Redfin Corp (RDFN) experienced a significant 10.34% plunge in its stock price during Thursday's intraday trading session, following the company's release of disappointing fourth-quarter 2024 earnings results and concerns over the worsening housing market conditions in Florida, one of its key markets.
The real estate technology company reported a quarterly adjusted loss of 29 cents per share, missing analyst estimates of a 24-cent loss. Despite revenue coming in slightly above expectations at $244.3 million, Redfin's adjusted EBITDA of $2.9 million fell short of the consensus estimate of $4.75 million.
The earnings miss was exacerbated by Redfin's report that Florida experienced a record high level of homes for sale in January 2025, with inventory surging 22.7% year-over-year to 172,209 homes. This surge can be attributed to several factors:
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