REA Group Ltd's stock surged 5.03% during Monday's intraday trading session, marking a significant upward movement.

The sharp rise follows a bullish analyst call from Jefferies, which upgraded its recommendation on the property advertiser to buy from hold. Analyst Roger Samuel cited the stock's "excessive" decline of about 30% over the past six months as presenting an attractive entry point for investors.

In a note to clients, Samuel stated that REA Group, controlled by News Corp, can deliver double-digit yield growth without significantly increasing its marketing or R&D spending. He also viewed the company as less likely than comparable peers to be disrupted by artificial intelligence, further supporting the positive outlook.