The Domain Holdings Australia Ltd (ASX:DHG) share price was trading 3.45% higher today despite not reporting any material news.
For context, the broader Australian share market or S&P/ASX 200 (ASX: XJO) was trading at 5370.7, down 2.13%.
About Domain Holdings Australia Ltd
Domain is the business behind one of Australia’s largest property portals, Domain.com.au, which allows property sellers to try to advertise to as many potential buyers as possible. Some of the other real estate websites it operates includes Allhomes.com.au and commercialrealestate.com.au.
What’s up with Domain?
Although Domain hasn’t reported as yet, confidence has seemingly risen with the share price currently up 3% for the day. This could be due to the news that the COVID-19 situation could potentially be over much sooner than originally thought.
Last month, Domain made an ASX announcement and said:
“While trading conditions in March show improving listings volumes, and yield growth driven by our new commercial pricing model, there is uncertainty about the potential impact of COVID-19 on the Australian property market.”
Both Domain Holdings and REA Group Ltd. (ASX: REA) have enjoyed strong gains in the past month after enduring steep falls following news of the Coronavirus (COVID-19) and the shock that this had to the property market and the greater public.
Domain Holdings is a strong player in the advertising and technology space there is no doubt. And if the government keep with the current update and loosen restrictions on people’s movements, the property market is certain to benefit.
Domain is one for the watchlist at this stage, at least until we get an update on the current situation in property markets and rentals. That said, the company’s share price is down a long way from where it started the year.
Domain shares were last seen trading at $2.40, giving the company a market capitalisation more than $1 billion.