RE/MAX Holdings Inc. (NYSE: RMAX) stock jumped 6.78% on Monday to $15.44 against a previous-day closing price of $14.46. With 0.51 million shares changed hands, the volume of the stock remained heavier than its average volume of 0.19 million shares. During the session, the Real Estate Services company that operates in wider Real Estate sector, reached to the highest price of $15.46 whereas the lowest price it dropped to was $14.46. The 52-week range on RMAX shows that it touched its highest point at $24.28 and its lowest point at $13.62 during that stretch. It currently has a 1-year price target of $20.70. With its current market cap of 296.14 million, RMAX has annualized dividend of $0.92 while the current yield stands at 5.96%. Beta for the stock currently stands at 1.51.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of RMAX was up-trending over the past week, with a rise of 6.48%, but this was down by -8.48% over a month. Three-month performance dropped to -16.00% while six-month performance fell -8.96%. The stock lost -26.62% in the past year, while it has lost -17.17% so far this year. A look at the trailing 12-month EPS for RMAX yields 0.01 with Next year EPS estimates of 1.52. For the next quarter, that number is 0.36. This implies an EPS growth rate of 138.80% for this year and 12.16% for next year.
Float and Shares Shorts:
At present, 18.12 million RMAX shares are outstanding with a float of 17.13 million shares on hand for trading. On Aug 30, 2023, short shares totaled 0.41 million, which was 2.27% higher than short shares on Jul 30, 2023. In addition to Mr. David L. Liniger as the firm’s Co Founder & Non-Exec. Chairman, Mr. Stephen P. Joyce serves as its CEO & Director.
Through their ownership of 96.81% of RMAX’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 48.25% of RMAX, in contrast to 45.75% held by mutual funds. Shares owned by individuals account for 21.38%. As the largest shareholder in RMAX with 15.24% of the stake, BlackRock Fund Advisors holds 2,762,738 shares worth 2,762,738. A second-largest stockholder of RMAX, The Magnolia Group LLC, holds 2,625,107 shares, controlling over 14.48% of the firm’s shares. The Vanguard Group, Inc. is the third largest shareholder in RMAX, holding 2,070,814 shares or 11.42% stake. With a 7.19% stake in RMAX, the iShares Core S&P Small Cap ETF is the largest stakeholder. A total of 1,303,997 shares are owned by the mutual fund manager. The Vanguard Real Estate Index Fund, which owns about 4.18% of RMAX stock, is the second-largest Mutual Fund holder. It holds 758,669 shares valued at 12.29 million. Vanguard Total Stock Market ETF holds 2.87% of the stake in RMAX, owning 519,322 shares worth 8.41 million.
An Overview of Recent Financials:
Understanding a company as a customer does not mean you will understand it as an investor. The wise investor uses quantitative research to analyze metrics such as revenue, net income, and earnings. In its fiscal quarter reported on Jun 29, 2023, RMAX reported revenue of $92.17M and operating income of $19.37M. The EBITDA in the recently reported quarter was $28.64M and diluted EPS was $0.30.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for RMAX since 0 analysts follow the stock currently. In the same way, a target price assigned to a stock can also reveal much about its potential. With RMAX analysts setting a high price target of $22.00 and a low target of $18.00, the average target price over the next 12 months is $19.90. Based on these targets, RMAX could surge 42.49% to reach the target high and rise by 16.58% to reach the target low. Reaching the average price target will result in a growth of 28.89% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy.
Summary of Insider Activity:
Insiders traded RMAX stock several times over the past three months with 0 Buys and 0 Sells. In these transactions, 0 shares were bought while 0 shares were sold. The number of buy transactions has increased to 67 while that of sell transactions has risen to 17 over the past year. The total number of shares bought during that period was 839,001 while 41,356 shares were sold.