Investec yesterday downgraded Rightmove shares from a “hold” to a “sell”.
The specialist banking and asset management group cut its target price for the shares from 2,612p to 2,000p.
Investec said it had downgraded Rightmove, citing concerns about the launch of OnTheMarket on January 26.
It said this “could cause some trading turbulence, not helped by a tougher near-term housing market”.
The market reacted quickly, with shares falling steeply within the first few hours of trading, although they later recovered slightly.
They ended at 2,188p, a fall of 57p (2.5%).
Zoopla shares, on the other hand, recovered Tuesday’s lost ground and ended at 190.55p, up 11.60p (6.5%) – making it the FTSE 250’s highest riser of the day.
Comments (2)
The mysteries of the stock market eh. The conspiracy theorists amongst us might suggest that Zoopla share price dropping massively one day and rising the next would suggest some protecting of share price going on perhaps.
OnTheMarket.com launches 26/01/2015…. that's the most positive story for our industry. NO stockmarket, NO shareholders… an estate agency backed portal that focuses on estate agency. At last!