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Revolve Group

RVLV
49
Specialty Retail · Consumer Cyclical
Price
$23.76
-0.39 (-1.61%)
Market Cap
$1.70B
Winston Score
49
Winston is serious
Mixed quality — meaningful strengths and weaknesses.
Data as of Aug 23, 2026 · filings through Jun 30, 2026
How the score breaks down
Quality
Good
Growth
Exceptional
Cash Flow
Mixed
Stability
Good
Valuation
Mixed

Share count falling — buybacks

3.3% over 4y

The company has reduced its share count over this period, returning value to shareholders through buybacks.

Diluted shares outstanding: 74.5M (2021) → 72.1M (2025)

Winston Score History

The full picture

Revolve Group is an online fashion retailer that sells clothing, shoes, and accessories mainly to younger women in their 20s and 30s. It operates two websites — REVOLVE, which targets trend-focused shoppers, and FWRD, which carries higher-end luxury brands. The company is known for using social media influencers and celebrity partnerships to market its products instead of traditional advertising.

Revolve makes money by selling apparel and accessories directly to customers through its websites, keeping over half of each sale as gross profit. It operates primarily in the United States but ships internationally, generating roughly $1 billion in annual net sales. Its main competitive advantage is its data-driven inventory system, which helps it avoid excess stock and stay current with fast-moving fashion trends. The biggest risk the company faces is that consumer spending on discretionary items like fashion tends to drop sharply during economic slowdowns, which can quickly hurt sales and margins.

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+12.4% YoY

YoY Growth Rate

Steady revenue growth

EPS Growth

+85.7% YoY

YoY Growth Rate

Strong earnings growth

R&D Spend

$0/ year

0.0% of revenue

Below sector average (4%)

Research and development spending

Insider Activity

0.6%ownership

Flat

Insider ownership roughly steady over the past year

Cash Runway

~7 years

$329M cash & investments

Quarterly Free Cash Flow

↑ Burn rate improving

$329M cash & investments at current burn rate

Growth context

Revolve Group is growing revenue at 12% year-over-year. The Winston Score measures business quality today — these growth metrics show what could matter tomorrow.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

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Quality

Profit per sale
Gross Margin
56.6%
Premium pricing power — 56.6% gross margin
Profit after running costs
Operating Margin
6.4%
Modest — 6.4% operating margin
Return on the money invested
ROCE
14.9%
Good — 14.9% return on capital

ROIC between 5% and 15%. They earn 5 to 15 cents back per year on every dollar invested.

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Growth

Sales growth
Sales YoY
+10.8%
Steady sales growth (+10.8% YoY)
Profit growth
EPS YoY
+59.4%
Earnings growing fast (+59.4% YoY)

Earnings growing 25%+ a year. The compounder zone.

How steady the profit is
EPS Consistency
7/8 quarters
Every recent quarter grew earnings vs last year

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Cash Flow

Profit that turns into cash
Cash Conversion
59%
Weak — only 59% of profit becomes cash
Spare cash per sale
FCF Margin
1.9%
Thin free cash flow (1.9%)

FCF margin between 0% and 10%. Some cash from sales, but not a lot.

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Stability

What it owes vs what it owns
Debt / Equity
N/A
Data not available
Covers its interest
Interest Cover
100.00x
Comfortably covers interest (100.0x)

Interest coverage above 8. Profits cover interest many times over.

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Valuation

Price vs profit
P/E Ratio (TTM)
23.3x
Growth-priced — P/E 23.3

P/E above the market average. People are paying up for expected growth.

Cheaper or dearer next year
P/E vs Forward
-3.6
SLOWING
Earnings expected to fall — forward P/E higher than today

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Dividends

Not applicable for this business.
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