Reformation’s (REF) Outperform Rating Reiterated at Royal Bank Of Canada

Royal Bank Of Canada reaffirmed their outperform rating on shares of Reformation (NYSE:REF) in a report published on Friday morning,Benzinga reports. The firm currently has a $18.00 price objective on the stock.

Other equities analysts also recently issued research reports about the stock. Citigroup assumed coverage on shares of Reformation in a research note on Monday, August 24th. They set a “buy” rating and a $20.00 price objective on the stock. Wall Street Zen raised shares of Reformation to a “hold” rating in a research note on Saturday, August 8th. Zacks Research upgraded shares of Reformation to a “hold” rating in a report on Tuesday, August 25th. JPMorgan Chase & Co. initiated coverage on Reformation in a research report on Monday, August 24th. They issued an “overweight” rating and a $21.00 target price on the stock. Finally, Morgan Stanley began coverage on Reformation in a research note on Monday, August 24th. They set an “equal weight” rating and a $16.00 price target for the company. Eight investment analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat, Reformation currently has an average rating of “Moderate Buy” and an average price target of $19.25.

Reformation Stock Performance

Shares of REF stock opened at $14.19 on Friday. Reformation has a 1 year low of $12.83 and a 1 year high of $17.26.

Reformation (NYSE:REF) last posted its earnings results on Thursday, September 10th. The company reported $0.23 EPS for the quarter, topping analysts’ consensus estimates of $0.20 by $0.03. The firm had revenue of $155.23 million for the quarter, compared to analysts’ expectations of $154.61 million. The company’s revenue for the quarter was up 24.1% compared to the same quarter last year. On average, equities analysts expect that Reformation will post 0.15 EPS for the current fiscal year.

Insider Buying and Selling at Reformation

In related news, major shareholder Scsp Refo sold 2,987,199 shares of the stock in a transaction on Friday, July 31st. The stock was sold at an average price of $13.95, for a total value of $41,671,426.05. Following the completion of the sale, the insider directly owned 29,091,749 shares in the company, valued at approximately $405,829,898.55. This represents a 9.31% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Yael Aflalo sold 1,204,029 shares of the firm’s stock in a transaction dated Wednesday, July 29th. The shares were sold at an average price of $13.95, for a total value of $16,796,204.55. Following the completion of the transaction, the director directly owned 11,725,803 shares in the company, valued at $163,574,951.85. This trade represents a 9.31% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 4,401,122 shares of company stock worth $61,395,652 in the last 90 days.

Key Headlines Impacting Reformation

Here are the key news stories impacting Reformation this week:

• Positive Sentiment: Reformation reported second-quarter fiscal 2026 adjusted earnings of $0.23 per share, exceeding the $0.20 consensus estimate. Revenue rose 24.1% year over year to $155.23 million, while net income increased 79.4% and adjusted EBITDA margin expanded 320 basis points to 16.4%. Reformation Announces Second Quarter Fiscal 2026 Results
• Positive Sentiment: The company issued fiscal 2026 revenue guidance of $602 million to $606 million, slightly above the $601.3 million analyst consensus, reinforcing confidence in continued growth. Reformation’s first public quarter delivers double-digit growth and an upbeat outlook
• Positive Sentiment: Management outlined plans to double its store fleet over the next five years, offering a long-term expansion opportunity if the brand can scale its retail footprint while maintaining margins. Reformation charts path to double store fleet in five years
• Positive Sentiment: Royal Bank of Canada reaffirmed an “outperform” rating with an $18 price target, while Guggenheim maintained a “buy” rating and a $20 target. The continued bullish coverage supports investor sentiment.
• Neutral Sentiment: Reformation’s earnings call provided additional detail on its growth strategy and outlook as a newly public company. Execution of the store expansion plan and sustained demand will remain key factors for valuation.
• Negative Sentiment: Short interest climbed 150.2% between August 15 and August 31 to 2.2 million shares, or about 3.7% of shares outstanding. Elevated bearish positioning could create volatility and signals that some investors remain cautious despite the strong results.

About Reformation

Reformation, Inc is a fashion company that designs and sells women’s clothing, footwear and accessories under the Reformation brand. Its product range includes dresses, tops, denim, knitwear, outerwear, swimwear, bridal apparel and related accessories, with collections marketed around contemporary style and more sustainable production practices.

The company sells its products through its e-commerce platform and a network of retail stores, serving customers in the United States and select international markets.