Redfin (RDFN) - Get Report  shares were jumping Monday after Stephens analyst John Campbell upgraded the real-estate broker to overweight from underweight and raised his price target to $23 from $18. 

The stock rose 8.7% to $18.32 on Monday.

The consensus estimate on Bloomberg is $21.77. Redfin shares have five buys, seven holds, and three sells among analysts surveyed by Bloomberg. 

Redfin is a technology-powered, self-contained real estate brokerage. It walks buyers and sellers through housing transactions using its "Concierge Service, which helps sellers get their homes ready for the market by arranging and paying for services like cleaning, staging and light repairs cleaning services," the company says. It also offers its own title company and mortgage services. The company offers low fees. Costs are about between 1% and 1.5% to list a home, while traditional brokers will charge 3% for the listing.

All agents are employees, so they earn a salary and get health care, vs. traditional agents who are paid based on commissions and receive no health care benefits.  

"We are upgrading RDFN to Overweight from Underweight and raising our price target to $23 (up from $18). We have come to better appreciate RDFN's market position/strategy and a handful of its newer offerings," Campbell said.

"We also believe that the Company is beginning to lay the groundwork for a more e-commerce type offering (Redfin Direct, Redfin Now, packaged ancillary services, etc.). In addition, we see a very favorable NT set up as the stock has dropped into a more enticing valuation/buying window, many of its top markets are in the process of recovering from a tough 2H18 fallout and we see improved operating results moving forward, starting with impressive 2Q19 results. Lastly, we believe that RDFN has the type of model that can thrive in today's real estate ecosystem or one that is dramatically altered (ex. lower commission rates, limited buyer's agent involvement, etc.), " the analyst added.