Share in British actual property itemizing firm Rightmove plummeted as a lot as 28% on Friday after it warned of decrease revenue development on the again of accelerated investments in synthetic intelligence.
Rightmove projected a working revenue development of three% to five% in 2026, coming in decrease than its forecast of 9% development this yr. The agency put the shrinking all the way down to its AI investments because it upgrades inside techniques and its consumer-facing app and search instruments. It is also newer functions of AI, corresponding to brokers.
The share transfer marks a brand new 52-week low for the agency, although it pared some losses and was final buying and selling 12% decrease.
UBS analysts mentioned the “strategic pivot poses essential questions that the market won’t but have solutions to” and moved its value goal and ranking for Rightmove to below evaluation.
This can be a growing story. Verify again for updates.
