COMP Gains 60% in 3 Months: Is it Too Late to Buy the Stock?

Core Viewpoint - Compass (COMP) has significantly outperformed its peers and the broader market, with a 60.2% increase in share price over the past three months, contrasting with declines in the Zacks Computer and Technology sector and the Internet - Software industry [1] Group 1: Financial Performance - Revenues for Compass rose by 25.9% in the fourth quarter of 2024, driven by increased transactions and market share expansion [2] - For the first quarter of 2025, Compass expects total revenues between $1.350 billion and $1.475 billion, with a Zacks Consensus Estimate of $1.42 billion, indicating a year-over-year growth of 34.2% [7] - The Zacks Consensus Estimate for 2025 revenues is projected at $7.02 billion, reflecting a year-over-year growth of 24.72% [8] Group 2: Product and Platform Development - Compass's proprietary cloud-native platform enhances real estate transactions by digitizing workflows, improving agent efficiency and client interactions [3] - The One-click Title and Escrow integration has improved attach rates by over 800 basis points in the past four quarters, indicating strong adoption and increased agent productivity [4] - The all-in-one client dashboard, launched in February 2025, has seen early adoption with 14,950 invitations sent in the first week and a 43% increase in client engagement [5] Group 3: Strategic Initiatives - The Make-Me-Sell feature allows homeowners to set target prices to encourage selling, with 9,500 entries to date, aiming to convert CRM contacts into exclusive agent-only listings [6] - Compass's Zacks Rank is currently 2 (Buy), suggesting that investors should consider accumulating the stock [9]