Particle.news
Download on the App Store

Rightmove Shares Slide 20% After £60m AI Pivot, 2026 Profit Outlook Cut

The move trades near-term profitability for a tech overhaul backed by a Google Cloud partnership.

Overview

  • The FTSE 100 portal will invest £60 million over three years to build AI-led products and capabilities.
  • New guidance sets 2026 underlying operating profit growth at 3–5% with revenue expected to rise about 8–10%.
  • The stock dropped to roughly 524p in early trading, erasing about £1 billion in market value.
  • Rightmove agreed a multi-year deal to deploy Google Cloud’s Gemini and Vertex AI across its platform.
  • Management reaffirmed 2025 goals of about 9% revenue growth and a ~70% operating margin, as analysts split between a Peel Hunt buy call at 885p and caution from others.