Compass Inc

Compass reported second-quarter revenue of $4.31 billion, surpassing Wall Street's estimate of $4.11 billion and marking 109% year-on-year growth. Adjusted EBITDA came in at $363 million, above the $331.6 million consensus, while adjusted EPS of $0.19 missed the $0.25 expectation. The company guided third-quarter revenue to $3.95 billion at the midpoint, ahead of the $3.74 billion analyst estimate, and EBITDA guidance of $290 million also exceeded expectations. CEO Robert Reffkin highlighted roughly 1,000 basis points of outperformance versus the broader market, driven by high-value transactions in regions like the Bay Area. During the earnings call, analysts questioned management on the three-phase marketing strategy, cost synergies beyond the $500 million target, and the replication of 'Coming Soon' listing success in other markets.

Compass Pathways is working with the U.S. Department of Veterans Affairs on a multi-site randomized controlled trial evaluating COMP360 psilocybin for veterans with treatment-resistant depression, including those with concurrent PTSD. The trial, called PIVOT, will enroll veterans at five VA sites led by the Birmingham VA Health Care System and compare two doses of COMP360 with an optional second open-label administration. Compass will donate the synthetic psilocybin formulation and provide training materials and guidance, while VA investigators will train healthcare providers. The primary endpoint is depression severity measured by the MADRS scale, with secondary outcomes including PTSD symptoms and tolerability. Compass Pathways CEO Kabir Nath called the study groundbreaking and expressed gratitude for VA resources to explore psilocybin's potential in transforming care for veterans.

Compass guided third-quarter consolidated revenue to $3.85 billion to $4.05 billion and adjusted EBITDA to $275 million to $305 million, while also expecting positive free cash flow. The company reported second-quarter revenue of $4.3 billion, exceeding the high end of its guidance range, and adjusted EBITDA of $363 million. Founder and CEO Robert Reffkin said year-one net cost synergies have been actioned five months ahead of plan, with the target now raised to $330 million from $300 million. CFO Scott Wahlers noted that free cash flow was $180 million for the quarter, and cash on hand increased by $210 million quarter-over-quarter to $694 million. For the full year, non-GAAP operating expense guidance was raised to $2.75 billion to $2.80 billion, partly due to a recent brokerage acquisition.

Compass reported second-quarter revenue of $4.31 billion, beating analyst estimates of $4.11 billion and marking 109% year-on-year growth. The company also issued third-quarter revenue guidance of $3.95 billion at the midpoint, which was 5.6% above Wall Street expectations, and EBITDA guidance of $290 million, surpassing the $274.1 million consensus. GAAP earnings per share came in at $0.11, missing the $0.14 estimate by 21.4%, while adjusted EBITDA reached $363 million with an 8.4% margin. The stock rose 11.9% to $13.45 following the announcement.

Real estate stocks closed the first half of 2026 with gains in four of the six months, eking out a positive June despite a hawkish Federal Reserve. The S&P 500 Real Estate Index Sector rose 0.23% month-over-month to 279.69 points, while the State Street Real Estate Select Sector SPDR ETF added 0.09% to $44.03. The Dow Jones REIT Indx Equity REIT Total Return Index advanced 1.48%, and the FTSE Nareit All Equity REITs index gained 0.81%. Office REITs and Health Care REITs were the biggest beneficiaries among subsectors, but losses in Specialized REITs and Industrial REITs weighed on overall returns. The benchmark 10-Year Treasury yield ended flat at 4.47%, easing fiscal concerns that had driven borrowing costs higher in May. Among large-cap stocks, data center REITs led weekly losers, with Iron Mountain down 10.61%, Digital Realty Trust off 9.95%, and Equinix falling 7.87%, reflecting public anxiety over electricity grid strains from AI data centers. American Healthcare REIT topped the gainers, up 8.09%, after Citi upgraded the stock to Buy. In midcaps, Compass rose 14.21% after management met with Oppenheimer, which maintained a Buy rating, while data center REIT Fermi fell 8.41%. Small-cap decliners were led by mortgage REITs Redwood Trust and Apollo Commercial Real Estate Finance, the latter downgraded by BTIG on expected book value erosion from asset sales. Newly appointed Fed Chair Kevin Warsh's hawkish comments fueled speculation that rate hikes could return, pressuring mortgage REITs near-term but potentially benefiting them from wider spreads over time.

Compass CEO Robert Reffkin and Midwest Real Estate Data CEO Rebecca Jensen delivered heated testimony in Chicago federal court on Thursday, slamming Zillow's antitrust claims over private real estate listings. Jensen said she was 'disgusted' by Zillow's justification for blocking previously private listings from its platform, and testified that MRED acted unilaterally to cut Zillow's data feed after a year of warnings that its listing bans violated MLS rules built from a 2008 Department of Justice settlement. Reffkin accused Zillow of using historical Black discrimination to protect its power and profits, while defending Compass's private exclusives as a phased marketing strategy that leads to higher sale prices and faster contracts. Zillow's expert economist Lawrence Wu argued that the MRED-Compass agreement was a scheme to block Zillow's listing access standards nationwide, harming competition and consumers. Judge John J. Tharp Jr. is expected to rule on MRED's motion to move the case to arbitration in the coming weeks, which could determine whether a preliminary injunction is granted.

Compass has reached a settlement in a Telephone Consumer Protection Act class-action lawsuit, ending a significant legal overhang related to its marketing and communications practices. The agreement removes uncertainty around potential liabilities tied to the TCPA case, giving investors greater clarity around that single source of potential liability. The settlement reduces the risk that management attention is tied up in a lengthy court process, though it does not eliminate broader regulatory risk for Compass, as legal and regulatory pressures are an ongoing feature of the real estate brokerage industry. Shares recently closed at $11.40, with the stock up 13.9% over the past week, 38.5% over the past month, 8.6% year to date, and 77.8% over the past year.

Newmark reported first-quarter revenues of $846.5 million, up 27.2% year on year and exceeding analysts' expectations by 13.2%, alongside full-year revenue guidance that also topped estimates. Among the 14 consumer discretionary real estate services stocks tracked, the group overall beat revenue consensus by 3.8% but issued next-quarter guidance 6.7% below expectations, and shares have fallen an average of 6.4% since reporting. Howard Hughes Holdings posted the biggest beat, with revenues of $235.9 million surpassing estimates by 20.4%, while RE/MAX was the weakest, missing revenue expectations by 2.7% with a 5.7% year-on-year decline. Compass recorded the fastest revenue growth at 99.4% year on year to $2.70 billion and raised guidance the most among peers, while The Real Brokerage missed revenue estimates by 3.4% despite a 31.5% increase.

DarGlobal has awarded a SR338 million, or $90 million, contract for primary infrastructure works at the Rayana master community in Riyadh to Compass and Bin Omairah Company. The design-and-build contract covers earthworks, utility networks, roads, and site access for the development in Wadi Safar, Diriyah, which will include Rayana Mansions and branded Trump Mansions with built-up areas between approximately 1,900 and 7,000 square meters. CEO Ziad El Chaar said the award represents an important step in delivering Rayana and reinforces the company's commitment to creating exceptional residential destinations in Saudi Arabia. The project is linked to the objectives of Saudi Arabia's Vision 2030 development programme and is located near Diriyah, Expo 2030, and the King Abdullah Financial District. DarGlobal, which is listed in London, reports a development portfolio of $23 billion and serves investors from over 125 nationalities, with fiscal year 2025 revenue up 124 percent to $539 million and EBITDA of $126 million.

Cosan reported a net loss of R$1.6 billion for the first quarter of 2026, an improvement from the R$1.8 billion loss in the same period last year. The results included R$1 billion in costs from early bond prepayments, offset by improved performance across the company's investment portfolio. Net debt expanded to R$11.5 billion, an 18% increase from the previous quarter, driven by lower dividend inflows and one-time debt management payments, though it was down 34% from Q1 2025 due to prior capitalization efforts. Adjusted EBITDA grew in several segments, with Rumo and Compass reporting gains of 7% and 2% respectively, while the Debt Service Coverage Ratio declined to 0.4x.

Compass Inc. reported first-quarter 2026 revenue of $2.70 billion and Adjusted EBITDA of $61 million, its first quarterly results as a combined company following the Anywhere acquisition. GAAP net income reached $22 million, supported by disciplined operating expense control, and the company outperformed the broader US residential real estate market in both brokerage transaction volume and growth. Compass actioned over $250 million in net cost synergies within 82 days of the merger's close, leading it to raise its 2026 realized cost synergy target to $200 million and its total three-year actioned synergy target to $500 million. The company ended the quarter with $484 million in cash and a pro forma agent retention rate of 94%, while maintaining positive credit outlooks from Moody's and S&P.

Jack Costigan, founder of The Costigan Group at Compass in Nashville, has launched STRI, a national Short-Term Rental & Investment division at Compass designed to give investors a single trusted source for evaluating vacation-home and second-home markets across the country. The division launches with vetted local specialists in markets including Nashville, 30A and the Florida Panhandle, Gatlinburg, Pigeon Forge, and Sevierville, Scottsdale and Phoenix, Palm Springs, Charleston, the beaches of South and North Carolina, Blue Ridge, Broken Bow, Big Bear, Park City, and other high-demand destinations. STRI aims to provide consistent underwriting, regulatory awareness, and experienced local representation, so investors weighing multiple markets no longer need to cold-search for a credible expert in each city. The platform also offers sellers of short-term rental and investment property a stronger channel to reach advisors whose clients are actively buying income-producing real estate. Costigan stated that the goal is to build the highest standard of short-term rental representation in the country with the strongest roster of specialists in every market.