Rightmove (RMV.L)
Communications · LSE · UK
Fundamentals
Valuation and ratings
Rightmove trades at £4.56, which is 107% below the £9.44 our discounted cash flow model puts on the business. On that measure alone it screens as undervalued, though a DCF is an argument rather than a measurement, and the market is frequently right about why something is cheap.
Our moat model scores it 86 out of 100, which is a wide moat. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 15.5 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About Rightmove
Rightmove plc, together with its subsidiaries, operates property portal in the United Kingdom and internationally. The company operates through Agency, New Homes, and Other segments. The Agency segment provides resale and lettings property advertising services, and rental operators advertising and rental services on its platforms. This segment also offers tenant referencing and rent guarantee insurance services to lettings agents and landlords. The New Homes segment provides property advertising services to new home developers and housing associations on its platforms. The Other segment offers commercial and overseas property advertising services; non-property advertising services that include third party advertising and data services; and mortgage services. The company serves property professionals, such as residential and commercial estate/letting agents, residential developers and operators, surveyors, lenders, mortgage lenders/brokers, home services providers, and other professionals. Rightmove plc was founded in 2000 and is based in Milton Keynes, the United Kingdom.
RMV.L passes 6 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Common questions
Is Rightmove (RMV.L) undervalued?
Against our discounted cash flow estimate of £9.44, RMV.L at £4.56 is 107% below fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
What is RMV.L's P/E ratio?
RMV.L trades at 15.5 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
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Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.