Short Interest in reAlpha Tech Corp. Plummets 38.3% in October
reAlpha Tech Corp. (NASDAQ:AIRE) experienced a significant decline in short interest during October 2023. As of October 15, the total short interest dropped to 9,720,000 shares, reflecting a substantial decrease of 38.3% from the September 30 total of 15,760,000 shares. This change means that approximately 40.1% of the company’s stock is currently short sold.
The short-interest ratio, which indicates the number of days it would take for all shorted shares to be bought back based on the average daily trading volume, stands at 0.4 days. This figure is derived from an average daily volume of 27,060,000 shares.
Analysts’ Insights and Ratings
Recent evaluations from various brokerages have provided mixed perspectives on reAlpha Tech. Maxim Group maintained a “hold” rating for the company in a research note dated July 28. In contrast, Weiss Ratings issued a “sell (d-)” rating on October 8, while Wall Street Zen downgraded the stock to a “strong sell” on September 13.
The consensus rating for reAlpha Tech, according to MarketBeat.com, is currently “Reduce,” with an average price target set at $1.25. Notably, one analyst has given the company a Hold rating, while another has assigned it a Sell rating.
Financial Performance Overview
reAlpha Tech reported its quarterly earnings on August 14, revealing an earnings per share (EPS) of ($0.08), which fell short of analysts’ expectations of ($0.05) by a margin of $0.03. The company’s negative return on equity was recorded at 213.07%, alongside a staggering negative net margin of 988.62%.
Despite these challenges, reAlpha Tech achieved revenue of $1.25 million for the quarter, slightly surpassing analyst estimates of $1.20 million. Analysts predict that reAlpha Tech will report an EPS of -$0.16 for the current year.
Founded as a real estate technology firm, reAlpha Tech specializes in the commercialization of artificial intelligence (AI)-powered solutions. The company operates through two primary segments: Platform Services and Rental Business, focusing on developing AI-based products and services for the real estate sector.
As investor interest continues to fluctuate, reAlpha Tech remains a point of focus for market analysts and stakeholders alike.
