- Stifel analyst Jim Duffy initiated coverage of Revolve Group Inc (NYSE:RVLV) with a Buy rating and $51 price target, implying a 27.8% upside.
- Duffy noted Revolve is leveraging social media engagement, data-driven merchandising, and a capital-light business model to lead a "generational shift of fashion consumption "and gain share in the $2.37 trillion global apparel, footwear, accessories, and beauty market.
- The analyst sees Revolve as the choice of a new generation as legacy fashion retailers struggle to engage younger customers and transition to a profitable e-commerce model.
- Duffy expects multiple years of 20% or better revenue growth and expanding margins for the company.
- Price Action: RVLV shares closed lower by 9.32% at $39.90 on Monday.
