REA Group shares dip as Google trials direct homes-for-sale ads
REA Group (ASX:REA) shares fell on Dec. 15 as global online real estate stocks reacted to Alphabet's Google testing a new search ad format that places homes-for-sale listings directly at the top of search results.
US-listed companies also saw declines, including Zillow Group (-10.8%), CoStar Group (-7.8%), and Rocket Companies (-4.7%).
REA Group slipped 2.85% to $183.70 by 12:47pm AEDT.
Google’s trial allows users to view property details, contact agents, and request home tours directly from search results, bypassing third-party real estate sites.
Despite the market jitters, Citi analysts said the impact on REA Group is likely limited.
They noted that around 80% of REA's traffic comes directly to its site, reducing its exposure to changes in Google's search algorithms or ad presentation.
At the time of reporting, REA Group's share price was $183.72.
More from Australia
Woodside Energy cuts 500 jobs to slash costs by US$570M
NSW panel recommends 26 stricter data centre rules
Top End Energy applies to surrender permit EP 153
Neuren Pharmaceuticals upgrades full year guidance
Vicinity Centres places earnings guidance under review
Resources & Energy expands Menzies Project by 69%
