UK property portal giant Zoopla Property Group has reported growth of its property partners for the 16-consecutive month as its stock is upgraded by Barclays.
Zoopla, which owns and operates including Zoopla, uSwitch, PrimeLocation and Property Software Group, reported its partner numbers have grown to 13,275 as at 31 August 2016 which is up 5 percent year-on-year.
It also reported that its property listings increased to 925,000 as at 31 August 2016, also up by 5 percent year-on-year.
The statement from Zoopla released on its website goes on to say that it expects the full 2016 figures to be “at the top end of current market expectations” and that more information is likely to be released at the group’s first ‘Capital Markets Day’ in a week’s time.
The news comes as Zoopla’s stock was upgraded to ‘overweight’ from ‘equalweight’ by Barclays which and lifted the price target to 335p from 250p ahead of the investor day on 15 September.
The bank said in a statement current trading for uSwitch was likely strong, leading to potential consensus upgrades.
It also sees several sources of upside and thinks management’s vision will refocus attention on them.
“We see an excellent standalone business in uSwitch, which the market is now more aware of (but doesn’t yet fully appreciate in our view). And we understand the logic behind Property Software Group,” the statement said.
“But in our view, the market is not pricing in synergies between the businesses and doesn’t fully appreciate the long-term vision the management team has for putting it all together. We see the investor day as an opportunity to increase understanding here, and a refresh for how people value the business.”