RDFN - Zillow: Post-Earnings Sell-Off Has Created An Attractive Opportunity
2024-05-02 02:28:08 ET
Summary
- Zillow reported its Q1 FY24 earnings, where revenue and earnings grew 13% and 20% YoY respectively, beating expectations.
- Although management expects a deceleration, Zillow continues to innovate on its robust growth pillars to attract high intent buyers and convert effectively in its Residential segment.
- I am also optimistic about Zillow’s focus on driving growth in the Multifamily Rentals space, as the whole category is growing the fastest among all segments.
- Although macroeconomic uncertainty remains a concern, I believe Zillow is well positioned to drive growth in the Residential and Rentals segment, while maintaining strong operating margins.
Introduction & Investment Thesis
Zillow ( Z ) is an online real estate marketplace that has severely underperformed the S&P 500 and Nasdaq 100 YTD. The company reported its Q1 FY24 earnings on May 1st, where revenue and earnings grew 13% and 20% YoY, respectively, beating estimates. However, the stock declined 6% after earnings....
Zillow: Post-Earnings Sell-Off Has Created An Attractive Opportunity