Industry News

Real estate sector languishes on Wall Street

Inman Index: Investors unenthusiastic about brokerage, mortgage stocks

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Real estate brokerage, technology and mortgage stocks lost value on Wall Street in May as did the broader market indices that indicate overall investor sentiment. Eight of the 10 corporations that make up the hypothetical Inman Index were in the minus column at month-end. The largest losers on a percentage-of-stock-price basis were Interactive Corp. and Cendant Corp., both of which are large complicated entities that own real estate and other interests. Interactive's shares opened the month at $29 and closed the month at $25.83, a loss of $3.17, or nearly 11 percent, per share. The company, which owns and operates the and Web sites, among other Internet properties, reported an increase in revenue, but a decline in income for the first quarter of 2006 on a quarterly comparative basis. Revenue climbed 36 percent from $1.14 billion in the first quarter of 2005 to $1.55 billion in the first quarter of 2006. Net income sank 32 percent from $69 million, or 19...