Red Violet Inc. Common Stock (RDVT)

FairStock Score: 59/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I approach Red Violet as a Graham-style analyst looking for durable earnings and a margin of safety. The business sells identity intelligence through idiCORE and FORWARN, used for fraud detection, risk mitigation, and compliance. That can be sticky, but the figures alone do not prove a wide moat; ROE of 15.76% and ROCE of 10.00%, as FairStock calculates, are good but not extraordinary. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $26.7M, net income $5.0M, and diluted EPS $0.34. That compares with revenue $21.8M, net income $2.7M, and diluted EPS $0.18 in fiscal Q2 2025. For FY2025, revenue was $90.3M, net income $13.2M, and diluted EPS $0.91; FY2024 had revenue $75.2M, net income $7.0M, and diluted EPS $0.50. The Lynch-style label is FAST GROWER, based on 111.7% yearly profit growth over four years and 19.7% revenue growth. FairStock calculations show a strong Altman Z-score of 87.81 and Piotroski F-score of 6/9, with debt-to-equity of 0.02. At the 2026-10-13 close of $78.56, the FairStock P/E is 68.91, P/B 9.93, EV/EBITDA 42.15, and FCF yield only 1.7%. Free cash flow is $21.2M trailing twelve months against a $1.3B market cap. The Graham Number is $14.24, leaving a margin of safety of -451.69%. The PEG of 0.81 is attractive if growth persists, but the price already discounts much success. The beta of 1.80 and 52-week range of $33.40-$81.79 show the stock can swing violently. I see a good, growing business, but not a bargain by Graham's arithmetic.

In plain English: Red Violet is an analytics software company that helps businesses check identities, fight fraud, and follow rules. It is growing sales and profits, and the latest quarter showed stronger earnings than a year earlier. The share price looks high compared with current profits and cash flow, so the market is counting on more fast growth.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer