Compass: Beating The Industry At Every Turn

Gary Alexander 34.36K Followers Follow Summary Compass remains a high-conviction buy as it outperforms the real estate industry despite a weak housing market. COMP’s acquisition of Anywhere Real Estate and rapid synergy realization are driving superior transaction and GTV growth versus peers. Q2 results showed 16% brokerage GTV growth and $363M adjusted EBITDA, with margins expanding and synergy targets raised. At $13/share, COMP trades at 8.5x EV/EBITDA on a mid-recovery scenario, offering compelling value amid ongoing legal and macro risks.

As we evaluate what to do with our portfolios amid fresh records for the S&P 500, one of my priorities remains clear: maintain equity exposure, but reduce my reliance on the AI infrastructure theme and focus on out-of-favor industries.