As previously reported, Morgan Stanley analyst Vikram Malhotra upgraded RE/MAX Holdings to Overweight from Equal Weight, noting that the stock is down 36% year-to-date as the housing market has cooled, like its housing-levered peers. However, he thinks the current valuation does not give much credit for its franchise attributes, telling investors that RE/MAX's agent-driven recurring revenue model makes it a steadier housing play. Additionally, the market seems to be undervaluing the company's new mortgage business, Motto, Malhotra contends. However, he lowered his price target on RE/MAX shares to $36 from $56.

Real Estate Services Analysts, along with James Dwiggns, CEO of NextHome, discuss the latest perspectives on the proposed National Association of Realtors (NAR) Settlement and the implications on brokerage business models (relevant companies ZG/Z, CSGP, COMP, RDFN, EXPI, HOUS, FTHM, REAX, RMAX) on an Analyst/Industry conference call to be held on May 1 at 11 am.