Revolve Group (NYSE:RVLV) Releases Earnings Results, Beats Expectations By $0.10 EPS

Revolve Group (NYSE:RVLV) posted its quarterly earnings results on Tuesday. The company reported $0.26 earnings per share for the quarter, topping analysts’ consensus estimates of $0.16 by $0.10, FiscalAI reports. Revolve Group had a net margin of 5.03% and a return on equity of 12.39%. The business had revenue of $324.37 million for the quarter, compared to analysts’ expectations of $305.83 million. During the same period in the prior year, the company posted $0.17 EPS. The business’s revenue for the quarter was up 10.4% on a year-over-year basis.

Here are the key takeaways from Revolve Group’s conference call:

• Revolve delivered a strong Q4 and full-year 2025 — Q4 net sales of $324M (+10% YoY), Q4 adjusted EBITDA of $26M (+44% YoY) and full-year adjusted EBITDA of $94M (+35% YoY); year-end cash exceeded $300M with no debt.
• Management says AI-driven personalization and search improvements generated several million dollars of annualized revenue and boosted conversion and operational efficiency, with generative-AI features and agentic chat now in testing.
• FWRD (luxury) showed accelerating momentum — Q4 net sales +14%, FWRD gross profit dollars +33% and record Q4 margin, helped by a personal-shopping program (≈100% sales growth in 2025) and opportunities to capture share as weaker luxury competitors exit.
• Owned brands now represent 20% of Revolve segment sales (up ~2 pts YoY); management targets materially higher penetration (mid-30s cited as attainable over time) and plans major owned-brand initiatives in 2026 that could lift gross margin.
• Management warns of near-term margin variability from tariff uncertainty (guidance excludes potential refunds) and plans to increase marketing spend (~+125–140 bps) and modestly higher G&A in 2026, which could pressure short-term profitability before expected long-term benefits.

Revolve Group Trading Up 7.8%

NYSE:RVLV traded up $1.89 during midday trading on Thursday, hitting $26.25. 691,005 shares of the stock were exchanged, compared to its average volume of 1,153,423. The company has a market capitalization of $1.87 billion, a price-to-earnings ratio of 31.00, a P/E/G ratio of 2.45 and a beta of 1.79. Revolve Group has a one year low of $16.80 and a one year high of $31.68. The business has a 50-day moving average price of $28.45 and a two-hundred day moving average price of $24.85.

Analysts Set New Price Targets

RVLV has been the subject of a number of research analyst reports. BTIG Research upped their price objective on Revolve Group from $30.00 to $35.00 and gave the stock a “buy” rating in a report on Wednesday. Robert W. Baird set a $29.00 target price on Revolve Group in a research report on Wednesday, December 17th. Zacks Research upgraded shares of Revolve Group from a “hold” rating to a “strong-buy” rating in a research note on Thursday, January 8th. Stifel Nicolaus boosted their price target on Revolve Group from $28.00 to $33.00 and gave the company a “buy” rating in a report on Friday, December 12th. Finally, Jefferies Financial Group reissued a “buy” rating and issued a $34.00 target price on shares of Revolve Group in a report on Thursday, December 18th. One equities research analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating and six have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus target price of $29.50.

Key Stories Impacting Revolve Group

Here are the key news stories impacting Revolve Group this week:

• Positive Sentiment: Q4 results beat expectations: RVLV reported $0.26 EPS vs. $0.16 consensus and revenue of $324.4M vs. $305.8M expected, with double‑digit top‑line growth, a 58% jump in net income and a 44% rise in Adjusted EBITDA — the beat supports upward re‑rating. PR Newswire
• Positive Sentiment: Analyst upgrades and higher targets: Multiple firms raised targets and/or reiterated bullish ratings this week (BTIG to $35 buy; Roth MKM reaffirmed buy and raised PT to $33; Piper Sandler to $30 overweight; Morgan Stanley to $29 equal weight) — these raise the visible upside and can attract buyers. Benzinga roundup TickerReport StreetInsider
• Neutral Sentiment: Management commentary and investor materials available: The company released the earnings slide deck and call transcript that provide guidance detail and cadence for 2026 — useful for modeling but neutral until guidance changes. Slide deck Seeking Alpha presentation
• Negative Sentiment: Short interest surged in February: Shorted shares rose ~33% to ~7.32M (about 19.2% of float) with a ~6.7 days‑to‑cover — this elevated short position can pressure the stock on negative headlines and increases volatility. (Source: short interest report entry)
• Negative Sentiment: AAII flagged a recent sharp decline: An AAII piece highlighted a 12.49% drop in RVLV in a recent session — that write‑up plus heavy shorting could explain intraday swings and investor caution even after the earnings beat. AAII article

Insider Activity

In other news, CEO Michael Mente sold 114,024 shares of the business’s stock in a transaction on Wednesday, December 3rd. The stock was sold at an average price of $26.67, for a total value of $3,041,020.08. The transaction was disclosed in a filing with the SEC, which is accessible through this link. In the last 90 days, insiders sold 780,928 shares of company stock worth $22,565,084. 43.82% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Revolve Group

Several hedge funds and other institutional investors have recently bought and sold shares of the business. AQR Capital Management LLC boosted its position in shares of Revolve Group by 94.7% during the 1st quarter. AQR Capital Management LLC now owns 24,242 shares of the company’s stock valued at $521,000 after purchasing an additional 11,793 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its stake in Revolve Group by 4.4% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 22,773 shares of the company’s stock valued at $489,000 after purchasing an additional 964 shares during the last quarter. Caxton Associates LLP bought a new stake in Revolve Group during the first quarter worth approximately $232,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its position in Revolve Group by 10.3% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 109,066 shares of the company’s stock worth $2,344,000 after buying an additional 10,146 shares during the last quarter. Finally, JPMorgan Chase & Co. grew its position in Revolve Group by 13.0% in the second quarter. JPMorgan Chase & Co. now owns 41,501 shares of the company’s stock worth $832,000 after buying an additional 4,781 shares during the last quarter. 67.60% of the stock is currently owned by institutional investors.

About Revolve Group

Revolve Group, Inc operates as a leading online fashion retailer primarily serving millennial and Gen Z consumers through its flagship e-commerce platform. The company offers a curated assortment of apparel, accessories and beauty products from more than 500 established and emerging brands, alongside private label labels covering contemporary and premium segments. With a focus on trend-driven merchandise and seamless user experience, the website features shoppable editorial content and digital styling advice aimed at strengthening customer engagement and brand loyalty.

Founded in 2003 and headquartered in Cerritos, California, Revolve has expanded its footprint beyond North America by launching localized sites and logistics centers in Europe and the Middle East.