Piper Sandler analyst Thomas Champion double downgraded Redfin to Underweight from Overweight with a price target of $11, down from $40. The analyst has a “subdued outlook” for housing and says his model updates suggest flat to negative real estate services growth for Redfin in 2022 and 2023 versus the Street’s expectations of 9% growth in 2022 and 16% in 2023. In addition, the company has a “lack of valuation support and recent execution issues,” Champion tells investors in a research note. Existing home sales growth year-over-year has been negative six of the last seven months and while home price increases have helped offset transactions weakness, recent mortgage interest rate increases have “dented affordability and seem likely to impact pricing,” says the analyst.