Contrasting Redfin (RDFN) and Its Peers

Redfin (NASDAQ: RDFN) is one of 65 publicly-traded companies in the “Real Estate Development & Operations” industry, but how does it weigh in compared to its rivals? We will compare Redfin to related companies based on the strength of its institutional ownership, valuation, analyst recommendations, profitability, earnings, risk and dividends.

Insider and Institutional Ownership

37.9% of Redfin shares are owned by institutional investors. Comparatively, 35.8% of shares of all “Real Estate Development & Operations” companies are owned by institutional investors. 41.1% of shares of all “Real Estate Development & Operations” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares Redfin and its rivals revenue, earnings per share and valuation.

Gross Revenue Net Income Price/Earnings Ratio
Redfin $267.19 million -$22.52 million N/A
Redfin Competitors $438.08 million $33.80 million 1,258.30

Redfin’s rivals have higher revenue and earnings than Redfin.

Analyst Recommendations

This is a summary of recent ratings and price targets for Redfin and its rivals, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Redfin 1 5 4 0 2.30
Redfin Competitors 154 370 807 9 2.50

Redfin presently has a consensus price target of $25.33, indicating a potential downside of 10.17%. As a group, “Real Estate Development & Operations” companies have a potential upside of 30.19%. Given Redfin’s rivals stronger consensus rating and higher possible upside, analysts plainly believe Redfin has less favorable growth aspects than its rivals.

Profitability

This table compares Redfin and its rivals’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Redfin N/A N/A N/A
Redfin Competitors -4.07% -1.33% 1.32%

Summary

Redfin rivals beat Redfin on 8 of the 11 factors compared.

About Redfin

Redfin Corporation is engaged in providing residential real estate brokerage services. The customer can search for homes by neighborhood, city or MLS number, or can refine results using detailed parameters, such as price and number of beds or baths. The Company serves home buyers and sellers. The Company offers online tools to consumers, including Redfin Estimate, which is an automated home-valuation tool. The customer can search homes for sale in Austin, Atlanta, Baltimore, Boston, Charlotte, Chicago, Dallas, Denver, Fort Lauderdale, Houston, Lake Tahoe, Las Vegas, Los Angeles, Miami, Philadelphia, Phoenix, Portland, OR, Raleigh, San Antonio, San Diego, San Francisco, Sacramento, San Jose, Seattle and Washington. The Company serves over 80 metro areas across the United States.

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