Michael Burry’s Top 10 Stock Picks Heading into 2025

7) The RealReal, Inc. (NASDAQ:REAL)

Scion Asset Management’s Stake Value: $3,190,000

Number of Hedge Fund Holders: 21

The RealReal, Inc. (NASDAQ:REAL) operates an online marketplace for the resale of luxury goods in the US.

Wall Street analysts opine that The RealReal, Inc. (NASDAQ:REAL)’s focus on expanding its consignment business, which generally provides higher margins than direct sales, should continue to act as a primary growth enabler moving forward. The RealReal, Inc. (NASDAQ:REAL) is optimistic about consumer health and market trends. To enhance client experience and scale profitably, it continues to make investments in automation, AI, and data. Also, new supply channels are being explored, which include drop-ship consignment.

The RealReal, Inc. (NASDAQ:REAL) continues to focus on growth strategies, which consist of targeting the right sellers, optimization of promotional strategies, improving retention, and investing in technology. These initiatives should result in sustained growth and improved margins. In the recent earnings call, The RealReal, Inc. (NASDAQ:REAL) highlighted that sales, marketing, and stores can be the engine for the next chapter of profitable growth.

The company focuses on refining its approach and identifying attractive markets for new stores. Furthermore, it sees opportunities to drive incremental growth from new supply channels. Industry experts believe that The RealReal, Inc. (NASDAQ:REAL)’s consignment model should provide a competitive edge as it shares price fluctuations with sellers and take-rate architecture buffers against price drops.

Analysts at Northland Securities initiated coverage on the shares of The RealReal, Inc. (NASDAQ:REAL) on 16^th September. They gave an “Outperform” rating and a $6.00 target price.