Rightmove Share Discussion Threads

[tradeforce] 17/6/2020 17:47

The writing is on the wall....
Friendsreunited, napster, ask jeeves, skype, others who have come and gone and been forgotten.

mess with you income base at your peril...

[tradeforce] 11/6/2020 07:19

Interesting read:

[loafofbread] 05/6/2020 19:16

Now at £6.00 and nothing has changed on the income front.

[loafofbread] 05/6/2020 19:15

I think RM have offered 75% off fees for the next 4 months at a revenue cost of £75M.

I've just been offered 12 months free with Zoopla if i resign for 24 months. so first 12 months free then my usual monthly fee for the 2nd 12M

Looking at RM f/y results end of last year.

Revs £280M
Operating Profit £200M
Cash £30M

Mcap at £4.75 is £4.2Billion so PE of say 20?

This year we already have the £75M hit but they are going to have to offer far more to keep agents happy which takes this year to perhaps less than £100M profit and a PE of 42!

Short from anywhere around here?

Any thoughts?

[rochdae] 04/6/2020 16:52

The market rally is the reality...

[loafofbread] 03/6/2020 21:43

So Rightmove is now worth £1B more than when i last posted.

One of the biggest players in the Exeter area announced the first round of redundancies last night. 10% across the board and be prepared for further cost cutting measures.

This market rally is crazy.

[uhound] 29/5/2020 13:25

hxxps://thenegotiator.co.uk/rate-at-which-agents-are-leaving-rightmove-accelerates/

[uhound] 29/5/2020 06:49

I agree with the shorters on here.

RMV's had it's best earning years for a while. Agents both sales and lettings are in trouble. Too many agents fighting for to little business and many will go under. This was an issue before the current crisis. Agents would pay anything to get on RMV, but that will change. RMV will have to drop the price it charges and it will lose business, so a double hit.

Obviously lot's of people "Looking" on portal, but with a recession coming, job losses, credit drying up, mortgage criteria tightening, etc., people won't be able to move.

Obviously share price is influenced by short term sentiment, but I see this stumbling at some point, maybe soon!

[rochdae] 26/5/2020 09:03

Shorts getting shafted. Same old story. Too late to the market...

[237gmoney] 21/5/2020 07:25

Loaf, where do you get the £120m revenue from?2019 Revenue was £290m and the actions RMV have taken will reduce this between £65-75m for 2020.And who is to say there won't be an uptick in business in Q3 and Q4? We could end up back where we started the year?

[rochdae] 16/5/2020 21:30

Yes, that's a possibility tradeforce, but are you betting your house on it happening soon enough to make a profit?

[tradeforce] 15/5/2020 08:13

20% of agents never return to work.
20% of agents revolt and leave.
I see that happening any time soon.

And as Gordon Ramsey would say "Dominant position--- done!"

There used to be loads of comparison sites like Kelkoo, pricerunner etc. One day google flicked a switch and they were all done.. Same could easily happen here. They could probably already harvest practically all the information needed to do that.

[saltaire111] 14/5/2020 21:31

Rightmove has established such a dominant market position that I cannot see how the agents revolt can harm it. It will take more of a technical disruption to affect RM - and I dint see that happening anytime soon. Rightmove will see off this bump in the road.

Salty

[237gmoney] 12/5/2020 20:45

Housing market reopens tomorrow. 450k trades currently held up by the lockdown can now go ahead.Rightmove should start to see business pick up again over the next few weeks.Basically the lockdown will only affect it for two months at most. Revenues will pick up now so hopefully the share price will too.

[rochdae] 12/5/2020 19:18

There is no relationship between house prices or transactions and RMV's business model.

The number of agents is a factor, I agree. But if you don't want to go bust you'll have to advertise on RMV as it's where jo public first gravitate towards. Plus people still need to rent, which is the other 50% of revenue... perhaps that will become more prominent.

People gambling on the virus not the company.

Just read the ft that viewings now returning in the market.

[loafofbread] 12/5/2020 09:23

House prices are predicted to drop 10% and then recover next few years.

Transactions are predicted to drop 30/40% this year.

10 to 20% of agents will close and the rest will have a massive income drop.

The good times for RM have well and truly gone.

For where we are now, this is not worth £4.4B.

[toffeeman] 12/5/2020 08:24

IF you credit chart patterns there is a rather clear rising wedge from mid-March which is close to completion and would be beasrish.

[tradeforce] 11/5/2020 14:11

On The Market, Zoopla, Local papers, "leafleting", word of mouth, loyalty, sale boards etc. I have been reading many blogs where agents are questioning the value of all the portals and there "cost per lead" and many have found after leaving RM there customer throughput has barely changed, RM is where people currently browse for properties, but most buyers already know the local agents.

Listings may well explode for distressed sellers in a recession/depression, they will probably try to go to the online estate agents to reduce fees, bypassing B&M, the B&M agents will be decimated by this virus and many will go to the wall affecting RM revenues. Do you seriously think agents will stand for a 300% increase in fees in just 84 days time, not on your nelly, they will leave in there droves, it just takes one straw to break a camels back, they could very easily lose there No1 position to OTM in one swift move,then they are screwed...

Ive been stopped out again today, but I have some major funds coming very soon so will give it a big go again shortly, hope it stays here or higher for a few more days.

[rochdae] 11/5/2020 13:41

If they leave, how do they get sales.
Big rebound here. Property listings set to explode soon.

[tradeforce] 11/5/2020 08:37

From agents not rightmove, they could be among the agents leaving RM.