REA Bull Sees Post-Result Selloff as Overdone -- Market Talk

Dow Jones
02/06

0328 GMT - REA Group's bull at Citi views the selloff that followed the real-estate advertiser's 1H profit miss as overdone. Analyst Siraj Ahmed reckons the fall is large given the scale of the miss. However, any negative news was always likely to be badly received, given elevated concerns across the sector, he says. The analyst tells clients in a note that the News Corp-controlled company's expectation of continued double-digit yield growth in fiscal 2027 is a positive. Ahmed notes that the driver of the 1H profit miss relative to his forecasts was the effective tax rate expected across the full year. Citi has a buy rating and a A$222.70 target price on the stock, which is down 7.4% at A$168.90. News Corp is the parent company of Dow Jones & Co., publisher of The Wall Street Journal and Dow Jones Newswires. (stuart.condie@wsj.com)

 

(END) Dow Jones Newswires

February 05, 2026 22:28 ET (03:28 GMT)

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