Redfin's Revenue Just Crashed 45%, but Here's Why Its Stock Price Absolutely Soared
When companies report their financial results each quarter, investors learn new information about the strength of their businesses. That's particularly important right now given how challenging the broader economic climate has been during the last 18 months with high inflation and rising interest rates.
The real estate sector has been one of the biggest casualties. Consumers saw their borrowing power slashed, which crimped demand, so any company reliant on home sales to generate revenue has suffered.
Real estate technology specialist Redfin (NASDAQ: RDFN) is one of them. It just reported its 2023 first-quarter results, but despite a whopping 45% decline in its revenue, its stock soared 37%. I'll explain why it happened, and why investors might want to buy the stock.
Source Fool.com
