Goldman Sachs Cuts Compass Earnings Estimates Amid Housing Market Weakness

Goldman Sachs has maintained its Neutral rating on Compass Inc.'s stock while lowering third-quarter earnings estimates due to a deteriorating U.S. housing market. The firm's price target remains at $12.00, which is slightly above the current trading price of $10.13. According to Goldman Sachs' analysis, Compass shares appear undervalued based on its Fair Value assessment.

The firm forecasted third-quarter 2026 EBITDA of $281 million, down from its prior estimate of $302 million and below the Visible Alpha Consensus of $289 million. Revenue is expected to reach $3.89 billion, compared to consensus and prior estimates of $3.95 billion.

Goldman Sachs attributed the housing market weakness to affordability pressures, with the average 30-year fixed-rate mortgage rising to 6.95% as of September 17, 2026, according to Freddie Mac. The firm expects Compass to outperform the broader housing market given its premium market focus and inventory strategy.