Why Redfin Stock Was Hammered Today
Shares of real estate broker Redfin (NASDAQ: RDFN) were hammered on Thursday after the company reported results for the fourth quarter of 2020. They exceeded expectations, and a couple of Wall Street analysts even raised their price targets for the stock. But it appears investors are concerned about the company's profit guidance. As of 11:30 a.m. EST today, Redfin stock was down 14%.
For 2020, revenue increased 14% year over year to $886 million, and fourth-quarter revenue beat expectations by a wide margin. Looking back, it was a surprising year. Early in the pandemic, Redfin laid off agents, expecting a massive slowdown. However, the slowdown never really materialized as evidenced by the company's strong top-line growth.
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Source Fool.com
