Rumors that real estate behemoth Realogy may be in talks to acquire Trulia pushed the price of the listing portal’s shares up 10 percent before markets closed today, but analysts who follow the companies didn’t think much of all the talk.
Realogy — which runs some of the biggest brands in real estate including Coldwell Banker Real Estate, Century 21 Real Estate and Better Homes and Gardens Real Estate — declined to comment. So did Trulia.
Stock analysts who follow the companies said the merger chatter — which put a $52-per-share price target on Trulia, implying a deal in the $2 billion range — was probably just that.
“To me, it feels like a bogus rumor because someone needed to get out of a position,” said Bradley Safalow, founder and CEO of stock analysis firm PAA Research.
Zachary Prensky, managing partner of Little Bear Investments, said he thought the rumor was a “complete fabrication.”
Still, suggestions that an established real estate company like Realogy would (or should) make a play for a listing portal like Zillow or Trulia have been in play this year.
– See more at: http://www.inman.com/2013/11/13/realogy-and-trulia-might-make-a-nice-couple-but-are-they-really-headed-to-the-altar/#sthash.0v2xongA.dpuf