Stock fact sheet · data as of
Rent the Runway, Inc. (RENT): fair value, margin of safety and Wheel Score
Consumer Cyclical · Apparel - Retail · United States · Value
Is RENT undervalued?
At 1.71 (close of 16 Oct 2026), RENT trades 95% below the GLS average fair value of 34.24. That average comes from 4 models run on the latest filings, and 4 of them land above the current price. Margins of safety over 30% are the exception rather than the rule across the ~7,400 stocks we value each night, so the number earns Rent the Runway, Inc. the full Value points in the Wheel Score - and a closer look at what the market is pricing in.
There is a wide gap between EPV (14.33) and Graham Growth (73.77). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.
The nightly engine files RENT under Value: positive earnings at a P/E of 18 or less.
Nine valuation models for RENT
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | - | - | Present value of the projected free cash flows, discounted at the cost of capital; no value tonight |
| Graham Number | - | - | The most a defensive investor pays for the earnings and book value per share; no value tonight |
| Graham Growth | 73.77 | +4214% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 32.24 | +1785% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 16.62 | +872% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | - | - | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10%; no value tonight |
| Payback Time | - | - | Eight years of compounded free cash flow: the price at which the business pays for itself; no value tonight |
| DDM | - | - | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend; no value tonight |
| EPV | 14.33 | +738% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -5.67 | -432% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 12.00 | +602% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Rent the Runway, Inc. scores 6 of 9 on the Piotroski F-score: a middling result that passes the Sunday Scan's "6 or more" rule. Some of the nine tests on profitability, leverage and efficiency are failed, so the accounts are worth a look before selling a put on the name. A GLS Moat score of 1.4/10 is a weak reading: the ten-year history the score grades (revenue, EPS, book value, margins, cash flow, share count, ROIC) has not been steady, so the Moat part of the Wheel Score contributes little.
Returns on capital are high - ROIC 13.9%, ROE -62.6%, ROA 10.2% - with debt at -5.49 times equity and negative free cash flow.
Rent the Runway, Inc. pays no dividend, so the DDM model does not apply and a covered-call holder earns only the premium and any price gain. Revenue comes mainly from Tv Essentials 54%, Movies Everywhere 29%, OnDemand Everywhere 14% (fiscal year FY2014).
Institutional ownership scores 1/10, insider activity 1/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 6 / 9 | ROIC | 13.9% |
|---|---|---|---|
| GLS Moat | 1.4 / 10 | ROE | -62.6% |
| Debt / equity | -5.49 | ROA | 10.2% |
| Free-cash-flow yield | -87.6% | Payout ratio | 0% |
| Institutions | 1 / 10 | Insiders · Congress | 1 · 5 / 10 |
Wheel Score 39: No options
No options are listed on Rent the Runway, Inc. in our nightly snapshot. The Wheel Score is therefore capped at 39 (it reads 39) and the stock is left out of every options screen; the fair value and health figures above are still useful for a plain stock position.
Volume runs at 79k shares a day on a market cap of $57M, with a beta of 1.24 - a high beta, so the stock tends to move more than the market and a strike can be gapped through; the Stability part of the Wheel Score gives that 6 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 25 / 25 | 95% margin of safety | |
| Health | 13 / 20 | Piotroski 6/9 | |
| Moat | 2 / 15 | moat 1.4/10 | |
| Premium | 0 / 20 | no option data | |
| Stability | 6 / 20 | 79k shares/day, $57M cap, beta 1.24 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
The next earnings report is due on 10 Dec 2026, 55 days away - outside the window of a 30-45-day put sold today.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Apparel - Retail
The 12 companies below are the closest to Rent the Runway, Inc. by market cap within the Apparel - Retail industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| CATO The Cato Corporation | 2.36 | 1.27 | -87% | 35Weak | $43M |
| LVLU Lulu's Fashion Lounge Holdings, Inc. | 14.23 | 9.21 | -54% | 17No options | $41M |
| BRIA Brillia Inc | 1.34 | 1.28 | -4% | 18No options | $34M |
| AKA a.k.a. Brands Holding Corp. | 10.18 | 29.36 | +65% | 39No options | $112M |
| PLCE The Children's Place, Inc. | 1.19 | 35.81 | +97% | 45Weak | $26M |
| DXLG Destination XL Group, Inc. | 0.4401 | 3.52 | +87% | 45Weak | $24M |
| TLYS Tilly's, Inc. | 4.55 | 3.27 | -39% | 37Weak | $137M |
| DLTH Duluth Holdings Inc. | 4.00 | 10.22 | +61% | 64Fair | $152M |
| ZUMZ Zumiez Inc. | 14.12 | 36.18 | +61% | 74Good | $216M |
| KMFG Keemo Fashion Group Ltd. | 0.2500 | - | - | 19No options | $14M |
| CURV Torrid Holdings Inc. | 2.45 | 14.03 | +83% | 45Weak | $244M |
| JILL J.Jill, Inc. | 24.68 | 53.48 | +54% | 39No options | $278M |
⚖ Compare RENT with 7 of them All Consumer Cyclical stocks →
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Start free See the Sunday ScanQuestions about RENT
Is RENT undervalued right now?
By the GLS models, yes: at 1.71 the stock is 95% below the average fair value of 34.24 (data as of 16 Oct 2026). Whether the discount is deserved is the question to research next.
What is the Wheel Score of RENT and what does it mean?
RENT has no listed options in our nightly snapshot, so it cannot be wheeled; its Wheel Score is capped at 39 and shown as "No options".
What is the GLS fair value for RENT?
34.24 per share as of 16 Oct 2026 - the simple average of the 4 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Rent the Runway, Inc. report earnings next?
The next earnings report is due on 10 Dec 2026, 55 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does RENT have listed options, and how liquid are they?
No. The nightly options snapshot found no listed contracts on RENT, so the wheel strategy cannot be run on it and the Wheel Score is capped at 39.