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Re/Max Holdings (RMAX)
NYSE:RMAX
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Re/Max Holdings (RMAX) AI Stock Analysis

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RMAX

Re/Max Holdings

(NYSE:RMAX)

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Neutral 60 (OpenAI - 5.2)
Rating:60Neutral
Price Target:
$9.50
▼(-1.96% Downside)
Action:Reiterated
Date:07/16/26
The score reflects a stable but currently low-profitability financial profile (contracting revenue and near-breakeven TTM earnings) balanced by a much-improved low-leverage balance sheet and positive cash generation. Technicals are supportive with the stock above key moving averages and positive MACD, while valuation is the main drag due to an extremely high P/E. Earnings call and corporate updates are constructive given strong YoY operating metrics and progress on the transformative RE/MAX transaction, but margin pressure and integration/leverage risks temper the outlook.
Positive Factors
Balance Sheet Strength
Very low debt relative to equity meaningfully reduces balance-sheet risk and preserves financial flexibility. This durable strength supports funding of integration costs, product investment, or opportunistic M&A without immediate refinancing pressure, aiding execution over the next 2–6 months.
Negative Factors
Persistent Revenue Decline
Multi-year top-line erosion is a durable headwind for a franchise-fee business where fees track transactions and agent productivity. Continued revenue contraction limits operating leverage and free cash flow expansion, making margin improvement and merger payback harder to achieve.
Read all positive and negative factors
Positive Factors
Negative Factors
Balance Sheet Strength
Very low debt relative to equity meaningfully reduces balance-sheet risk and preserves financial flexibility. This durable strength supports funding of integration costs, product investment, or opportunistic M&A without immediate refinancing pressure, aiding execution over the next 2–6 months.
Read all positive factors

Re/Max Holdings (RMAX) vs. SPDR S&P 500 ETF (SPY)

Re/Max Holdings Business Overview & Revenue Model

Company Description
RE/MAX Holdings, Inc. operates as a franchisor of real estate brokerage services in the United States, Canada, and internationally. The company operates through three segments: Real Estate, Mortgage, and Marketing Funds. The Real Estate segment co...
How the Company Makes Money
Re/Max Holdings primarily makes money by franchising its brands rather than by directly brokering real estate transactions. Its key revenue streams generally include: (1) Ongoing franchise fees and dues from RE/MAX real estate brokerage offices an...

Re/Max Holdings Earnings Call Summary

Earnings Call Date:May 08, 2026
(Q1-2026)
|
% Change Since: |
Next Earnings Date:Aug 06, 2026
Earnings Call Sentiment Positive
The call presents a majority of positive operational and financial developments — strong revenue growth (+32% YoY), significant adjusted EBITDA expansion (+80% YoY), transaction and agent growth (+25% transactions) and tangible progress across ancillary products (Real Wallet, Title, Mortgage). Management also announced a strategic acquisition of RE/MAX with quantified synergies and cross‑sell opportunities. Offsetting risks include an ongoing operating loss (albeit improved), gross margin pressure from capped agent mix, a near‑term step‑up in acquisition costs and the need to execute a complex integration while carrying acquisition-related leverage. On balance, highlights materially outweigh the identified lowlights given the growth, profitability trajectory and clear strategic rationale for scale.
Positive Updates
Strong Revenue Growth
Q1 revenue of $466.0M, up 32% year-over-year.
Negative Updates
Operating Loss Remains Negative
Operating loss of -$3.4M in Q1 (improved vs prior year but still in the red).
Read all updates
Q1-2026 Updates
Negative
Strong Revenue Growth
Q1 revenue of $466.0M, up 32% year-over-year.
Read all positive updates
Company Guidance
Management gave directional (not formal) guidance: they expect Q2 revenue to rise sequentially with normal seasonality, but gross margin to trend lower through the year as more agents hit commission caps (Q1 gross margin 9.1% vs 9.6% a year ago), with Q2 YoY margin pressure similar to Q1 and a flatter YoY trend expected in H2. They warned Q2 operating expenses will reflect a material step‑up in RE/MAX acquisition‑related costs (to be reported as non‑recurring) but reiterated the plan to grow OpEx slower than revenue to drive continued YoY improvement in adjusted EBITDA (Q1 adjusted EBITDA $14.9M, +80% YoY) and improved operating loss (Q1 operating loss $3.4M). On the transaction and capital plan they target closing in H2, modeled RE/MAX at roughly $880M enterprise value (~9x trailing adj. EBITDA of ~$94M, ~7x post‑synergies), underwrote $30M of run‑rate cost synergies, will take on debt but expect to delever to ~2x net debt/adjusted EBITDA by the end of the second full fiscal year post‑close, and noted ancillary tailwinds (ancillary revenue $3M, +34%; Real Wallet revenue $436k, ~+250%; weekly debit card spend >$1M; deposits >$25M) that should help margins over time.

Re/Max Holdings Financial Statement Overview

Summary
Overall financial quality is mixed. The balance sheet has improved meaningfully with very low debt versus equity, and operating/free cash flow remain solidly positive. Offsetting that, revenue has been contracting for multiple years and the latest TTM profitability is near breakeven, keeping returns on equity very weak.
Income Statement
54
Neutral
Balance Sheet
62
Positive
Cash Flow
58
Neutral
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue287.36M291.60M307.69M325.67M353.39M329.70M
Gross Profit192.34M168.07M228.70M241.81M263.07M247.31M
EBITDA62.12M77.18M72.02M26.62M74.80M20.52M
Net Income370.00K8.15M7.12M-69.02M6.11M-15.62M
Balance Sheet
Total Assets572.35M582.48M581.59M577.15M693.96M776.13M
Cash, Cash Equivalents and Short-Term Investments107.13M118.74M96.62M82.62M108.66M126.27M
Total Debt456.92M459.48M472.07M483.98M493.38M504.33M
Total Liabilities614.00M611.46M639.99M653.21M663.53M707.07M
Stockholders Equity446.15M452.41M429.48M411.06M479.90M508.27M
Cash Flow
Free Cash Flow25.04M33.50M53.03M21.84M61.21M27.20M
Operating Cash Flow33.14M40.88M59.65M28.26M71.14M42.44M
Investing Cash Flow-8.51M-7.78M-5.88M-5.64M-11.50M-194.92M
Financing Cash Flow-9.81M-10.75M-8.27M-35.82M-78.36M189.35M

Re/Max Holdings Technical Analysis

Technical Analysis Sentiment
Negative
Last Price9.69
Price Trends
50DMA
9.90
Negative
100DMA
8.66
Positive
200DMA
8.17
Positive
Market Momentum
MACD
0.05
Positive
RSI
38.86
Neutral
STOCH
4.15
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RMAX, the sentiment is Negative. The current price of 9.69 is below the 20-day moving average (MA) of 10.43, below the 50-day MA of 9.90, and above the 200-day MA of 8.17, indicating a neutral trend. The MACD of 0.05 indicates Positive momentum. The RSI at 38.86 is Neutral, neither overbought nor oversold. The STOCH value of 4.15 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for RMAX.

Re/Max Holdings Risk Analysis

Re/Max Holdings disclosed 31 risk factors in its most recent earnings report. Re/Max Holdings reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Re/Max Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
71
Outperform
$359.50M-54.61-11.91%46.70%61.90%
67
Neutral
$2.68B18.098.03%0.97%23.03%88.89%
65
Neutral
$2.17B12.193.79%4.94%3.15%1.96%
60
Neutral
$314.04M417.510.08%-5.43%-93.40%
48
Neutral
$155.45M84.503.26%-5.23%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
RMAX
Re/Max Holdings
9.06
1.55
20.64%
NMRK
Newmark Group
15.00
-0.36
-2.33%
REAX
Real Brokerage
1.60
-2.40
-60.00%
DOUG
Douglas Elliman Inc.
1.69
-0.49
-22.48%

Re/Max Holdings Corporate Events

M&A TransactionsRegulatory Filings and Compliance
RE/MAX gains antitrust clearance for Real Brokerage merger
Positive
Jul 15, 2026
On April 26, 2026, RE/MAX Holdings entered into an Arrangement Agreement and Plan of Merger with The Real Brokerage Inc. and several affiliated entities to pursue a structured combination of their operations. The contemplated transaction progresse...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 16, 2026