Why Redfin Stock Dropped 20.7% in November
Shares of Redfin (NASDAQ: RDFN) dropped 20.7% in November, according to data from S&P Global Market Intelligence. The real estate marketplace and technology company reported solid quarterly results but was dragged down with the broad market sell-off in growth stocks. It also was likely impacted by Zillow's (NASDAQ: Z) decision to end its iBuying program.
On Nov. 4, Redfin released its earnings results for the three months ending in September. Revenue came in at $540 million, up 128% year over year, with gross profit up 37% to $127 million.
That revenue number was above analyst expectations for $539 million in the quarter. The majority of this growth came from Redfin's iBuying segment -- called RedfinNow -- which grew revenue by 1,000%. Redfin's core business, real estate services, only grew gross profit 5% year over year to $96 million.
Source Fool.com
