olivLaw · US equity research
Rent the Runway, Inc. RENT
Retail-Retail Stores, NEC · SIC 5990 · Vertical: Retail-Retail Stores, NEC (SIC 5990)
Rent the Runway rents designer clothing through subscriptions, a-la-carte Reserve rentals and Resale, built on a shared «Closet in the Cloud» with partner brands. Revenue grew 20.8% year-on-year in the second quarter of 2026, and the company reaffirmed its fiscal 2026 Adjusted EBITDA margin guidance while still reporting a net loss.
At the close of 04 Nov 2026, Rent the Runway, Inc. (RENT) stock was 2.46 USD (+9.33% on the day), with market capitalisation 83.1 m USD, P/E 0.2 on diluted EPS of 12.66 USD over the last 12 months, beta 1.81, 52-week range 1.55–9.39 USD. Latest reported quarter (Q2 2027): revenue of 97.7 m USD (+20.8% YoY), net income of -12.9 m USD, diluted EPS -0.38 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 56.0
- strong (55–70)
- Bollinger (20, 2)
- 1.45 – 2.89
- in the upper half of the band · %B 0.70 · band width 66.1%
- SMA 50 / 200
- 2.32 / 4.02
- mixed trend
- MACD (12, 26, 9)
- 0.09 / 0.05
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | +58.7% | −1.1% | +59.8 pp | — |
| 3 months | −30.3% | −0.5% | −29.9 pp | — |
| 6 months | −49.0% | +4.4% | −53.4 pp | — |
| Year to date | −68.9% | +12.3% | −81.2 pp | — |
| 1 year | −35.3% | +13.5% | −48.8 pp | −17.0% |
| 3 years | −75.4% | +76.4% | −151.8 pp | −27.8% |
| 5 years | −99.3% | +63.7% | −162.9 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q2 2027 · 31 Jul 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 | Q4 '26 | Q1 '27 | Q2 '27 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 75.9 m | 76.4 m | 69.6 m | 80.9 m | 87.6 m | 91.7 m | 89.9 m | 97.7 m |
| Cost of revenue | 21.4 m | 20.2 m | 20.4 m | 22.5 m | 24.0 m | 21.6 m | 23.6 m | 23.5 m |
| Operating income | -13.7 m | -7.7 m | -19.7 m | -20.1 m | -16.2 m | -1.5 m | -19.7 m | -7.8 m |
| Pre-tax income | -18.9 m | -13.2 m | -25.9 m | -26.4 m | 76.5 m | -1.5 m | -18.9 m | -12.8 m |
| Income tax | 0 | 200.0 k | 200.0 k | 0 | 0 | -100.0 k | 0 | 100.0 k |
| Net income | -18.9 m | -13.4 m | -26.1 m | -26.4 m | 76.5 m | -1.4 m | -18.9 m | -12.9 m |
| Diluted EPS | -4.70 | -3.27 ≈ | -6.26 | -6.23 | 13.65 | -0.04 ≈ | -0.57 | -0.38 |
| Operating cash flow | 4.7 m ≈ | 1.4 m | 8.3 m | -10.5 m ≈ | -1.4 m ≈ | 7.1 m | -3.8 m | -1.2 m ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 0 percentile of its own 3-quarter history (min 0.3, median 0.7, max 6.3; quarters with earnings only).
Fiscal years
| Fiscal year | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 |
|---|---|---|---|---|---|---|---|
| Revenue | 256.9 m | 157.5 m | 203.3 m | 296.4 m | 298.2 m | 306.2 m | 329.8 m |
| Revenue YoY | unavailable | −38.7% | +29.1% | +45.8% | +0.6% | +2.7% | +7.7% |
| Net income | -153.9 m | -171.1 m | -211.8 m | -138.7 m | -113.2 m | -69.9 m | 22.6 m |
| Net income YoY | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable |
| Diluted EPS | -14.04 | -15.36 | -170.30 | -43.17 | -31.52 | -17.62 | 1.88 |
| Diluted EPS YoY | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable |
| net % | -59.9% | -108.6% | -104.2% | -46.8% | -38.0% | -22.8% | 6.9% |
| Free cash flow | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2026 · 31 Jan 2026
- Cash
- 50.4 m USD
- Financial debt
- 157.0 m USD
- Net debt
- 106.6 m USD
- Equity
- -36.1 m USD
- Total assets
- 221.0 m USD
- Debt / equity
- unavailable
- Current ratio
- 1.06x
- ROE
- unavailable
- ROA
- 9.8%
- FCF margin
- unavailable
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 157.5 m | 203.3 m | 296.4 m | 298.2 m | 306.2 m | 329.8 m | SEC (XBRL)· 14 Apr 2026verified |
| Cost of revenue | 53.0 m | 61.9 m | 92.2 m | 86.0 m | 82.8 m | 88.5 m | SEC (XBRL)· 14 Apr 2026verified |
| Gross profit | 104.5 m ≈ | 141.4 m ≈ | 204.2 m ≈ | 212.2 m ≈ | 223.4 m ≈ | 241.3 m ≈ | SEC (XBRL)· 14 Apr 2026derived |
| Operating income | -130.5 m | -125.9 m | -103.6 m | -80.0 m | -47.5 m | -57.5 m | SEC (XBRL)· 14 Apr 2026verified |
| Pre-tax income | -171.1 m | -212.1 m | -138.9 m | -113.0 m | -69.6 m | 22.7 m | SEC (XBRL)· 14 Apr 2026verified |
| Income tax | 0 | -300.0 k | -200.0 k | 200.0 k | 300.0 k | 100.0 k | SEC (XBRL)· 14 Apr 2026verified |
| Net income | -171.1 m | -211.8 m | -138.7 m | -113.2 m | -69.9 m | 22.6 m | SEC (XBRL)· 14 Apr 2026verified |
| Diluted EPS | -15.36 | -170.30 | -43.17 | -31.52 | -17.62 | 1.88 | SEC (XBRL)· 14 Apr 2026verified |
| Weighted average diluted shares | 11.1 m | 1.2 m | 3.2 m | 3.6 m | 4.0 m | 12.0 m | SEC (XBRL)· 14 Apr 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Revenue − Cost of revenue.
Balance sheet · USD
| Line | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 95.3 m | 247.6 m | 154.5 m | 84.0 m | 77.4 m | 50.4 m | SEC (XBRL)· 14 Apr 2026verified |
| Current assets | 103.4 m | 264.7 m | 172.1 m | 102.2 m | 93.9 m | 66.7 m | SEC (XBRL)· 14 Apr 2026verified |
| Property, plant & equipment, net | 64.7 m | 57.2 m | 44.7 m | 35.7 m | 28.3 m | 24.0 m | SEC (XBRL)· 14 Apr 2026verified |
| Intangibles (excl. goodwill) | 7.8 m | 6.4 m | 4.1 m | 3.4 m | 2.4 m | 2.0 m | SEC (XBRL)· 14 Apr 2026verified |
| Total assets | 320.7 m | 447.5 m | 336.2 m | 278.5 m | 240.0 m | 221.0 m | SEC (XBRL)· 14 Apr 2026verified |
| Accounts payable | 7.2 m | 15.9 m | 12.4 m | 5.8 m | 6.2 m | 9.9 m | SEC (XBRL)· 14 Apr 2026verified |
| Short-term debt | 900.0 k | 3.5 m | 0 | 1.2 m | 1.4 m | 400.0 k | SEC (XBRL)· 14 Apr 2026verified |
| Long-term debt | 355.1 m | 260.8 m | 272.5 m | 306.7 m | 333.7 m | 156.6 m | SEC (XBRL)· 14 Apr 2026verified |
| Current liabilities | 40.6 m | 68.8 m | 60.0 m | 48.1 m | 47.4 m | 63.2 m | SEC (XBRL)· 14 Apr 2026verified |
| Total liabilities | 459.3 m | 376.4 m | 371.5 m | 400.8 m | 422.5 m | 257.1 m | SEC (XBRL)· 14 Apr 2026verified |
| Equity | -526.7 m † | 71.1 m † | -35.3 m † | -122.3 m † | -182.5 m † | -36.1 m † | SEC (XBRL)· 14 Apr 2026verified |
† equity attributable to the parent's shareholders: in these years the issuer no longer reports the total including non-controlling interests.
Cash flow · USD
| Line | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | -42.8 m | -42.3 m | -47.7 m | -15.7 m | 12.9 m | 3.5 m | SEC (XBRL)· 14 Apr 2026verified |
| Investing cash flow | -58.4 m | -22.5 m | -44.3 m | -54.6 m | -20.1 m | -49.5 m | SEC (XBRL)· 14 Apr 2026verified |
| Financing cash flow | 168.5 m | 215.2 m | -4.0 m | 700.0 k | -300.0 k | 18.6 m | SEC (XBRL)· 14 Apr 2026verified |
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
- indicators available: 4 of at least 6
- score weight coverage: 29.2% of at least 60%
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 83.1 m USD
Key indicators
Coverage and freshness
Score by group
29% · Insufficient data
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 90.05 – 362.34 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)unavailable · input data missing
- Peers: EV/EBITDAunavailable · input data missing
- Peers: P/E90.05 – 362.34 (Mid 215.93)6 companies used · median multiple 17.1x · quartiles 7.1x – 28.6xBBWI, JD, SBH, SGU, ULTA, WOOF
- Dividend discount (DDM)unavailable · the company pays no dividend: a dividend model needs an explicit initiation assumption
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Insufficient data
Minimum-evidence gate: indicators available: 4 of at least 6; score weight coverage: 29.2% of at least 60%
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | unavailable | unavailable | — |
| Net margin · Quality | 11.8% | 100 (vs peers) | 21% |
| FCF conversion · Quality | unavailable | unavailable | — |
| Revenue CAGR 3Y · Growth | 3.6% | 30 (on a fixed band) | 29% |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | unavailable | unavailable | — |
| Current ratio · Balance sheet | 0.7x | 0 (on a fixed band) | 14% |
| P/E (TTM) · Valuation | 0.2x | 100 (vs peers) | 36% |
| EV/EBITDA · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | unavailable | unavailable | — |
| Shareholder yield (distributions) · Returns | unavailable | unavailable | — |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet· partial0/100 · 1/3 factors with a value
- Growth· partial30/100 · 1/2 factors with a value
- Quality· partial100/100 · 1/3 factors with a value
- Returns· partialunavailable · 0/2 factors with a value
- Valuation· partial100/100 · 1/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
Rent the Runway, Inc. (RENT). Latest full fiscal year: 2026; data up to 2026-07-31.
Figures computed from the financial statements: revenue 329.8 m USD in 2026; YoY growth 7.7%; net margin 11.8%.
The estimated value range is 90.05–362.34 USD per share (median of 1 methods, agreement: single method); assumptions are illustrative. Against the central value of 215.93 USD, the price of 2.46 USD leaves a potential of 8,677.7% (value / price − 1) and a margin of safety of 98.9% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
Insufficient data for a verdict (indicators available: 4 of at least 6; score weight coverage: 29.2% of at least 60%).
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- Net margin: 11.8%
- P/E (TTM): 0.2x
- The price is below the estimated value range
What contradicts it
- Current ratio: 0.7x
Not assessed (insufficient data or a ratio without meaning): ROIC, FCF conversion, EPS CAGR 3Y, Net debt / EBITDA, Interest coverage, EV/EBITDA, FCF yield, Shareholder yield (distributions), Payout ratio (FCF).
Versus the vertical median
Retail-Retail Stores, NEC (SIC 5990) · same industry (4-digit SIC) · compared with 18 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| ULTAUlta Beauty, Inc. | 28.2 bn | 24.1 | 46.1% | 9.3% | +9.7% | +23% / +55% |
| BBWIBath & Body Works, Inc. | 4.7 bn | 6.1 | — | 10.8% | −0.2% | +35% / −28% |
| SBHSally Beauty Holdings, Inc. | 1.8 bn | 10.0 | 23.5% | 5.2% | −0.4% | +21% / +99% |
| YJYunji Inc. | 1.3 bn | — | -13.5% | -42.0% | −20.8% | −27% / −62% |
| TITNTitan Machinery Inc. | 530.0 m | — | -9.7% | -2.5% | −10.2% | +22% / −1% |
| SGUStar Group, L.P. | 429.8 m | 4.9 | — | 4.6% | +1.0% | +9% / +2% |
| NAASNaaS Technology Inc. | 223.8 m | — | — | -454.5% | −38.9% | −44% / −100% |
| NEGGNewegg Commerce, Inc. | 207.4 m | — | -3.7% | -0.3% | +16.9% | −87% / −61% |
| RENTRent the Runway, Inc. | 83.1 m | 0.2 | — | 11.8% | +7.7% | −35% / −75% |
| BARKBark, Inc. | 75.2 m | — | -36.7% | -8.4% | −18.5% | −42% / −49% |
| TKLFTokyo Lifestyle Co., Ltd. | 58.0 m | 68.5 | 1.7% | 0.2% | +77.6% | −48% / −82% |
| BQBoqii Holding Limited | 10.5 m | — | -2.8% | -1.2% | −5.7% | −79% / −98% |
| INHDInno Holdings Inc. | 8.7 m | — | -7.2% | -72.7% | +221.4% | −97% / unavailable |
| RCTRedCloud Holdings plc | 2.3 m | — | — | -95.3% | +4.3% | −98% / unavailable |
| LESLLeslie’s, Inc. | 955.3 k | — | — | -21.2% | −6.6% | unavailable / unavailable |
| WOOFPetco Health & Wellness Company, Inc. | — | 31.1 | 2.6% | 0.5% | −2.5% | −2% / +4% |
| FLWS1 800 Flowers Com Inc | — | — | -65.4% | -9.0% | −10.8% | −17% / −68% |
| HITIHigh Tide Inc. | — | — | -44.0% | -8.5% | +13.7% | +8% / +85% |
| JDJD.com, Inc. | — | 30.1 | 10.2% | 1.8% | +17.9% | −7% / +1% |
1- and 3-year price returns: for RENT from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 0.15 Total return -94% · Per year -94% | 0.26 Total return -90% · Per year -90% | 0.39 Total return -84% · Per year -84% |
| 3 years | 0.14 Total return -94% · Per year -62% | 0.28 Total return -89% · Per year -52% | 0.46 Total return -81% · Per year -43% |
| 5 years | 0.13 Total return -95% · Per year -44% | 0.30 Total return -88% · Per year -34% | 0.54 Total return -78% · Per year -26% |
- Exit P/E± 0.07
- Net margin± 0.05
- Annual revenue growth± 0.04
- Annual dilution± 0.00
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
Rent the Runway rents designer clothing through subscriptions, a-la-carte Reserve rentals and Resale, built on a shared «Closet in the Cloud» with partner brands. Revenue grew 20.8% year-on-year in the second quarter of 2026, and the company reaffirmed its fiscal 2026 Adjusted EBITDA margin guidance while still reporting a net loss.
SWOT
Strengths
- A data model on customers and products enables personalisation and stock optimisation. Long-term relationships with brand partners and access to current-season pieces are a visible advantage in the company's filings.
- The subscriber base is recurring and most revenue comes from subscribers, which gives relatively predictable revenue.
- Gross margin and Adjusted EBITDA margin improved in the second quarter of fiscal 2026, pointing to operating discipline.
Weaknesses
- The company has reported net losses in several periods, and results still depend on careful cost management.
- The number of active subscribers fell year-on-year in the second quarter of fiscal 2026, although total subscribers edged up.
- Cash and liquidity are limited, and the company depends on support from its investor group and on new financing terms.
Opportunities
- AI-driven discovery and personalised search could raise conversion and average basket value.
- Expanding add-ons and subscription flexibility could generate extra revenue from existing customers.
- The Share by RTR and Exclusive Designs programmes could reduce capital spending and improve margins if item performance holds.
Threats
- Macroeconomic conditions such as tariffs and fuel costs could affect demand and delivery costs.
- Competition in online fashion and resale could pressure prices and reduce customer loyalty.
- Restrictive covenants in the new credit agreement could limit the company's operating flexibility.
Risks
- Restrictive credit covenantshigh
The new credit agreement contains obligations that limit additional debt, dividends and asset sales. If they are not met, the lender could demand early repayment 1.
- Realising recapitalisation benefitshigh
The company could fail to realise all the anticipated benefits of the October 2025 recapitalisation, and those benefits could be temporary or insufficient 1.
- Leadership transitionmedium
Changes to the board and executive leadership can create uncertainty and operational disruption 13.
- Managing growth at scalemedium
The company could struggle to manage growth, particularly in recruiting, training and preserving its culture 1.
- Macroeconomic factorsmedium
Inflation, consumer confidence, tariffs and fuel costs can affect demand and costs, and the company's guidance does not include these developments 13.
Investment thesis
What would need to be true (bull case)
- If revenue growth holds and the Adjusted EBITDA margin keeps improving, the company could show that its subscription model and efficient product acquisition are durable 23.
- Adoption of AI features and growth in add-ons could raise average subscriber value in coming quarters 23.
- A higher share of capital-efficient channels could reduce cash needed for rental inventory and support liquidity 1.
What would break the thesis
- If the number of active subscribers keeps falling, revenue growth could come to depend more on marketing spend and one-off sales 2.
- Net losses and limited liquidity could keep the company reliant on investor support, which could limit strategic flexibility 12.
- A change of leadership and the pausing of pilot projects could slow delivery of the medium-term strategic plan 23.
What to watch
- Delivery of third-quarter revenue guidanceQ3 2026
- Trend in active subscribers and retention rateQ3 2026
- Adjusted EBITDA margin against fiscal 2026 guidance2026
- 2027 strategic plan and compliance with credit covenantsnext 10-K
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
Rent the Runway, Inc. (RENT) describes its mission as 'powering women to feel their best every day' and offers access to an 'unlimited closet' through three ways: a monthly subscription, Reserve (a-la-carte rentals for four or eight days) and Resale (buying pre-loved items at a discount to retail). Subscribers generated 90% of total revenue in fiscal 2025 1. The company says it has served about 3.5 million lifetime customers and that most customers were acquired organically 1. In the second quarter of fiscal 2026 it focused resources on the core rental and selling businesses, pausing several pilots 23.
Sourcing is central: products come from brand partners through three channels, Wholesale, Share by RTR (consignment with performance-based payments) and Exclusive Designs (items created with brands). The share of more capital-efficient channels rose from about 26% in fiscal 2019 to about 69% in fiscal 2025 1. The company links this to its data advantage on customers, products and reverse logistics 1.
In the second quarter of fiscal 2026 the AI-powered outfits generation feature became available to all customers, and Paige Thomas was appointed CEO and President effective September 14, 2026 3. The company said it was concentrating resources on rental and selling, temporarily pausing the online marketplace pilot and on-site advertising 23.
Segments
Subscription
The monthly subscription is the largest revenue source. At January 31, 2026 the company had 143,796 active subscribers and 183,552 total subscribers including paused ones 1. Subscribers' share of total revenue rose from 88% in fiscal 2024 to 90% in fiscal 2025 1.
Reserve and Resale
Reserve allows a-la-carte rentals for events and Resale allows direct purchase of items at a discount. The company reported weakness in Reserve in fiscal 2025 but said in the second quarter of fiscal 2026 that it wants to redirect resources to Reserve, which has its strongest satisfaction scores 12.
Add-ons
Optional subscription add-ons, such as extra items or shipments, have grown significantly in recent quarters. The company reported add-on bookings up 81% year-on-year in the second quarter of fiscal 2026 3.
Market context
The company operates in the designer fashion rental and resale market in the United States, where it is building brand awareness. As of February 2026, unaided brand awareness was 35% among U.S. women aged 25 to 44 with household income of at least $50,000 1. The company describes fashion as a market in change, with consumer habits toward subscription, rental and resale still forming 1.
In the second quarter of fiscal 2026 revenue rose 20.8% year-on-year to $97.7 million, and the company reaffirmed double-digit revenue growth for fiscal 2026 23. Third-quarter guidance calls for revenue between $87 million and $90 million 3.
Trends
- AI in product discoverytailwind
The company has launched AI-generated outfits, avatars and virtual try-on tools, and in the second quarter of fiscal 2026 the outfits feature was available to all customers 23. If these tools lift conversion and basket value, they could support revenue per subscriber.
- Shifting consumer habitsmixed
The company hopes to normalize subscription, rental and resale of clothing, a behaviour that is not yet widely accepted. If habits change more slowly than expected, subscriber growth could lag management's expectations 1.
- Economic pressure and costsheadwind
Guidance notes uncertainties such as tariffs, fuel surcharges and macroeconomic developments, and a deterioration could affect results 3. The company said it does not automatically intend to pass fuel surcharges on to customers 3.
- Efficiency of product acquisitiontailwind
Shifting to channels such as Share by RTR and Exclusive Designs reduces upfront investment in rental inventory and has lowered capital spending as a share of revenue over time 1. If the trend continues it could support margins, provided item performance remains good.
Competitive position
The supplied sources do not explicitly name the company's competitors; they describe competition in general terms, including other operators that can enter the market or change prices and offers 1. The company differentiates through access to current-season designer pieces and through the customer and product data it uses for personalisation 1.
The company argues that luxury brands carry similar pieces at much higher prices, while Rent the Runway offers them through subscription, Reserve or Resale 1. Its advantage could be measured through customer loyalty and its ability to keep brand partners, but the sources give no comparative data against other operators.
- Online clothing rental and resale operators
Sources refer in general terms to new or existing competitors that can change prices and offers, without naming them.
- Luxury brands selling direct
The company compares its offer with luxury pieces sold in parallel in stores, without identifying a specific competitor.
- Fashion retailers
Sources mention fashion retailers as part of the wider landscape, without comparative detail.
- Second-hand resale platforms
The Resale channel competes indirectly with pre-owned clothing marketplaces, none named in the source.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
- Rent the Runway (RENT) Grew Revenue 20.8%. Can Higher Spending Produce Sustainable Cash Flow?Yahoo Finance — News · 17 Sept 2026 · EN
The latest news item in our archive is from 17 Sept 2026; the newest SEC filing is from 26 Oct 2026. The press archive comes from the RSS feeds we follow and does not necessarily cover the latest event — the filings alongside do.
SEC filings
- Current report26 Oct 2026Item 3.02 · Other events
- Current report14 Oct 2026Other events
- Current report30 Sept 2026Other events
- Current report15 Sept 2026Regulation FD disclosure
- Current report11 Sept 2026Material agreement · Item 3.02 · Financial statements and exhibits
- Quarterly report11 Sept 2026
- Current report11 Sept 2026Results of operations · Financial statements and exhibits
- Current report04 Sept 2026Material agreement · Item 3.02 · Financial statements and exhibits
- Current report01 Sept 2026Material agreement · Financial statements and exhibits
- Current report13 Aug 2026Amendments to articles or bylaws · Financial statements and exhibits
Sources
- [1] Form 10-K, fiscal year ended 2026-01-31 · SEC / Rent the Runway, Inc. · 14 Apr 2026
- [2] Form 10-Q, quarter ended 2026-07-31 · SEC / Rent the Runway, Inc. · 11 Sept 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / Rent the Runway, Inc. · 11 Sept 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.