Benchmark sees housing market as ‘ready to reset,’ starts five Buys

As previously reported, Benchmark analyst Michael Rindos initiated coverage of Compass (COMP) with a Buy rating and $14 price target, eXp World (EXPI) with a Buy rating and $8 price target, Real Brokerage (REAX) with a Buy rating and $5.50 price target, AppFolio (APPF) (AAPF) with a Buy rating and $222 price target, and Frontdoor (FTDR) with a Buy rating and $80 price target. After three years of sluggish turnover, the firm sees the housing market as “ready to reset” with plenty of pent-up demand on the sidelines and building inventory that may result in some reduced sale prices that could offset the friction from modestly higher rates. In that context, the firm views the recent hit in residential real estate equity prices as having moved the stocks to attractive levels, creating opportunity if and when the current volatility recedes, the analyst tells investors.