Realogy Holdings provides real estate and relocation services worldwide. The companys Real Estate Franchise Services segment franchise its real estate brokerage franchise systems under the Century 21, Coldwell Banker, Coldwell Banker Commercial, ERA, Sothebys International Realty, and Better Homes and Gardens Real Estate brand names to real estate brokerage businesses. The company was established in 2012 and is based in Madison, New Jersey.
RLGY Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Realogy Holdings Corp with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Realogy Holdings Corp ranked in the 41th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. As for the metrics that stood out in our discounted cash flow analysis of Realogy Holdings Corp, consider:
The company's balance sheet shows it gets 14% of its capital from equity, and 86% of its capital from debt. Notably, its equity weight is greater than just 8.88% of US equities in the Real Estate sector yielding a positive free cash flow.
Its compound free cash flow growth rate, as measured over the past 5.76 years, is -0.05% -- higher than only 22.35% of stocks in our DCF forecasting set.
Realogy Holdings Corp's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -1.33. This coverage rate is greater than that of merely 16.4% of stocks we're observing for the purpose of forecasting via discounted cash flows.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
ALX, IRT, FR, HT, and WRE can be thought of as valuation peers to RLGY, in the sense that they are in the Real Estate sector and have a similar price forecast based on DCF valuation.
Century 21 Real Estate LLC announced today that in the first four months of 2020, the CENTURY 21 System added 10 new companies and renewed 38 franchisees, including the renewal of its eighth and 11th largest companies, respectively: CENTURY 21 Real Estate Alliance and CENTURY 21 Beggins Enterprises. Overwhelmingly, owners at these companies cited the CENTURY 21 brand's leading quality service ratings, agile productivity platform, and almost 50-year legacy of relevance and industry leadership as the primary reasons why the global franchisor is the best growth option for its affiliated agents and their homebuying and selling clients.
Today, Century 21 Real Estate LLC announced the winners of its Q1 2020 "Relentless Agent Awards" honorees recognizing excellence in client services in the ever-evolving real estate industry. The select group of five winners was chosen from over 52,000 U.S. agents, specifically identified by client testimonials written about their efforts to go beyond the standard call of duty.
OLDWICK, N.J.--(BUSINESS WIRE)--AM Best has assigned a Financial Strength Rating of B++ (Good) and a Long-Term Issuer Credit Rating of “bbb+” to Title Resources Guaranty Company (TRG) (Dallas, TX). The outlook assigned to these Credit Ratings (ratings) is stable. TRG is ultimately owned by Realogy Holdings Corp. (Realogy) [NYSE: RLGY], a publicly traded company and real estate brokerage provider that franchises and owns several of the industry’s leading real estate brands and brokerage services
Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of Realogy Group LLC and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers.
ERA® Real Estate, a global franchising leader within the Realogy family of companies, today announced that four long-time franchisees have signed long-term renewals with the brand. The renewing companies have a combined affiliation tenure of 101 years. ERA King Real Estate Company and ERA Reardon Realty are both ranked in the brand's Top 20 Company Producers in Units with rankings of 11th and 20th, respectively. All four renewals, which also include High Pointe Real Estate and ERA Advantage Realty, Inc., showcased substantial growth since their affiliation with the ERA brand.