Shares in Purplebricks yesterday fell to a recent low, while Countrywide also slipped again.
In contrast, Rightmove shares edged up to a new record high.
A year ago, Purplebricks shares were climbing towards a high of 404p which they hit on May 22.
Since then, they have been falling steadily, and yesterday at one stage went as low as 116p, ending at 119p.
The highest the stock has traded was in July 2017 when the shares hit 513p.
Purplebricks floated on the London Stock Exchange at £1 in late December 2015, falling to 73p the following month, before their meteoric rise.
Yesterday’s share price was the lowest since that upward trajectory briefly halted in December 2016, slipping to about 104p.
Purplebricks’ slump comes after the company admitted falling behind in Australia and the US.
Rightmove meanwhile enjoyed a record day on the stock market, with shares edging up some 1% to end at around 548p, at one stage going up to 551p.
It found its new happy after the shares started this year at around 438p.
Countrywide looks as though it has yet to convince investors of its turnaround plan, with shares yesterday at one stage dropping about 4% to a low of just over 7p.
They finished the day at 7.1p with pauses on two brief occasions by the London Stock Exchange using a device called price monitoring mechanisms, in order to allow a review of prices after the day’s trading finished.
Comments (17)
The PB model as it exists today does not , nor will , ever work. The share price will be back to where it started anytime soon and I would hope questions will be asked!! I am not sure whether employees , clients or shareholders will be feeling the love at the moment….. Thank goodness Kenny is back in the UK to sort things out !!
OTMP SHARE PRICE NOT MOVED A PENNY TODAY…..Has trading in that been suspended too?
Its all very strange, seems rudderless and without a strategy for further growth. How it has created so much vitriol from its core subscribers beggars belief.
It is invisible and needs to sort itself out quickly or it will wink up.
PB Purp shares plummeting again which is clearly good news.
Countrywide will be sold or broken up sooner rather than later in my view. The sharks are a circling.
If you are an agent, I can only presume you don’t use OTM.
It’s an excellent package and is seriously gathering traction. Most properties launched now have more leads from OTM than RM (depending on value)
No vitriol here. Just fact.
Purple Bricks’ marketing is to a great extent built on the two reviews sites they use (why two?). Once the CMA wakes up there will be fireworks.
Who cares?
PB will survive if it drops its business interests in Australia and The USA. It has the option of raising additional funds or merging with the likes of LSL or Countrywide. Either way there will be a cheap call centre option for all full service agents to fight it out with ,for years to come.
I’m with J Banana I think Purple Bricks have the perfect storm coming with a slowing market High Street Estate Agents falling and getting closer to there figures whilst offering more service and no sale no fee. As for Rightmoves the shares are being traded on past performance and will do till they issue there next results which will show a drop in the 1 to 2000 mark and a crisis will ensue there as the city realises peak rightmove has come ….. and passed. Agents that see this unfold will suddenly realise there is life after rightmove and feeling the effects of a slow market the momentum to save money will gather pace like a rolling snowball.
It is very hard trying to gauge how many agents have recently left Rightmove, as in over the past 6 months. As you say, the shares are storming ahead on no new news.
I think PB will go from strength to strength if Uber are anything to go by. I read this report:(https://techcrunch.com/2019/02/15/uber-reports-3b-in-q4-revenue-rising-operating-losses/?guccounter=1&guce_referrer_us=aHR0cHM6Ly93d3cuZ29vZ2xlLmNvbS8&guce_referrer_cs=IOQKorPi1oQD2niMz8mn5Q) which says Uber are still trading at a loss of over $850+ and on BBC just recently it is reportedly valued at over $300 billion. It makes no sense to me how they can stay in business so guessing there are things we just don’t understand regarding investors etc. PB probably will most definitely get more investment and maybe their losses are due to expansion costs etc.? who knows. RM will continue going from strength to strength too because OTM doesn’t offer anything different or added value. Who cares if a property goes on theirs 24 hours before anywhere else.
J Banana’s prediction appears more likely. Expect the rapid demise of both RM and PB in the very near future.
Purple will go. By next year it won’t exist. No profits. No company.
RM will lose ground next year in a similar way. The only way is down. Overvalued and poor dividend.
I think unfortunately both of these statements will not happen. PB will get another investment, yes they need another big bail out, and it will undoubtedly be dependent on dropping their overseas mess.
Rightmove will continue to thrive financially until OTM proves it has long term sustainability. Once the freebie terms end, how many agents will pay to advertise with OTM as well as RM and Z? How many agents have the balls to drop RM?
Dont get me wrong, i would love your thoughts to come reality, but i just dont think they will
We dropped RM at the end of February and are now paying OTM and Zoopla. What we have noticed is that we are not wasting so much time on leads that don’t answer, don’t call back or respond to emails sent!! We are now talking to people that really want a property and figures are up on expected!
Sorry but purplebricks shares are still stronger than any of our competitors… the future is purple! I have sold 3 properties in the last week and instructed 4 . How many high Street agents can say the same
yes three sold, total fees for the three?
£18K
why do you think I don’t work for cheap on line?
A: I want a decent wage
B: I want to offer a full service
C: I want the business to be still viable this time next year
D: I didn’t charge anyone for not doing my job (no upfront fee)
E: I offer a honest, transparent service
OTM now provides more quality leads than RM for most agents. Particularly the high end ones.
Looks like the Purple Bubble is about to be disrupted