RIGHTMOVE (RMV)– Media
| Price: 561.8p -0.5% | P/E: 21.7x |
| Market Cap: £4.3bn | Yield: 1.8% |
After receiving a drubbing last week for announcing plans to ramp up AI spending, property portal Rightmove has revealed it faces a potential claim for as much as £1 billion from estate agents who allege the group charged them ‘excessive and unfair’ fees to list on its website.
Our View
The legal action is apparently being led by Jeremy Newman, a former panel member of the UK’s antitrust authority.
In a statement, Newman said the case would ‘seek to return the overpaid fees to estate agents across the country and to rebalance the relationship between Rightmove and the estate agents that use its online property portal’.
The fact the shares haven’t collapsed may be a sign the market puts little faith in the agents’ claim, but this could become a binary bet so we would give the stock a miss for now.
Read the press release here: https://plc.rightmove.co.uk/
