UPDATE: Goldman Sachs Initiates Realogy Holdings at Neutral on Valuation

Goldman Sachs initiated coverage on Realogy Holdings

with a Neutral rating and a $34 price target. Goldman Sachs commented, "We initiate coverage of Realogy Holdings (RLGY), the leading residential real estate brokerage franchisor and owner, with a Neutral rating and a $34, 12-month target price. Realogy's exposure to an improving US housing market and its operational and financial leverage position the company to generate cash flows and de-lever its balance sheet. Also, the shift of enterprise value from debt to equity could be accelerated with accretive debt refinancing. However, we see limited upside to our EBITDA forecasts, we are somewhat concerned about the negative impact of future EBITDA adjustments and we believe the stock is fairly valued." Realogy Holdings closed at $37.06 on Monday.