Rightmove (RTMVY) AI Stock Analysis

• Market Cap: $7.93B
• Dividend Yield: 1.01%
• Average Volume (3M): 4.13K
• Price to Earnings (P/E): 33.1
• Beta (1Y): 0.47
• Revenue Growth: 10.01%
• EPS Growth: 2.35%
• Country: US
• Employees: 900
• Sector: Communication Services
• Sector Strength: 88
• Industry: Internet Content & Information
• EPS (TTM): 0.31
• Shares Outstanding: 388,195,530
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 4,134
• PEG Ratio: N/A
• Price to Book (P/B): 81.43
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 24.73
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 80 Outperform
• Price Target: $24.00 ▲(17.36%Upside)

Rightmove's strong financial performance is the primary driver of the stock score, highlighting its profitability and financial stability. Positive technical indicators also contribute, though caution is advised due to potential overvaluation and overbought signals.

Rightmove Business Overview & Revenue Model

Company Description

Rightmove plc, together with its subsidiaries, operates property portals in the United Kingdom and internationally. It operates through Agency, New Homes, and Other segments. The Agency segment provides property resale and letting advertising services on its platforms. It also offers tenant references and rent guarantee insurance services to landlords. The New Homes segment provides property advertising services to new home developers and housing associations on its platforms. The Other segment offers overseas and commercial property advertising services; and non-property advertising services that include third party advertising and data services. It serves estate agents, lettings agents, and new homes developers. Rightmove plc was founded in 2000 and is based in Milton Keynes, the United Kingdom.

How the Company Makes Money

Rightmove generates revenue primarily through advertising services offered on its platform. The company's key revenue streams include fees from estate agents, rental agents, and new home developers who pay to list their properties on Rightmove's website. These clients often subscribe to tiered service packages that provide varying levels of exposure and analytics. Additionally, Rightmove generates income from display advertising, where third-party businesses pay to place advertisements on the website. The company's dominant market position and extensive user base are significant factors contributing to its earnings, as they attract a steady stream of advertisers eager to reach potential buyers and renters. Rightmove's partnerships with real estate professionals and its continuous investment in technological enhancements further bolster its revenue model.

Rightmove Financial Statement Overview

Summary

Rightmove is performing exceptionally well across all financial metrics. The company shows consistent revenue and profit growth, efficient cost and cash flow management, and solid financial stability with low leverage. While growth rates are moderate, the overall financial health is strong, positioning the company well in the Interactive Multi-Media industry.

Income Statement

Rightmove has demonstrated consistent revenue growth over the years, with a strong Gross Profit Margin consistently at 100%, indicating highly efficient cost management. The Net Profit Margin has been stable, currently at 54.65% for 2023, showcasing profitability. The EBIT and EBITDA margins are robust, reflecting operational efficiency. However, the revenue growth rate has been moderate, with a 9.53% increase in 2023, suggesting room for acceleration.

Balance Sheet

The company maintains a strong equity position with an Equity Ratio of 66.11% for 2023, indicating financial stability. The Debt-to-Equity Ratio is low at 0.11, reflecting minimal leverage, which reduces financial risk. Return on Equity (ROE) stands at 287.15%, highlighting exceptional returns to shareholders. However, the reduction in total assets over time could be a potential concern if not managed properly.

Cash Flow

Rightmove exhibits excellent cash flow management, with significant Free Cash Flow growth of 4.15% in 2023 and a strong Operating Cash Flow to Net Income Ratio of 1.04. The Free Cash Flow to Net Income Ratio is consistently high, demonstrating effective conversion of net income into free cash flow. These metrics indicate robust cash flow generation and liquidity.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
376.98M	364.32M	332.62M	304.89M	205.72M	289.32M
	Gross Profit
371.77M	364.32M	328.04M	304.89M	205.72M	289.32M
	EBIT
260.13M	258.03M	241.34M	226.10M	135.14M	213.73M
	EBITDA
261.94M	259.63M	243.06M	230.56M	136.99M	217.64M
	Net Income Common Stockholders
198.65M	199.15M	195.68M	183.09M	109.78M	173.09M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
18.22M	38.77M	40.14M	47.99M	96.69M	35.75M
	Total Assets
63.72M	104.87M	101.76M	107.58M	160.44M	98.15M
	Total Debt
13.06M	7.40M	9.57M	11.01M	12.31M	12.21M
	Net Debt
-1.07M	-26.14M	-25.52M	-31.98M	-84.38M	-19.40M
	Total Liabilities
51.13M	35.52M	33.60M	37.05M	37.30M	56.81M
	Stockholders Equity
12.58M	69.36M	68.16M	70.53M	123.14M	41.34M
Cash Flow		Free Cash Flow
213.34M	203.37M	195.24M	194.30M	92.81M	183.44M
	Operating Cash Flow
216.39M	206.71M	198.09M	195.02M	96.29M	184.22M
	Investing Cash Flow
-16.34M	-1.65M	-2.59M	-5.70M	824.00K	-16.15M
	Financing Cash Flow
-215.41M	-206.51M	-203.40M	-243.02M	-32.54M	-151.81M

Rightmove Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 20.45
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RTMVY, the sentiment is Positive. The current price of 20.45 is above the 20-day moving average (MA) of 20.13, above the 50-day MA of 19.34, and above the 200-day MA of 17.12, indicating a bullish trend. The MACD of 0.33 indicates Positive momentum. The RSI at 58.80 is Neutral, neither overbought nor oversold. The STOCH value of 81.29 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RTMVY.

Rightmove Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RTMVY	80 Outperform	$7.93B	33.08	259.57%	1.01%	10.01%	2.35%
CARG	70 Outperform	$3.14B	89.73	7.98%	―	0.63%	15.34%
Z	66 Neutral	$16.93B	―	-1.72%	―	14.96%	49.24%
ZG	64 Neutral	$16.93B	―	-1.72%	―	14.96%	49.24%
Sector *	61 Neutral	$14.59B	5.85	-4.31%	3.69%	2.76%	-30.36%
TRVG	53 Neutral	$282.91M	―	-11.66%	―	0.77%	87.59%
NBIS	47 Neutral	$11.02B	189.78	-10.51%	―	-98.74%	-128.03%