In a report released today, Lisa Yang from Goldman Sachs reiterated a Buy rating on Rightmove, with a price target of p858.00.
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Lisa Yang has given her Buy rating due to a combination of factors including Rightmove’s expected revenue growth and stable margins. The company is projected to see a 9% increase in revenue for the first half of 2025, slightly accelerating from the previous year’s growth. This growth is anticipated to be driven by an increase in agency revenue, a recovery in new home builds, and strategic growth areas such as data services and mortgages.
Furthermore, Rightmove is trading at a discount compared to its global peers and its own historical averages, making its valuation attractive. The company is expected to maintain a high operating margin of around 70%, and there is potential for industry consolidation which provides downside support. These factors, combined with a positive outlook for the UK real estate market, contribute to the Buy rating.