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31

RDVT

💻 Technology

Red Violet, Inc.

Conservative #1080Aggressive #1394Moderate RiskModerate 79
$42.60+5.11%
Day High$42.60
Day Low$40.46
Volume0.1M
Mkt Cap$595M
52W Low $3252W High $64
Market Cap
$595M
P/E Ratio
53.4
Sector avg: 87.8
Rev Growth
24.9%
Sector avg: 14.8%
Earnings Growth
-48.2%
Profit Margin
13.0%
Sector avg: -110.0%
Debt/Equity
0.03

Why This Score

RDVT scores 31.2 on the Conservative profile, blending a fundamental score (80% weight, emphasizing quality and stability (84% of fundamental weight)) with a machine-learning signal (20% weight) trained on 82 features across 30 years of data.

Strengths
  • Minimal leverage (D/E 0.03) provides financial flexibility and downside protection.
  • High conviction (79/100) — fundamental and ML signals agree on this stock.
Risk Factors
  • Liquidity concern: Limited trading volume or float results in a 15-point penalty for execution risk.
  • Signal divergence: Fundamental and ML signals disagree by a significant margin, reducing confidence.
  • Elevated valuation at 53.4x earnings — requires sustained growth to justify the premium.
  • Above-average volatility (11.0%) may not suit conservative risk tolerance.

Net penalties of -19.6 points significantly impact the ranking. Without these adjustments, RDVT would rank considerably higher.

Score Breakdown

Overall Score31.2
Fundamental Score56.7
ML Score11.0

Score by Horizon

3 Month
67.6
6 Month
75.6
Primary
1 Year
79.5

Quality Assessment

B
Earnings Grade
Solid fundamentals with minor quality concerns

Position Sizing

Suggested Allocation
5%
Confidence
high

Score Composition Waterfall

How each component affects the final score
Backtested Scoring Levers (IC-calibrated from 30y ElasticNet)
Weinstein (12.1%)
0
Declining
Sentiment (2.5%)
70
Positive
Analyst (6.4%)
75
Favorable
Tradability (post-hoc)
36
Grade Dlow volume, low dollar volume
Base
32.6
SHAP
+1.8
Factors
+1.4
Divergence
-4.6
Final
31.2
Positive adjustment
Negative adjustment
Base blend
Final score

Signal SegmentsComputed from ML features

Fundamental (Valuation, Quality, Growth)45.0
Technical (Momentum, Weinstein, Volatility)46.0
External (Sentiment, Analyst, Macro)86.0
Scores below 50 indicate weakness in that segment relative to the universe.

Data Quality

Score
Features
Confidence
Feature Coverage89%

Growth Estimates

Short-term
-5.3% to +1.3%
Medium-term
-7.9% to +1.9%
Long-term
-10.5% to +2.5%

ML Model Core Features100 trained inputs → ML Score: 11

These features are direct inputs to the machine learning model. The model was trained on these signals alongside 100 features (including 12 momentum/technical indicators) to produce the ML percentile score.

Analyst Intelligence
Consensus Score75.0/100
Target Upside+54.8%
Coverage1 analysts
Market Sentiment
Sentiment Score70.3/100
News Volume1 articles
Technical Stage
Weinstein Stage4 — Declining
12M Momentum+0.0%
6M Momentum-0.2%
Volatility+0.1%
Momentum & Technical
Momentum Acceleration+19.6%
Momentum ConsistencyDivergent (-0.15)
Relative Strength vs Sector-1.0%
Trend Strength (ADX Proxy)Weak (0.2)
Momentum Quality+0.019
Momentum BreadthNarrow
Macro Regime
Bull RegimeYes
High Vol RegimeNo
S&P 500 Return+25.0%
Yield Curve-0.1bp

Sector-Relative AnalysisIn-model features

Value Trap Signal
2%
Low risk
Sector RevGr Rank
P81
Revenue growth vs Technology peers
Sector PE Rank
P21
Valuation vs Technology peers
Sector FCF Rank
P49
Free cash flow vs Technology peers
Growth Deviation
+0.3σ
Z-score vs sector median
Stagnation Flag
NO
Not flagged

Analysis Signals

Scoring Factors
Fundamental score of 69 relative to sector peers69/100
Machine learning model ranks this stock at the 79th percentileP79
ML model weight reduced to 9% due to macro conditions: market in extended rally phase; yield curve inverted (recession indicator); late-cycle economic indicators detected9% ML weight
SHAP feature alignment: +1.8pt (features align with model priorities)
Blend: 91% fund (68.7) + 9% ML (79.4) + SHAP(+1.8) = 71.5
Factor quality: +1.4pt (multi-factor composite)
Risk assessment: moderate. Annualized volatility 11.0%. Max drawdown 27% (-7.5 pts)Moderate
Market cap adjustment: -15.0 points ($0.6B market cap)-15.0 pts
Risk Factors
Earnings quality grade B: adequate earnings quality with minor concerns. Score adjusted by -5 pointsGrade B
Quality concern: High accrual ratio (-162.0%) — earnings quality concern; R&D-adjusted ROIC: 8.4% (original: 9.5%). Software - Application has ~20% R&D intensity. Capitalizing R&D over 5 years increases invested capital by ~50%.Flag

Sector Peer Comparison(Technology — Rank #240 of 289 stocks)

StockScoreP/ERev GrowthMarginMkt Cap
RDVT31.253.424.9%13.0%$595M
MPWR84.891.721.2%81.0%$57.1B
ZM84.218.03.1%21.7%$27.7B
NVDA80.645.2114.2%55.8%$4.5T
CRUS79.719.16.0%17.5%$7.4B
ASML77.848.115.6%29.4%$546.0B
IDCC77.431.8-4.0%48.8%$9.7B
CSCO77.127.65.3%18.0%$303.6B
RMBS75.548.320.7%32.3%$11.0B
DBX75.313.91.9%17.7%$6.4B
FSLR75.017.326.7%30.7%$24.2B
SIMO74.79.210.2%13.8%$4.5B
ADI74.374.116.9%20.6%$165.1B
AAPL72.533.16.4%27.0%$3.9T
OLED72.527.012.4%34.3%$5.9B
AMAT72.336.44.4%24.7%$281.7B
Sector Average47.487.814.8%-110.0%

Company Overviewvia FMP

Red Violet, Inc., a software and services company, specializes in proprietary technologies and applying analytical capabilities to deliver identity intelligence in the United States. It offers idiCORE, an investigative solution used to address various organizational challenges, which include due diligence, risk mitigation, identity authentication, and regulatory compliance; and FOREWARN, an app-based solution that provides instant knowledge before face-to-face engagement with a consumer, as well as helps professionals to identify and mitigate risk. The company serves financial services, insurance, healthcare, retail, and telecommunication companies; law enforcement and government agencies; and collections, corporate security, and investigative firms, as well as solutions used for purposes, such as risk mitigation, due diligence, fraud detection and prevention, regulatory compliance, and customer acquisition. It markets its products and services through value-added distributors, resellers, and strategic partners; and trade shows and seminars, advertising, public relations, distribution of sales literature, and product specifications and ongoing communication with prospective customers, distributors, resellers, strategic partners, and installed base of current customers, as well as through direct sales. Red Violet, Inc. was incorporated in 2017 and is headquartered in Boca Raton, Florida.

CEO
Derek Dubner
Employees
215
Beta
1.66
Industry
Software - Application
FMP-Identified Peers

Technical Picturecomputed from daily prices

RSI (14)
60.1
Neutral
Trend
Bearish
10-day vs 50-day MA
From 52W High
-33.6%
High: $64.14
From 52W Low
+32.2%
Low: $32.23
Moving Averages
10-Day
$41.60
Above
20-Day
$42.20
Above
50-Day
$48.70
Below
200-Day
$49.50
Below
60-Day Support
$35.84
60-Day Resistance
$58
Weinstein Stage Analysisbased on 200-day SMA framework
Stage 4 — DecliningScore: 24/100

Stock is in a downtrend below the 200-day moving average. Price is below both the 50-day and 200-day SMAs, indicating sustained selling pressure.

Unfavorable technical position; wait for Stage 1 basing
Price vs 200 SMA
-13.9%
200 SMA Slope (60d)
+7.35%
Rising
Volume Ratio
0.88x
10d avg vs 50d avg
Days in Stage
21
Confidence: 40%

Financial Statementslast 4 quarters via FMP

MetricQ3 2025Q2 2025Q1 2025Q4 2024
Revenue$23M$22M$22M$20M
Gross Profit$19M$16M$18M$16M
Operating Income$5M$3M$4M$371,000
Net Income$4M$3M$3M$863,000
EPS (Diluted)$0.29$0.18$0.24$-0.43
Gross Margin84.3%71.8%83.4%82.3%
Operating Margin19.8%12.6%19.1%1.9%
Net Margin18.3%12.3%15.6%4.4%

Why This Stock

TechnologyRevenue growth 24.9%Profit margin 13.0%

Tradability FilterGrade D — 36/100Score impact: -8.2pt

Low Tradability Warning

This stock has limited trading volume and/or float. Institutional investors may face difficulty entering or exiting positions without significant price impact. A post-hoc penalty has been applied to the composite score (this is not a backtested model factor — it is a practical tradability overlay).

Volume
19
108K avg/day
Dollar Vol
42
$4M/day
Float
26
13M shares
Mkt Cap
31
$595M
Range
100
99% spread
Composite Liquidity Score36/100
FDCBA
low volumelow dollar volumelow float

Multi-Year Range Analysis

Sideways: 0/100
YearLowHighRangeStatus
2021$17.68$42.4882.4%Wide
2022$14.89$40.0291.5%Wide
2023$15.20$24.4446.6%Wide
2024$16.56$39.8882.6%Wide
2025$32.23$64.1466.2%Wide
3-Year Range
123.4%
Narrow Years
0 / 5
Sideways Penalty
None

Growth Projection Adjustment

0.15x dampening
weinstein declining

Growth estimates have been dampened based on technical and fundamental signals. This is a post-hoc adjustment to prevent overly optimistic projections for stocks showing declining momentum or deteriorating fundamentals.

Free Float
91.1%
Outstanding Shares
14M
Bid-Ask Spread
99.0%
Institutional Tradable
No

Scores are generated by a multi-stage ML pipeline combining fundamental analysis, ensemble predictions, and structural risk signals. All data is for research purposes only and does not constitute financial advice. Past performance does not guarantee future results.