RE/MAX Holdings, Inc. (RMAX)
Valuation Overview•Is RE/MAX Holdings, Inc. Overvalued or Undervalued?
The market is pricing the stock in line with historical averages, assuming steady-state growth.
Fragile underlying quality score of 44/100; weak margins or elevated debt leverage warrant caution.
Analysts remain bullish, forecasting further upside expansion with consensus targets suggesting solid gains.
Verdict: Average quality business weighed down by significant growth concerns.
Wall Street is highly bullish, projecting significant upside alongside robust expected earnings growth. However, capital return yields remain modest, anchored by a strong, well-covered dividend yield.
RMAX demonstrates adequate business quality with stable profitability. However, the balance sheet carries elevated leverage, requiring careful monitoring of debt servicing capabilities.
The company is facing top-line contraction (-6.2% 3Y CAGR) paired with stable bottom-line earnings. Operating efficiency remains adequate with margins around 15.0%.
| Financial Metric | Trend (12Q) | Latest Qtr | 1Y Growth | 3Y CAGR | 5Y CAGR | 10Y CAGR |
|---|---|---|---|---|---|---|
| Revenue | $70.2M | -5.2% | -6.2% | +1.9% | +5.1% | |
| EBITDA | $6.6M | — | -1.2% | — | — | |
| Net Income | -$9.7M | +14.5% | +10.1% | — | -6.9% | |
| EPS (Diluted) | $-0.48 | +8.1% | +7.7% | -8.1% | -11.1% | |
| Free Cash Flow | -$4.5M | -36.8% | -18.2% | -12.1% | — |
| Metric | TTM | 3Y Avg | 5Y Avg | 10Y Avg |
|---|---|---|---|---|
| Gross Margin | 66.9% | 68.7% | 71.1% | 77.7% |
| Operating Margin | 15.0% | 8.5% | 6.6% | 20.1% |
| Net Margin | 0.1% | -5.4% | -3.8% | 2.6% |
| FCF Margin | 8.7% | 11.8% | 12.2% | 20.6% |
| Quarter | EPS Est. | EPS Act. | Surprise | EPS | Rev |
|---|---|---|---|---|---|
| Q2'26Latest | $0.22 | $0.16 | -28.7% | ||
| Q2'26 | $0.22 | $-0.48 | -313.8% | ||
| Q1'26 | $0.28 | $0.30 | +7.1% | ||
| Q4'25 | $0.36 | $0.37 | +2.8% | ||
| Q3'25 | $0.35 | $0.39 | +11.4% | ||
| Q2'25 | $0.18 | $0.24 | +33.3% | ||
| Q1'25 | $0.29 | $0.30 | +3.4% | ||
| Q4'24 | $0.36 | $0.38 | +5.6% |
Total return is +21.8% (1Y), lagging the benchmark by -3.2%
| Period | Total Return | vs S&P 500 (Alpha) | Dividend Contribution |
|---|---|---|---|
| YTD | +32.3% | +23.0% | — |
| 1Y | +21.8% | -3.2% | — |
| 3YCAGR | -18.0% | -38.1% | +1.3% |
| 5YCAGR | -18.4% | -31.6% | +6.3% |
| 10YCAGR | -9.1% | -22.8% | — |
The S&P 500 is at 31.3x trailing P/E — Expensive relative to historical averages.
Quick answers to common questions about RE/MAX Holdings, Inc. (RMAX) valuation, health, and returns.
RE/MAX Holdings, Inc. valuation is being assessed using available models.
RE/MAX Holdings, Inc. has multiple valuation anchors: Wall Street Analyst Target: $16.67 (implying +70.3% upside). A convergence of these signals offers higher conviction.
RE/MAX Holdings, Inc. displays fair financial health with a composite quality score of 44/100, supported by a Piotroski F-Score of 6/9, Return on Invested Capital (ROIC) of 10.9%.
RE/MAX Holdings, Inc. pays a 0.2% dividend yield, covered by a 6% payout ratio with 0 years of growth, supplemented by a 0.0% buyback yield.
RE/MAX Holdings, Inc.'s current growth trajectory is Stable. The company achieved -5.2% 1Y revenue growth and +8.1% 1Y EPS growth, compared to its 3Y revenue CAGR of -6.2%.
Wall Street consensus is Hold based on 14 analysts, beating EPS expectations in 83% of recent quarters with a -2-quarter streak. The consensus price target represents a +70.3% change from current levels.
Investment risks for RE/MAX Holdings, Inc. include: -44.7% 1-year max drawdown. Volatility risk is characterized by a beta of 1.12x.
No. These computations are purely quantitative model outputs for informational purposes. They do not account for qualitative management shifts or macro events. Always consult a licensed RIA before buying or selling shares.
Disclaimer: This page is for informational purposes only and does not constitute financial advice. All valuation models, scores, and target estimates are automated computations under stated assumptions and should not be relied upon as the sole basis for any investment decision.