QualityDipStocks / Technology · Software
Red Violet RDVT
Outside our quality screen, so we don’t track its dips. It’s 6% below its 52-week high.
Outside our quality screen, trading near our fair value estimate, 3% over its Market Value.
- Fair value est.
- $71.67−8%
- Market Value
- $75.33price +3%
- Off 52-wk high
- −6%
- Risk vs market
- Market-likebeta 0.96
52-week range 90% of the way from its 52-week low to its high
Price $77.73Fair value est. $71.67Market Value $75.33
5 bullish · 4 bearish See why
Repriced or dip?
Near its high
The price is 6% below its 52-week high (Oct 28), but the business held up: shares outstanding unchanged, operating margin 0.0 pts, free cash flow 0.0%.
Some numbers held up (shares outstanding unchanged, operating margin 0.0 pts, free cash flow 0.0%), others slipped. The price is 6% below its 52-week high.
The price is 6% below its 52-week high, and the business changed too.
Within 10% of its 52-week high, so there is no dip to judge yet.
Data-based read, not advice.
Priced in
How much growth the market assumed at the 52-week high, the low and today (a reverse DCF).
At the high ($82.40, Oct 28) the price assumed about 18%/yr free-cash-flow growth; at the low ($34.40, Mar 30) about 4%; today about 16%. The last 3 years delivered 34%/yr (free cash flow).
Dashed line: what the last 3 years delivered, 34%/yr (free cash flow)
| High | Low | Now | |
|---|---|---|---|
| Price | $82.40Oct 28 | $34.40Mar 30 | $77.73 |
| Implied growth | +18% | +4% | +16% |
| P/E | 72.8× | 37.7× | 68.7× |
| P/FCF | 35.5× | 17.2× | 33.5× |
What this means: the higher the implied growth, the more the price already counts on. If today's number sits well below what the business has delivered, the market expects less than its track record.
How it’s computed
Reverse DCF: the same 10-year free-cash-flow model as our fair value estimate (9.5% discount rate, growth for years 1–5 fading to 3% by year 10, 3% after), solved for the growth that makes it equal the market value at each price. For the high and the low we use only the filings that were public on that day, so nothing from a later report leaks back. Market value = that close × diluted shares. P/E = market value / 12-month net income; Price / FCF = market value / 12-month free cash flow; EV / Sales = (market value + debt − cash) / 12-month revenue. Hidden when the share count moved over 20% (split, merger), free cash flow is negative, or the company reports in another currency.
Valuation
What we estimate it's worth, and how it ranks on value vs every stock we cover.
Fair value estimate
How the range is computed
Ten-year free-cash-flow DCF. Same 10-year free-cash-flow model as the base: discount rate 9.5% ±1 point and growth 15.0% ±2 points. Bear = 10.5% and 13.0%; bull = 8.5% and 17.0% (both fade to 3%). A model estimate from public filings, not a forecast of where the price will go.
Price sits inside the range.
What the price implies To be worth today’s price, RDVT’s free cash flow would need to grow about 16% a year for five years; our estimate uses 15%.
Risk vs market
How risk vs market is measured
One year of daily returns (Oct 31 to Nov 2, 252 sessions). Beta = how much RDVT moved for each 1% move in the S&P 500 (SPY); 1.0 moves with the market. Volatility is the yearly standard deviation of daily returns. Past behavior, not a forecast.
Moves about in line with the market, and its own price swings are 3.8× the S&P 500’s.
- Beta vs S&P 500
- 0.96
- Volatility
- 48% vs 13% SPY
- Correlation SPY
- 0.25
- Correlation QQQ
- 0.23
How it ranks
Where RDVT stands vs every one of the 2,467 stocks we cover that has the number. Longer bar = better.
Not in the top quarter on any of these 5 measures
- Discount to fair value estimate8% · price above our base caseLowest 48%of 1,507
- Free cash flow yield3% · free cash flow vs market capLowest 40%of 1,690
- Dividends + buybacks yield0.4% · cash paid out or used to retire shares, vs market capLowest 26%of 2,227
- Revenue growth, last 12 months+20% · vs the 12 months beforeTop 26%of 2,184
- Operating margin18% · of sales kept as operating profitTop 30%of 1,549
From SEC filings and our fair value estimate model. A ranking, not advice.
Valuation details
DCF $71.67 · MV $75.33 · FCF value $16.19
Assumes 15.0% growth for 5 years (revenue grew 19.2% a year FY22–FY25; capped at 15%), fading to 3%; 9.5% discount rate, 3% terminal growth. FCF base $2.32 a share (trailing 12 months to Jun 30, 2026), from the 10-Q filed Aug 10, 2026.
Fundamentals
The business itself: sales, profits, cash and debt, from SEC filings.
Bull vs bear
Rule-based from the data on this page, strongest first. Not advice.
Top bullish points 5 of 5
GrowthDiluted EPS grew 82% to $0.91 in FY2025.
ProfitabilityOperating margin widened to 14.6% in FY2025 from 4.2% in FY2023 (SEC filings).
GrowthSales compounded 19% a year from FY2022 to FY2025.
GrowthSales grew 20% to $99M over the last 12 months vs the 12 months before (SEC filings).
Cash returnsFree cash flow grew 29% over the last 12 months vs the 12 months before.
Top bearish points 4 of 5
ValuationP/E of 68.7× vs a 33.2× median for the 254 Technology companies we cover.
ValuationPrice / book of 10.1×, above the 5.0× median for the 312 Technology companies we cover.
ValuationFree-cash-flow yield of 3.0%, below the 3.5% median for the 330 Technology companies we cover.
RiskReports earnings Nov 4 (consensus EPS $0.31): results can move the price sharply and reset Market Value.
All fundamentals
P/E 68.7 · FCF yield 3.0% · ROE 16%
Valuation
- P/E
- 68.7×Technology median 33.2×
- Price / FCF
- 33.5×
- FCF yield
- 3.0%
- EV / EBITDA
- n/aD&A or debt not tagged in SEC data
- Price / sales
- 11.35×
- Price / book
- 10.07×
- Market cap
- $1.1Bprice × diluted shares
- Enterprise value
- n/anot reported in its SEC filings
Growth
- Revenue, 12 months
- $99M
- Sales growth, 12 months
- +20.2%vs the 12 months before
- Sales growth, 3 yrs
- +19.2%/yrfrom FY2022
- Diluted EPS, 12 months
- $1.14
- EPS growth, last FY
- +82.0%
- Net income, 12 months
- $16M
- Net income growth
- +88%12 months vs before
Profitability
- Gross margin
- n/agross profit isn't reported (common for service and financial companies)
- Operating margin
- 17.9%
- Net margin
- 16.5%
- FCF margin
- 33.9%
- Return on equity
- 16%
- Return on invested capital
- n/aoperating income, debt, equity or cash not tagged
Balance sheet
- Cash & short-term inv.
- $50M
- Total debt
- n/anot reported in its SEC filings
- Net cash
- n/acash or debt not tagged in SEC data
- Debt / equity
- n/adebt or equity not tagged in SEC data
- Interest coverage
- n/ainterest expense not tagged in SEC data
Cash flow & returns
- Free cash flow, 12 months
- $34M
- FCF growth, 12 months
- +29%
- Dividend yield
- 0%
- Payout ratio
- 0%
- Buybacks, 12 months
- $4M0.4% of market cap
- Share count, 1 year
- −0.6%diluted shares vs a year ago
- Stock-based comp
- $7M
Trailing 12 months to Jun 30, 2026; balance sheet at Jun 30, 2026. From Red Violet’s SEC filings. Sparklines show up to six fiscal years. n/a means we don’t hold that number, with the reason. How each is computed.
The business
FCF $0.0B · Sales +23%
- Free cash flow, 12 months$0.0B
- Free-cash-flow yield3.0%
- Free-cash-flow margin14%
- Gross margin85%
- Operating margin23%
- Return on invested capital23%
- Return on equity16%
- Sales growth (latest quarter vs year-ago quarter)+23%
- Net debt / EBITDA−2.5×
Chart & levels
Where the price is vs its key levels and trends.
Key levels
Every level vs today’s $77.73
- 52-wk lowlowest close, 1 year$34.40−55.7%
- Fair value est.base case$71.67−7.8%
- Market Valueavg paid since Aug 11$75.33−3.1%
- PriceMon Nov 2 close$77.73you are here
- 52-wk highhighest close, 1 year$82.40+6.0%
Momentum & 52-week range
RSI 48 · 5 days −3.0%
Signals
Reversal signal setups, the public ledger and the next earnings date.
Setup & signals
No setup armed
No setup armed, so there’s no trigger or stop to track yet. Reversal signal rules only run on companies that pass our quality screen.
Next report
Nov 4
- DateWed Nov 4, after the close
- Consensus EPS$0.31
- Year-ago EPS$0.30
- QuarterSep/2026
From Nasdaq’s earnings calendar. A report resets Market Value.
RDVT is outside our quality screen
One text when a published rule fires on one of the 332 quality companies we track: the ticker, the price, the stop and a link to the numbers. Nothing else.
Voices & buzz
Who is talking about it, and how it compares with peers.
Who’s talking about it
Notable investors, executives, analysts and public figures on Red Violet in the last 48 hours. Headlines as published, each linked. Their words, not ours.
No notable mentions in the last 48 hours. Checked Nov 3, 5:14 PM ET.
Compare with peers
Closest in size in Software
Information only, not investment advice. Fair value estimates and talking points are rule-based model output from public data and can be wrong; stop levels are reference points, not orders. How every number is computed.