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Revolve Group (RVLV) Outpaces Stock Market Gains: What You Should Know

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In the latest trading session, Revolve Group (RVLV - Free Report) closed at $75.04, marking a +0.58% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.2%.

Coming into today, shares of the online women's fashion retailer had gained 20.79% in the past month. In that same time, the Retail-Wholesale sector gained 3.15%, while the S&P 500 gained 5.66%.

Wall Street will be looking for positivity from RVLV as it approaches its next earnings report date. This is expected to be November 3, 2021. On that day, RVLV is projected to report earnings of $0.16 per share, which would represent a year-over-year decline of 40.74%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $217.18 million, up 43.79% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $1.05 per share and revenue of $828.05 million, which would represent changes of +50% and +42.61%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for RVLV. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.36% higher. RVLV currently has a Zacks Rank of #1 (Strong Buy).

Looking at its valuation, RVLV is holding a Forward P/E ratio of 70.87. For comparison, its industry has an average Forward P/E of 57.51, which means RVLV is trading at a premium to the group.

It is also worth noting that RVLV currently has a PEG ratio of 3.42. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Internet - Commerce industry currently had an average PEG ratio of 2.87 as of yesterday's close.

The Internet - Commerce industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 166, putting it in the bottom 35% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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