Kanen Wealth Management cut its stake in The RealReal (NASDAQ:REAL) by 2,338,820 shares last quarter, an estimated $30.54 million trade based on quarterly average pricing, according to a February 18, 2026, SEC filing.
According to a recent SEC filing dated February 18, 2026, Kanen Wealth Management LLC sold 2,338,820 shares of The RealReal, with the estimated transaction value at $30.54 million based on the quarter’s average share price. The quarter-end value of the fund’s stake shifted by $15.29 million, a figure that reflects both the share sale and changes in the company’s stock price.
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Kanen Wealth Management’s stake in The RealReal now represents 8.91% of its 13F reportable AUM after the sale.
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Top holdings after the filing:
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NYSE: COMP: $67.59 million (20.9% of AUM)
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NASDAQ: ALLT: $45.04 million (13.9% of AUM)
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NYSE: BNED: $30.81 million (9.5% of AUM)
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NASDAQ: REAL: $29.34 million (8.9% of AUM)
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NASDAQ: INSE: $24.84 million (7.7% of AUM)
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As of Thursday, REAL shares were priced at $12.39, up a staggering 81% over the past year and well outperforming the S&P 500’s roughly 16% gain in the same period.
|
Metric |
Value |
|---|---|
|
Revenue (TTM) |
$662.79 million |
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Net Income (TTM) |
($71.47 million) |
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Market Capitalization |
$1.5 billion |
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Price (as of Thursday) |
$12.39 |
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The Real Real offers an online marketplace for consigned luxury goods, including women’s, men’s, kids’, jewelry, watches, and home and art products.
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The firm generates revenue by facilitating the resale of authenticated luxury items and earning commissions on each transaction.
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It targets consumers seeking authenticated, pre-owned luxury goods, with a focus on the U.S. market.
The RealReal operates at scale as a leading online platform for authenticated luxury consignment, leveraging a commission-based model and a curated product selection. Its strategy centers on trust, authentication, and a seamless resale experience, appealing to both consignors and buyers of luxury goods. The company’s competitive edge lies in its rigorous authentication process and broad product assortment, positioning it as a key player in the luxury resale segment.
When a small-cap surges as much as The Real Real has, portfolio managers face a simple question: press the bet or harvest gains. That tension is especially sharp when the underlying business is finally showing operating leverage.
The company just capped a transformative year. On Thursday, The Real Real revealed that fourth quarter gross merchandise value jumped 22% to $616 million and full year GMV topped $2.13 billion. Revenue climbed 15% to $693 million for 2025, while adjusted EBITDA improved to $42 million from $9 million a year earlier. Meanwhile, active buyers reached 1.06 million, up 9% year over year.
Against that backdrop, trimming an 81% winner while it still represents nearly 9% of assets looks less like capitulation and more like risk control. (Though some of that surge has been post-Q4, the stock still surged about 50% last quarter.) Kanen’s portfolio skews toward concentrated small and mid caps, including Compass and Barnes & Noble Education. Recycling capital from a sharp outperformer into other idiosyncratic names fits that playbook.
For long-term investors, the real question is durability. If the company can sustain double-digit GMV growth and keep expanding margins, today’s volatility may matter far less than the structural shift toward authenticated resale.
