Morgan Stanley Downgraded RE/MAX Stock, Price Target Slashed By Over 50% — NAR Ruling Key Risk
Morgan Stanley Downgraded RE/MAX Stock, Price Target Slashed By Over 50% — NAR Ruling Key Risk
The stock of real estate brokerage firm RE/MAX Holdings Inc (NYSE:RMAX), short for Real Estate Maximums, was downgraded to underweight on Nov. 6 by Morgan Stanley (NYSE:MS).
房地产经纪公司的股票 RE/MAX 控股公司 纽约证券交易所代码：RMAX）是房地产最高指数的缩写，于11月6日被下调至减持 摩根士丹利 （纽约证券交易所：MS）。
The investment bank identified the NAR ruling as a key risk.
该投资银行将NAR的裁决确定为关键风险。
"NAR ruling increases risk of further litigation and costly settlements," said the note. Housing strategists at Morgan Stanley expect 2024 to present a challenging backdrop to the company. Accordingly, the firm re-adjusted its EBITDA and EPS expectations, leading to a $10.50 drop in their price target.
该报告说：“NAR的裁决增加了进一步诉讼和昂贵和解的风险。”摩根士丹利的住房策略师预计，2024年将为公司带来充满挑战的背景。因此，该公司重新调整了其息税折旧摊销前利润和每股收益预期，导致其目标股价下跌10.50美元。
The RMAX Analyst: Morgan Stanley analyst Ronald Kamdem, CFA had a revised price target of $9 with an Underweight rating. The firm used a 6.5x multiple, representing a 6% discount to CRE brokers (at 6.9x) and a 34% discount to RMAX 5-year historical average.
RMAX 分析师： 摩根士丹利分析师 Ronald Kamdem，CFA 修改后的目标股价为9美元，评级为减持。该公司使用了6.5倍的倍数，相当于CRE经纪商的6％折扣（6.9倍），比RMAX的5年历史平均水平折扣34％。
The stock was earlier rated Equal-weight with a price target of $19.50.
该股早些时候被评为同等权重，目标股价为19.50美元。
The RMAX Takeaways: Morgan Stanley analysts laid out five risks that could weigh down the stock's multiple:
RMAX 要点： 摩根士丹利分析师列出了五种可能压低该股倍数的风险：
- The risk of additional litigation and costly settlement
- Earnings risk , given RMAX's direct exposure to broker fees
- Limited ability to return capital to shareholders
- 8% mortgage rate remains an ongoing headwind
- Management transition at a time of ongoing litigation exposes the firm to execution risk
- 额外诉讼和昂贵和解的风险
- 鉴于RMAX直接面临经纪人费用，收益风险
- 向股东返还资本的能力有限
- 8％的抵押贷款利率仍然是一个持续的不利因素
- 在诉讼持续之际，管理层的过渡使公司面临执行风险
RMAX Price Action: RMAX was trading down 10.19% at $9.70 at publication Tuesday.
RMAX 价格走势： 周二公布时，RMAX交易价格下跌10.19％，至9.70美元。