BMO Nesbitt Burns’ Thanos Moschopoulos cut his target for Real Matters Inc. to $18 from $20 with a “market perform” rating ahead of the release of its third-quarter results. The average target on the Street is $24.50.
“We’re apprehensive about recent softness in the U.S. residential purchase market (from a transaction volume perspective) and by the risk of potential weakness in the refi market over the next year, assuming that mortgage rates return to an upward trajectory,” he said. “We do see potential upside to the stock, should the rate environment prove to be more favorable than we’re expecting—particularly if REAL can sign up additional Tier 1 lenders for Title over the coming months.”