Is Realogy Stock A Solid Long Term Investment?
If you want to grow your finances, a smart move could be venturing into the field of investments. Here, your funds multiply as opposed to savings where they remain rather static. Though there are several fields of investing, one that has been gaining much mainstream is the financial markets sector. To invest in it, you need to buy stocks and wait for their price to appreciate. then sell them at a profit. There are several companies that you can consider buying into their shares, and one of them is Realogy. This is a real estate company that specializes in relocation and settlement services. It owns several franchises and brands in the properties sector. Let us have an in-depth look at this company to see if its stocks are worthy of a long term investment plan.
History Of Realogy
The history of Realogy begins with the end of its parent company, Cendant Corporation. As from Realogy's Wikipedia page, when Cendant split all its interests to different companies, Realogy came up to organize its real estate interests. The Cendant shares were then distributed to the existing shareholders of the parent company.
Towards the end of 2006, Apollo Management, a private equity group, acquired the company at an impressive deal worth $8.5 billion. The company has grown ever since to be one of the leading real estate entities in the United States of America. As from its official website, Realogy is a diverse company in the properties sector, featuring several companies under its umbrella. Among the companies include Better Homes and Gardens, Sotheby's International Realty, Coldwell Banker Commercial, and Century 21.
The company is also present in other 113 countries with 112000 independent sales agents serving in these countries. Topped up with the 190000 sales agents in the United States of America, you get a hint of how big the firm is. It has several accolades to its name, mainly in the workplace conduciveness aspect. So is this company a worthy option to look at if you want to make long term investments on its stocks? Let us look at some key factors you need to consider to deem this company as a possible stock venture front.
Its Current Stock Performance
When you want to invest in a company's securities, one vital area you need to look at is its performance. It gives you a hint of the bearing of your funds should you decide to buy into its market. The company got listed on the New York Stock Exchange in 2012, trading its 40 million shares. A share went at the cost of $27 each, and the company raised $1.08 billion. That was a good start, and it is now a significant feature in this stock exchange, boasting of decent revenue of $5.81billion and an operating income of roughly $350 million. When it comes to the present pricing, there was a time that its stocks had an excellent bull run and were trading at around $13. However, the prices plummeted and reached lows of $5 according to a Yahoo excerpt. The good thing is that the market was quite stable and it has since appreciated to its current trading value of around $8.
The Company’s Reputation
The company’s reputation is another factor to guide you to know if you will venture into its market for a long term trading stint. A good reputation will attract other investors who also wish to invest in the company. The interested parties create a vibrant market for the company, and it is easy to sell your stocks when need be.
At the moment, Realogy prides itself as the top realty company in the United States. Its performance also makes it stand out, the same to its many awards during the time it has been in the real estate industry. A look at Forbes’ website, you get an idea of some of the awards it has. Among them is taking the 191st position in the 2020 Forbes ranking for the Best Employers for Diversity. In 2016, it took the 65th position in Forbes ranking for America’s Best Midsize Employers. Such feats give it a good name that also attracts many businesspersons who have an interest in its securities.
The Competitor Factor
When getting into the financial trading market, you need to be good in research to know which the most suitable company is. One of the elements you need to focus on as part of your study is the firm's competition. The competition can affect the stock prices of the company, leading to price shifts that can either have amid a bull or bear run. Realogy does have some competitors, though its structuring allows it to be on top of the game in its respective commercial sector.
The Company’s Bearing
As it is a long term investment plan you need some research skills to give you a clear picture of the future rates that the firms' stocks will have. The real estate company employs technological advances in the conducting of its affairs, and it most probably will adapt to future conditions in the commercial environment.
To Invest Or Not To Invest In Realogy
If you have your eyes on Realogy, planning on a long term trading stint, then you are probably on the right track. Above are some of the factors to consider when you want to venture into the financial trading markets. The property dealer ticks the box on these elements, and this promises you a worthy investment should you decide to buy into its market. Nevertheless, you should conduct further research to understand its market correctly, to give you a proper lead on the trading strategy to employ. Otherwise, dig into your account and get into a long term investment plan with Realogy to strike a fortune in the future.
Written by Bill Vix
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