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ATRENEW INC (RERE) Stock Fundamental Analysis

NYSE:RERE - New York Stock Exchange, Inc. - US00138L1089 - ADR - Currency: USD

3.65  +0.27 (+7.99%)

Fundamental Rating

5

Taking everything into account, RERE scores 5 out of 10 in our fundamental rating. RERE was compared to 122 industry peers in the Specialty Retail industry. While RERE has a great health rating, there are worries on its profitability. RERE shows excellent growth, but is valued quite expensive already.


Dividend Valuation Growth Profitability Health

3

1. Profitability

1.1 Basic Checks

In the past year RERE was profitable.
In the past 5 years RERE always reported negative net income.
The reported operating cash flow has been mixed in the past 5 years: RERE reported negative operating cash flow in multiple years.
RERE Yearly Net Income VS EBIT VS OCF VS FCFRERE Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2018 2019 2020 2021 2022 2023 2024 0 -1B -2B

1.2 Ratios

Looking at the Return On Assets, with a value of 2.37%, RERE is in line with its industry, outperforming 57.38% of the companies in the same industry.
Looking at the Return On Equity, with a value of 3.39%, RERE is in the better half of the industry, outperforming 60.66% of the companies in the same industry.
RERE has a Return On Invested Capital (3.00%) which is comparable to the rest of the industry.
Industry RankSector Rank
ROA 2.37%
ROE 3.39%
ROIC 3%
ROA(3y)-17.29%
ROA(5y)-20.7%
ROE(3y)-22.67%
ROE(5y)-27.41%
ROIC(3y)N/A
ROIC(5y)N/A
RERE Yearly ROA, ROE, ROICRERE Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2018 2019 2020 2021 2022 2023 2024 0 -50 -100 -150

1.3 Margins

The Profit Margin of RERE (0.73%) is comparable to the rest of the industry.
RERE has a Operating Margin (0.84%) which is comparable to the rest of the industry.
RERE's Gross Margin of 11.97% is on the low side compared to the rest of the industry. RERE is outperformed by 90.98% of its industry peers.
RERE's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 0.84%
PM (TTM) 0.73%
GM 11.97%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.4%
GM growth 5Y35.7%
RERE Yearly Profit, Operating, Gross MarginsRERE Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2018 2019 2020 2021 2022 2023 2024 0 10 -10 -20 -30 -40

7

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so RERE is destroying value.
The number of shares outstanding for RERE has been reduced compared to 1 year ago.
Compared to 5 years ago, RERE has about the same amount of shares outstanding.
The debt/assets ratio for RERE has been reduced compared to a year ago.
RERE Yearly Shares OutstandingRERE Yearly Shares OutstandingYearly Shares Outstanding 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M 200M
RERE Yearly Total Debt VS Total AssetsRERE Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B

2.2 Solvency

RERE has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF N/A
Altman-Z N/A
ROIC/WACC0.37
WACC8.08%
RERE Yearly LT Debt VS Equity VS FCFRERE Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2018 2019 2020 2021 2022 2023 2024 0 2B 4B 6B

2.3 Liquidity

RERE has a Current Ratio of 2.92. This indicates that RERE is financially healthy and has no problem in meeting its short term obligations.
RERE's Current ratio of 2.92 is amongst the best of the industry. RERE outperforms 92.62% of its industry peers.
A Quick Ratio of 2.44 indicates that RERE has no problem at all paying its short term obligations.
The Quick ratio of RERE (2.44) is better than 94.26% of its industry peers.
Industry RankSector Rank
Current Ratio 2.92
Quick Ratio 2.44
RERE Yearly Current Assets VS Current LiabilitesRERE Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B

8

3. Growth

3.1 Past

RERE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 164.02%, which is quite impressive.
The Revenue has grown by 26.08% in the past year. This is a very strong growth!
Measured over the past years, RERE shows a very strong growth in Revenue. The Revenue has been growing by 32.94% on average per year.
EPS 1Y (TTM)164.02%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%269.23%
Revenue 1Y (TTM)26.08%
Revenue growth 3Y28.03%
Revenue growth 5Y32.94%
Sales Q2Q%27.45%

3.2 Future

The Earnings Per Share is expected to grow by 52.75% on average over the next years. This is a very strong growth
RERE is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 24.64% yearly.
EPS Next Y22.22%
EPS Next 2Y52.75%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year25.23%
Revenue Next 2Y24.64%
Revenue Next 3YN/A
Revenue Next 5YN/A

3.3 Evolution

The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
RERE Yearly Revenue VS EstimatesRERE Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2018 2019 2020 2021 2022 2023 2024 2025 2026 5B 10B 15B 20B 25B
RERE Yearly EPS VS EstimatesRERE Yearly EPS VS EstimatesYearly EPS VS Estimates 2021 2022 2023 2024 2025 2026 0 -1 -2 -3

1

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 45.63 indicates a quite expensive valuation of RERE.
The rest of the industry has a similar Price/Earnings ratio as RERE.
The average S&P500 Price/Earnings ratio is at 27.48. RERE is valued rather expensively when compared to this.
RERE is valuated quite expensively with a Price/Forward Earnings ratio of 61.19.
RERE's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. RERE is more expensive than 61.48% of the companies in the same industry.
RERE is valuated expensively when we compare the Price/Forward Earnings ratio to 36.52, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 45.63
Fwd PE 61.19
RERE Price Earnings VS Forward Price EarningsRERE Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

The rest of the industry has a similar Enterprise Value to EBITDA ratio as RERE.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 13.73
RERE Per share dataRERE EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 2 4 6 8 10

4.3 Compensation for Growth

The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as RERE's earnings are expected to grow with 52.75% in the coming years.
PEG (NY)2.05
PEG (5Y)N/A
EPS Next 2Y52.75%
EPS Next 3YN/A

0

5. Dividend

5.1 Amount

RERE does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

ATRENEW INC

NYSE:RERE (7/18/2025, 3:17:04 PM)

3.65

+0.27 (+7.99%)

Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)05-20 2025-05-20/bmo
Earnings (Next)08-18 2025-08-18
Inst Owners36.7%
Inst Owner Change0%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap809.21M
Analysts85.71
Price Target5.1 (39.73%)
Short Float %0.49%
Short Ratio0.6
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-1.09%
Min Revenue beat(2)-1.18%
Max Revenue beat(2)-1%
Revenue beat(4)0
Avg Revenue beat(4)-0.94%
Min Revenue beat(4)-1.18%
Max Revenue beat(4)-0.43%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-16.18%
EPS NY rev (1m)-18.52%
EPS NY rev (3m)-18.52%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.64%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.7%
Valuation
Industry RankSector Rank
PE 45.63
Fwd PE 61.19
P/S 0.34
P/FCF N/A
P/OCF N/A
P/B 1.55
P/tB 1.57
EV/EBITDA 13.73
EPS(TTM)0.08
EY2.19%
EPS(NY)0.06
Fwd EY1.63%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS10.88
BVpS2.35
TBVpS2.33
PEG (NY)2.05
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA 2.37%
ROE 3.39%
ROCE 3.8%
ROIC 3%
ROICexc 3%
ROICexgc 3.03%
OM 0.84%
PM (TTM) 0.73%
GM 11.97%
FCFM N/A
ROA(3y)-17.29%
ROA(5y)-20.7%
ROE(3y)-22.67%
ROE(5y)-27.41%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.4%
GM growth 5Y35.7%
F-ScoreN/A
Asset Turnover3.24
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF N/A
Debt/EBITDA 0
Cap/Depr N/A
Cap/Sales N/A
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 2.92
Quick Ratio 2.44
Altman-Z N/A
F-ScoreN/A
WACC8.08%
ROIC/WACC0.37
Cap/Depr(3y)21.03%
Cap/Depr(5y)18.67%
Cap/Sales(3y)0.55%
Cap/Sales(5y)0.67%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)164.02%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%269.23%
EPS Next Y22.22%
EPS Next 2Y52.75%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)26.08%
Revenue growth 3Y28.03%
Revenue growth 5Y32.94%
Sales Q2Q%27.45%
Revenue Next Year25.23%
Revenue Next 2Y24.64%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y197.52%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year39.3%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y266.67%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y163.53%
OCF growth 3YN/A
OCF growth 5YN/A