10/27/21 | 07/31/21 | 424B4 | |
06/10/22 | 04/30/21 | 10-Q | |
10/27/21 | 01/31/21 | 424B4 | |
12/10/21 | 10/31/20 | 10-Q |