Why Compass (COMP) Is Climbing Today

Compass (COMP) is advancing 4% after investment bank Oppenheimer increased its price target on the shares. COMP provides real estate brokerage services.

Oppenheimer’s Take on COMP Stock

The investment bank increased its price target on COMP to $12 from $9.50. After the company positively pre-announced its Q4 results and made upbeat comments, Oppenheimer is bullish on the outlook for the company’s Q4 results and kept an Outperform rating on the shares.

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Oppenheimer believes that Compass could benefit from the potential termination of the “clear cooperation” policy which forces realtors to share all of their listings with their colleagues within one day of seeking buyers for them. As a result of the possible change, the value of Compass’ listings could increase, Oppenheimer believes.

Another Bank Was Recently Bullish on COMP

On Feb. 11, Swiss bank UBS upgraded Compass to Buy from Neutral. The bank contended that the stock’s valuation did not reflect COMP’s acquisition of  Christie’s International Real Estate or its ability to gain market share aside from acquisitions. UBS increased its price target on the name to $11 from $7.

The Recent Price Action of COMP Stock

In the last month, the shares have gained 17%, while they are up 25% in the last three months and 35% so far in 2025.

While we acknowledge the potential of COMP, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than COMP but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.