Wrapping up Q4 earnings, we look at the numbers and key takeaways for the online marketplace stocks, including The RealReal (NASDAQ:REAL) and its peers.

Marketplaces have existed for centuries. Where once it was a main street in a small town or a mall in the suburbs, sellers benefitted from proximity to one another because they could draw customers by offering convenience and selection. Today, a myriad of online marketplaces fulfill that same role, aggregating large customer bases, which attracts commission-paying sellers, generating flywheel scale effects that feed back into further customer acquisition.

The 11 online marketplace stocks we track reported a weaker Q4; on average, revenues beat analyst consensus estimates by 1.1% while next quarter's revenue guidance was 3.7% below consensus. Valuation multiples for growth stocks have reverted to their historical means after reaching highs in early 2021, but online marketplace stocks held their ground better than others, with the share prices up 14.1% on average since the previous earnings results.

The RealReal (NASDAQ:REAL)

Founded by consignment store aficionado Julie Wainwright, The RealReal (NASDAQ: REAL) is an online marketplace for buying and selling secondhand luxury goods.

The RealReal reported revenues of $143.4 million, down 10.2% year on year, in line with analyst expectations. It was a weak quarter for the company, with a decline in its user base and slow revenue growth.

“In the fourth quarter of 2023, The RealReal delivered positive Adjusted EBITDA and positive free cash flow. These are historic milestones and firsts for the company since our IPO in 2019. Our strategic shift to re-focus on the consignment business is delivering strong progress in our results. We refined our growth model with a focus on profitable supply and in the process we significantly improved our margin structure. We intend to carry forward this improved margin structure as we reaccelerate growth going forward,” said John Koryl, Chief Executive Officer of The RealReal.

The stock is up 111% since the results and currently trades at $3.74.

Read our full report on The RealReal here, it's free.

Best Q4: MercadoLibre (NASDAQ:MELI)

Originally started as an online auction platform, MercadoLibre (NASDAQ:MELI) is a one-stop e-commerce marketplace and fintech platform in Latin America.

MercadoLibre reported revenues of $4.26 billion, up 41.9% year on year, outperforming analyst expectations by 2.8%. It was an impressive quarter for the company. MercadoLibre's robust user growth enabled it to beat analysts' revenue, total payment volume (TPV), and gross merchandise volume (GMV) estimates.

MercadoLibre achieved the fastest revenue growth among its peers. The company reported 145 million daily active users, up 49.5% year on year. The stock is down 16.3% since the results and currently trades at $1,525.

Is now the time to buy MercadoLibre? Access our full analysis of the earnings results here, it's free.

Weakest Q4: Shutterstock (NYSE:SSTK)

Originally featuring a library that included many of founder Jon Oringer’s photos, Shutterstock (NYSE:SSTK) is now a digital platform where customers can license and use hundreds of millions of pieces of content.

Shutterstock reported revenues of $217.2 million, down 0.2% year on year, falling short of analyst expectations by 3%. It was a weak quarter for the company, with full-year revenue guidance missing analysts' expectations and a decline in its user base.

Shutterstock had the weakest performance against analyst estimates and weakest full-year guidance update in the group. The company reported 523,000 users, down 10.8% year on year. The stock is up 1.7% since the results and currently trades at $45.21.

Read our full analysis of Shutterstock's results here.

Robinhood (NASDAQ:HOOD)

With a mission to “democratize finance”, Robinhood (NASDAQ:HOOD) is an online platform enabling the commission-free trading of stocks, exchange-traded funds, and cryptocurrencies.

Robinhood reported revenues of $471 million, up 23.9% year on year, surpassing analyst expectations by 4%. It was a solid quarter for the company, with a decent beat of analysts' revenue and EPS estimates.

Robinhood achieved the biggest analyst estimates beat among its peers. The company reported 23.4 million users, up 1.7% year on year. The stock is up 60.8% since the results and currently trades at $19.05.

Read our full, actionable report on Robinhood here, it's free.

Teladoc (NYSE:TDOC)

Founded to help people in rural areas get online medical consultations, Teladoc Health (NYSE:TDOC) is a telemedicine platform that facilitates remote doctor’s visits.

Teladoc reported revenues of $660.5 million, up 3.6% year on year, falling short of analyst expectations by 1.6%. It was a weak quarter for the company, with full-year revenue guidance missing analysts' expectations.

The company reported 89.6 million users, up 7.6% year on year. The stock is down 30.3% since the results and currently trades at $14.3.

Read our full, actionable report on Teladoc here, it's free.

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