It's been a good week for RE/MAX Holdings, Inc. (NYSE:RMAX) shareholders, because the company has just released its latest quarterly results, and the shares gained 8.7% to US$8.11. Revenues were in line with expectations, at US$74m, while statutory losses ballooned to US$0.10 per share. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.
We've discovered 3 warning signs about RE/MAX Holdings. View them for free.
Taking into account the latest results, the current consensus, from the five analysts covering RE/MAX Holdings, is for revenues of US$294.7m in 2025. This implies a perceptible 3.0% reduction in RE/MAX Holdings' revenue over the past 12 months. Statutory earnings per share are forecast to plunge 23% to US$0.33 in the same period. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$299.3m and earnings per share (EPS) of US$0.42 in 2025. The analysts seem to have become more bearish following the latest results. While there were no changes to revenue forecasts, there was a pretty serious reduction to EPS estimates.
View our latest analysis for RE/MAX Holdings
The consensus price target held steady at US$9.33, with the analysts seemingly voting that their lower forecast earnings are not expected to lead to a lower stock price in the foreseeable future. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. There are some variant perceptions on RE/MAX Holdings, with the most bullish analyst valuing it at US$10.00 and the most bearish at US$9.00 per share. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.
One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. We would highlight that revenue is expected to reverse, with a forecast 4.0% annualised decline to the end of 2025. That is a notable change from historical growth of 3.2% over the last five years. Compare this with our data, which suggests that other companies in the same industry are, in aggregate, expected to see their revenue grow 10% per year. It's pretty clear that RE/MAX Holdings' revenues are expected to perform substantially worse than the wider industry.
The Bottom Line
The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. The consensus price target held steady at US$9.33, with the latest estimates not enough to have an impact on their price targets.
Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have estimates - from multiple RE/MAX Holdings analysts - going out to 2027, and you can see them free on our platform here.
Plus, you should also learn about the 3 warning signs we've spotted with RE/MAX Holdings (including 2 which are significant) .
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.